Forest Products Industry

The Wood Solution Thailand Forum, recently held in Bangkok, explored practical solutions for Thailand’s timber industry by connecting Swedish forestry expertise with the country’s forest sector. Source: SEI The forum was part of the Wood Solution Thailand Program, which brings together researchers, foresters, architects, investors, and policymakers from across Thailand and Sweden to build a sustainable timber construction ecosystem. Speaking at the forum, Mrs Arunrung Phothong Humphreys, Ambassador of Thailand to Sweden, explained why Sweden’s experience offers a powerful model. Sweden has a strong forestry sector, an advanced wood-processing industry and decades of experience balancing economic growth with environmental stewardship. She also pointed to the broader diplomatic foundation, noting that the relationship has been strengthened by the Strategic Partnership Agreement signed between the two countries, and described the project as a new model linking grassroots communities with emerging green industries. Emanuel Lundin, First Secretary at the Embassy of Sweden in Bangkok, highlighted how the partnership is turning years of dialogue into collective action: “The process is important … the journey matters as much as the eventual outcome.” Since 2022, partners including the Thailand-Nordic Countries Innovation Unit (TNIU), the Eco-Innovation Foundation (EIF), and SEI have worked to lay the groundwork for wood innovation in Thailand, aiming to establish timber construction as both an economic driver and a climate solution. The program’s engagement phase (March–June 2026) is designed to prepare the ground for a long-term initiative promoting sustainable wood-based construction, forest restoration and climate-smart bioeconomy solutions. “This is a great opportunity to address the climate change issue while creating an economic growth engine for Thailand, that’s the big picture,” Klas Bengtsson, Director of the Eco-Innovation Foundation (EIF) said. Marie Jürisoo, Centre Director of SEI Asia, introduced the engagement phase and its strategic role, explaining that it had been designed to accelerate momentum, deepen stakeholder participation and identify practical next steps. The engagement phase is supporting “pioneer initiatives” across the full value chain, from forest management to construction, demonstrating practical wood-based solutions. The forum showcased more than 10 such initiatives. Thanyaporn Wongtitirote, Coordinator of the Thailand and Nordic Countries Innovation Unit (TNIU)/Royal Thai Embassy in Stockholm, is involved in supporting the pioneer projects. She said: “The results are now adding up from what we’ve been discussing for many years. Now we’re making stronger connections across many groups and sectors and figuring out the key challenges and milestones.” One flagship model is the Phrae Sustainable Wood City initiative. Reflecting Phrae’s long association with teak, the project has already trained around 150 postgraduate students as future forestry, resource and environmental managers – and it is emerging as a potential model for nationwide development. We have five working frameworks: first, sustainable plantations like Sweden; second, modern processing technology using AI and innovation to increase quality and safety; third, wooden construction and teak products; fourth, education – we have three institutions that can connect with Sweden; fifth, policy, with provincial and local governments driving sustainability. “We have about 300,000 rai (48,000 hectares)  of plantations, 44,000 skilled people, around 200 wood-processing factories, and strong academic institutions such as Maejo University and three newly established forestry schools,” Veerit Kanlayapanik, Secretary to the President of the Phrae Provincial Administrative Organization (PAO) said. These initiatives are also driving rural income. The Grow Longevity Ecovillage, championed by Pordee Society, integrates sustainable agronomy, AI smart farming and wellness principles to build resilient communities. The project focuses on “right livelihood,” combining traditional ecological wisdom with modern innovation to ensure food safety and long-term health. Its founder Mr Sak (Chayadis Hutanuwatr) said: “The problem with planting teak is you have to wait 20–30 years with no income. But with smart farming – using sensors, organic fertilizer, automated shade – a couple can work about four hours a day and earn 30,000-40,000 baht per month after expenses. That’s real.” To support long-term success, the program is developing the Wood Solution Support Platform, an international network of experts and technology providers to help Thailand and other tropical countries build sustainable timber construction ecosystems. The effort also involves forming funding partnerships with bilateral, multilateral, philanthropic and private-sector actors to support the program’s next phases. Throughout, Sweden’s role has been supportive – bridging expertise between countries rather than imposing a one-size fits all solution. “What I witnessed was no longer a Swedish project. It was a Thai movement … the Swedish role had become almost invisible. Perhaps that is the highest achievement of all,” said Gregers Møller, editor-in-chief of ScandAsia, who joined the meeting online and wrote about it on the ScandAsia website. Thanapon Piman, SEI Asia’s Senior Research Fellow and the Project Lead said: “The long-term vision of the program is to provide forest-based climate solutions that can lead to a sustainable timber industry.” To implement this vision, the Wood Solution Thailand Program has set out a phased roadmap extending to 2037, showing how international partnership, sustainable forest use and innovative construction can work together to support rural income and climate action. As Marie Jürisoo put it: “This kind of initiative requires a whole-of-society approach and a collaborative mindset. We can all contribute in many ways.” The model now shifts its focus to implementing the long-term roadmap, scaling and building a sustainable timber future for Thailand.

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US sawmill production fell in the first quarter, the second consecutive quarter of lower output according to the Federal Reserve G.17 Industrial Production report. Source: National Association of Home Builders Sawmill output has remained largely flat since 2023, after increasing in the post-pandemic period. The utilization rate for sawmills and wood preservation industries was 71.8% on a four-quarter moving average, up from 71.2% in the fourth quarter of 2025. The sawmill utilization rate, a measure of actual production relative to potential full production published quarterly by the Census Bureau, moved upward over 2025 as capacity for sawmills fell. Sawmill production, based on a four-quarter moving average, was 0.4% lower in the first quarter of 2026 compared to the fourth quarter but remained higher than a year ago by 1.7%. U.S. sawmills’ full production capacity, an estimation of what could have been produced if running at full production capability, was down 6.0% from a year ago. Lumber prices rose slightly in the first quarter. Softwood lumber prices rose 6.1% during the quarter but were down 3.8% from a year ago. Hardwood lumber prices continued to increase, rising 1.0% in the first quarter. This was the ninth consecutive quarter of price increases in hardwood lumber. Employment in sawmill and wood preservation industries continued to fall, dropping to roughly 82,800 workers in the first quarter. This marked the twelfth straight quarterly decline, bringing employment to its lowest level since 2010.

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New rules will ensure everyday products sold in the UK including coffee and cocoa do not contribute to illegal deforestation around the world. Source: Timberbiz The world’s rainforests are to be better protected from deforestation as the government plans to take forward new rules in Great Britain including using powers in the Environment Act alongside legislation strengthening the UK Timber Regulation. Under the proposals UK businesses who trade in commodities sourced from rainforests such as soy, palm oil, cocoa and rubber will need to check that their supply chains are not contributing to illegal deforestation. These products are commonly found in everyday supermarket products including chocolate, cooking oils, shampoo and cosmetics. This move will help protect the habitats of some of the world’s most precious and endangered species, while giving British consumers confidence that the products in their shopping baskets are not contributing to illegal deforestation. Around 90% of global deforestation is driven by agricultural expansion, much of it linked to the production of internationally traded commodities. In 2023, the UK’s consumption of these goods was associated with approximately 29,000 hectares of deforestation worldwide or around one and a half times the size of Manchester and 9.4 million tonnes of related carbon emissions. “Tackling global deforestation is one of the most effective ways we can address climate change and protect some of the world’s most unique and precious wildlife,” Nature Minister Mary Creagh said. “That is why we are leading by example and scrutinising our own supply chains. Eliminating products linked to illegal deforestation not only helps to protect precious ecosystems but is good for our collective resilience and long-term prosperity.” These new measures will help businesses better identify and reduce the risk that their imported products are linked to illegal deforestation and land clearing. The government will consult businesses, civil society and international partners later this year on the details of the proposed GB deforestation policy. This will include consulting on the introduction of these mandatory due diligence requirements for businesses in Great Britain including using powers such as under the Environment Act which target illegal deforestation, and by strengthening the existing UK Timber Regulation. To maintain Northern Ireland’s unique dual market access to both the UK Internal Market and the EU Single Market, the EU Regulation on Deforestation-Free Products (EUDR) will apply in Northern Ireland in phases starting 30 December 2026. Crucially, to protect the UK Internal Market and streamline compliance, the upcoming consultation will propose that the GB regime covers the same core commodities and underlying information requirements as the regulation in Northern Ireland. This aligned approach is designed to prevent administrative duplication across the UK while helping British exporters to the EU meet consistent data and traceability standards. Businesses in Northern Ireland are encouraged to begin preparations now. In due course, the Government’s ambition is to transition to a deforestation-free standard which will require relevant products to be produced free from any deforestation, building on stakeholder efforts globally to decouple supply chains from forest loss and land conversion. These changes help deliver on the UK’s commitment under the Glasgow Leaders’ Declaration on Forests and Land Use, agreed at COP26, to halt and reverse forest loss and land degradation by 2030. It also supports the cross-government 2035 International Climate, Nature & Energy Strategic Framework.  

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Conservation groups are calling for the connection of state and national parks and nature reserves from the Illawarra to the Victorian border in a bid to better protect the region’s forests, wildlife habitats, water catchments and cultural landscapes. Source: AboutRegional The ‘Great Southern Forest’ is proposed by the National Parks Association of NSW (NPA) and would see the reclassification of about 365,000 hectares of State Forest into permanent protected areas, to be combined with the region’s existing 824,000 hectares of national parks and nature reserves along the South Coast. “Right now, native forests in southern NSW are being logged at an industrial scale, primarily for woodchips, putting our unique ecosystems and wildlife at risk,” NPA president Liz Jeremy said. “The Great Southern Forest is once-in-a-generation alternative that could reverse the fate of these forests and see them thrive again. “Stretching from the Illawarra to the Victorian border, the proposal would bring together 55 state forests, 24 flora reserves and 98 existing national parks and reserves into one of Australia’s largest connected conservation landscapes.” The proposal calls for the new park, which would stretch from Budderoo National Park in the north to Nadgee Nature Reserve in the south, to be managed as a unified ecological system, prioritising biodiversity conservation, climate resilience, cultural heritage, and community benefit; for all native forest logging in the region’s state forests to be ceased and for joint management arrangements to be established with First Nations communities. it aims to fill gaps in the ecosystem representation, strengthen wildlife corridors, increase the resilience of forests to climate change and secure large, intact landscapes essential for long-term conservation. “The Great Southern Forest proposal is a vital step in reversing species decline and safeguarding our region’s biodiversity,” NPA Far South Coast Branch president David Gallan said. “The proposal would protect more than 10,000 hectares of threatened ecological communities, support 12 endemic and four critically endangered flora species, and protect 61 threatened animal species, including the Yellow-bellied Glider, Swift Parrot, Southern Greater Glider, Spotted-tailed Quoll and Southern Brown Bandicoot. “We need proper protection for our native forests now, more than ever. Every Australian has a responsibility to conserve our unique natural heritage.” The greater environmental protection is also set to have tourism and economic benefits for the communities right along the coast. “With NSW national parks attracting more than 65 million visits each year and contributing more than $19 billion annually to regional economies, protecting these forests represents a significant opportunity to secure both environmental and economic benefits for generations to come,” Liz said. The proposal was launched on 19 June at Mogo, to more than 80 community leaders, conservation organisations, scientists, local residents and elected representatives, with hope that strong interest in the project will continue momentum towards meaningful change within the region. “The strong turnout today demonstrates growing community and local business support in securing a long-term future for the region’s forests,” NPA Eurobodalla convenor Joslyn van der Moolen said. “This proposal provides an opportunity to work with stakeholders on increasing their engagement with our public forests. We look forward to continuing conversations with communities, traditional owners, local tourism, and primary industry local business, recreation groups, local councils and government in the months ahead.” This article was first published by Keeli Dyson on Regional Illawarra  

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Forest and Wood Products Australia has confirmed the next phase of industry investment in timber durability and performance-in-use research, following consideration of the 2026 Mid-Term Review of the National Centre for Timber Durability and Design Life (NCTDDL). Source: Timberbiz The FWPA Board has decided to continue funding the Centre through to 30 June 2028, in line with the current agreement, while not extending the existing Centre funding model beyond that date. This provides time for a structured transition, allowing current projects, including commitments to PhD students, to be completed. FWPA said the decision reflects a positive and forward-looking outcome for industry, recognising the substantial contribution the Centre has made since 2017 while creating a pathway for new, innovative and more industry-led approaches to future investment. Timber durability and performance-in-use remain high priorities for FWPA and the broader forest and wood products sector. Future investment will build on the knowledge, relationships and capability developed through the NCTDDL, with greater emphasis on industry leadership, collaboration, extension and adoption. “The Centre has helped strengthen the sector’s understanding of timber durability and created a valuable foundation for the next stage of research, development and practical application,” FWPA Head of Research, Development & Extension, Ian Blanden said. “The work undertaken through the NCTDDL has advanced knowledge, supported collaboration and helped build capability across important areas of timber durability and performance. FWPA sincerely thanks the Centre’s leadership, researchers, students, industry participants, university partners and all contributors for their dedication and expertise.” Mr Blanden said the transition period would allow FWPA and industry partners to shape future arrangements that respond directly to industry priorities and emerging opportunities. “This is about building on the Centre’s achievements and forging the way forward with a model that is even more closely aligned to industry needs,” Mr Blanden said. The NCTDDL has been supported by FWPA in partnership with the University of the Sunshine Coast and the University of Queensland, with the Centre taking a national and international approach to timber durability research. FWPA will continue to consult with industry stakeholders, research partners and advisory groups as future arrangements are developed. FWPA said the decision marks an important milestone in a long-term investment journey, ensuring the industry can recognise the Centre’s achievements while moving confidently towards future programs shaped by sector priorities, adoption pathways and practical impact.

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Forest & Wood Communities Australia (FWCA) has written to Macquarie University researcher Dr Carmen da Silva seeking clarification regarding comments made during a recent ABC Sydney Radio interview in which she stated that Australians need to “try to stop native forest logging” in order to help protect native bees. Source: Timberbiz FWCA Chair Steve Dobbyns said the organisation welcomed the research and acknowledged the importance of understanding the challenges facing Australia’s native bee populations under a changing climate. “Native bees are an important but often overlooked component of Australia’s biodiversity, and research that improves our understanding of their ecology and climate vulnerability should be encouraged,” Mr Dobbyns said. “However, after reviewing Dr da Silva’s recently published paper, FWCA has been unable to identify how a recommendation to cease native forest logging arose from research that appears not to have examined forestry as a causal factor.” Mr Dobbyns said the study focused on the thermal tolerance of 95 Australian native bee species and examined how nesting behaviour influences vulnerability to rising temperatures. “The paper investigated climate vulnerability, heat tolerance and nesting ecology,” he said. “It did not compare logged and unlogged forests, assess the impacts of timber harvesting on bee populations, measure bee abundance before and after harvesting operations, or attempt to isolate forestry impacts from other environmental variables.” FWCA has asked Dr da Silva to clarify whether her statement that Australia should stop native forest logging was: a conclusion arising from the research itself; based on a separate body of scientific literature not discussed in the interview; or a personal opinion regarding native forest management policy. “If there is a body of scientific evidence demonstrating that contemporary regulated native forest harvesting contributes to native bee decline, then that evidence should be identified and openly discussed,” Mr Dobbyns said. “If not, then it is important that the distinction between scientific findings and personal policy views is made clear.” Mr Dobbyns said the issue was not about restricting academic freedom but about maintaining public confidence in science. “Researchers are entitled to hold and express personal views on public policy issues,” he said. “However, when policy recommendations are presented during discussion of scientific research, many listeners will reasonably assume those recommendations are supported by the evidence being discussed.” “Where that connection is unclear, it is appropriate to seek clarification.” Mr Dobbyns also noted that the study identified climate warming and temperature exposure as the primary mechanisms influencing native bee vulnerability. “This naturally raises broader questions about other landscape-scale disturbances that may alter forest microclimates, including drought, forest decline and severe bushfires,” he said. “High-intensity bushfires can remove canopy cover, increase ground temperatures, destroy nesting resources and reduce flowering across extensive landscapes for many years.” “These factors appear directly relevant to the mechanisms identified in the study and may warrant further investigation.” Mr Dobbyns said FWCA looked forward to Dr da Silva’s response. “Good science is strengthened through open discussion, scrutiny and evidence,” he said. “We are simply seeking clarification about the scientific basis for a statement that has the potential to influence public policy and public perceptions about native forest management.”

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Juken New Zealand has begun a formal consultation process with employees regarding a proposal to close its Northland Mill after failing to find a buyer. The company is to make a final decision on the Northland Mill’s fate by 16 July. Source: Timberbiz Workers First Northland members are shocked and disappointed following the announcement that the mill has failed to find a buyer and is proposed for closure. “We’re disappointed that no buyer has been found for Northland Mill but there is still a window for central Government to step up and push for a solution. Now is the time for a localised solution to save our manufacturing industry and our skilled woodworkers,” Workers First Marcus Coverdale said. The Northland Mill employs around 60 people, with 40 Workers First members who have redundancy provisions and may be able to access redeployment or other options. The potential closure of Northland Mill would be the seventh major wood processing site lost under the current National-NZ First-ACT Government. The company says the proposal reflects challenging market conditions, including falling demand in key markets, rising costs and insufficient work to keep the mill operating sustainably. JNL has made an extensive effort to identify a buyer or alternative pathway that would allow the site to continue operating, but this has not resulted in a viable option at this time. Triboard isn’t impacted by the proposal, and the process to explore a potential sale of that site as a going concern is continuing. According to Workers First the Triboard Mill appears to have found a buyer, or at least, was not proposed for closure. “In terms of sustainability, between the two mills, the full log is used. The top of a log is refined for the tri-board product, and the middle for veneers and mulch. Without a buyer found for the Northland Mill, we’ll be taking the top of the log for tri-board and sending the other raw two-thirds overseas without any value added,” said Mr Coverdale. No final decisions have been made. The company says it is committed to a thorough consultation process and is seeking feedback from employees and union representatives before determining next steps. We recognise the impact this will have on employees and their families and are providing access to support services throughout the process. Juken New Zealand owns 30,000 hectares of sustainably managed and certified plantation forests, providing ongoing employment to over 200 forestry workers in Tairawhiti and 100 in Wairarapa. The company has three working mills in Kaitaia and Wairarapa making wood products for local and export markets, with about 450 manufacturing employees combined. Owned by WoodOne Ltd, which established Juken New Zealand in 1990 and has since invested more than $NZ720 million into its forest and processing operations in NZ.

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Australia must decide what it wants from its timber supply, according to Forestry Australia. The organisation believes that ending native forest harvesting at home does not reduce the demand for timber; it simply shifts that demand elsewhere, including to suppliers the country cannot always vouch for. Source: Timberbiz Forestry Australia believes that when Victoria ended native timber harvesting in 2024, six years ahead of its previously scheduled 2030 end date, the demand for hardwood did not stop. Building supply chains looked interstate and overseas to make up the shortfall, with native hardwood once cut in Victoria now being sourced from Tasmania. Forestry Australia President Dr Michelle Freeman said the consequences were predictable. “When Victoria brought native forestry to an early close, the timber used in our floors, windows, furniture and joinery didn’t stop being needed, it just had to come from somewhere else, interstate or overseas,” she said. “We can either grow it here; in forests we manage to some of the highest standards in the world or import it from places where we have far less certainty about how it was produced.” Dr Freeman raised the issue in an interview on 3AW’s Mornings with Tom Elliott:  “Stopping timber harvesting in one area doesn’t magically make demand for that timber go away. Australians want and need timber products, and they should,” Dr Freeman said. Forestry Australia welcomed the ABC Four Corners program Timber Turmoil for highlighting a critically important issue: that ending local, regulated native forest harvesting in one area has significant flow-on effects to other states, to private land and, critically, to vulnerable forests overseas, which Australia becomes increasingly reliant on to meet ongoing demand. Native forest harvesting in Australia is renewable, regulated and certified. It occurs within a framework of legislation, codes of practice, operational controls, monitoring, independent auditing and internationally recognised forest certification frameworks. The alternative to locally grown timber is rarely no timber at all, but a switch to materials with a heavier environmental footprint, or to imports. “If we’re not sourcing timber from our own backyard, we have to get it from elsewhere or substitute it with other products that are almost always non-renewable, like steel, concrete or plastic,” Dr Freeman said. According to Dr Freeman, harvesting and conservation are not competing goals. A well-managed native forest supports biodiversity; stores carbon and protects water catchments while remaining resilient to bushfire and continuing to supply timber. Sustaining all those values is becoming harder as forests come under growing pressure from severe bushfires, invasive species, pests, disease and a changing climate, which is exactly why active, professional management matters. On the integrity of local supply, Dr Freeman said Australian operations were subject to strong oversight. “Harvesting in Australia is highly regulated and independently certified,” she said, noting the high level of scrutiny on operations, “particularly from environmental groups. They really can’t be getting away with doing anything untoward.” The greater risk lies in winding back well-managed local supply and leaning harder on imports that are difficult to trace, too often from forests run to standards far weaker than Australia’s. Dr Freeman said Australia already ran a timber trade deficit of around $2 billion a year, a significant proportion of it drawn from what she called high-risk countries, “those where the sustainability, environmental and social credentials are hard to verify”. She said this included conflict timber from Russia entering Australia via China. “So, Australia really needs to decide what it wants. For me personally, I would much rather we sourced our timber needs locally, from our own forests, where we know where it’s come from and we can verify it.”  

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