Australian timber industry news

The good steady run of reasonable pricing across export log sales over the last five months is now facing some head winds as a number of factors line up to potentially see some downward pressure on wharf gate log prices in Q2. A weakness in demand in China is being primarily driven by a combination of tariff concerns, domestic prices dropping and manufacturers lacking confidence. This is having a broader cumulative impact with most export agents experiencing buyers starting to refuse to issue contracts and Letters of Credit. Most are saying they believe prices will drop and they are waiting to see where the bottom is. Whilst we might otherwise have a sense of history repeating, this time any movements being quoted appear to be suggesting a few dollars only. All are quoting the Trump factor as causing as much nervousness amongst hina manufacturers as any single element. Increases in shipping costs are starting to be the order of the day with up to US$10 per cubic lifts for some voyages. The Red Sea Conflict is not helping. With Houthis rebels attacking commercial shipping, hundreds of vessels are diverting to the longer route around Cape Horn to get to the UK and Europe. Some commentators have suggested shipping costs are returning to slightly above where they were pre COVID. This is not good news for those with an expectation the new levels could be short lived. Erstwhile back in China, the total softwood log inventory has remained unchanged at about 3.9mil m3 and off port sales have been running along at around 60,000 per day. Again. the market fundamentals are not entirely unfavourable, so we do not expect the market to crash as it did in Q1 2024. Recent stimulus packages announced by the China government are not thus far adding economic revival to the extent of fixing a massively over stocked housing market. Some commentary has suggested there will be better times ahead as a consequence of the Government targeted spend. In India the signs are more promising. February log vessel arrivals totalled 7 with the same number predicted in March. This is about the right number with inventory falling and some of the distressed cargo held in bond also starting to move. Whist we can expect to see better price stability in India, shipping remains the most significant challenge, both in terms of cost and availability. The net impact of the current tariff on NZ logs is being quoted as the largest ticket item currently preventing us from growing our market share. At present NZ logs sold to India customers attract effectively a US$7 per cubic metre tariff. Thus, many forestry eyes are focussed on our Prime Minister and Trade Minister Todd McClay as they attempt a Free Trade Agreement. The removal of the tariff could add NZ$50 mil + per year to export earnings through a combination of tariff removal and the additional market share that would be created. In a scale context this does not sound like a big number. In reality, the total wood product sales from NZ to India in 2024 was $76mil. Clearly there is much to be done to develop this market. Kiwi Leaders have started by treating this as a front and centre issue. This has the forest industries wide support with clear evidence India has much to offer NZ forest owners. Our domestic sawmill owners seem mostly happy with sales levels just so so. Most seem to believe the impending winter could present scale challenges but there is a consensus new house starts are back on the rise and new sales enquiries at reasonable volumes increasing As with the log grade, the current firming of the NZ$/US$ exchange rate is not helping the bottom line. The perverse is if the illustrious President Trump succeeds with the current tariff impositions, this should help strengthen the US$ thus bring the Kiwi back down. The next two months could be interesting. If China domestic prices swing back up due to demand, we will be Ok. If they do not, it will be batten down the hatches and slow the number of log vessels leaving NZ. Kiwi loggers taking a good long week off at Easter would help. As always, please remember the thoroughly important message, “despite the challenges, it remains, as always, fundamentally important, the only way forward for climate, country and the planet, is to get out there and plant more trees”! Allan Laurie, Managing Director, Laurie Forestry.

US builders already pay a premium for the spruce, pine and fir lumber that Canada’s British Columbia produces and could soon face additional tariffs after President Donald Trump’s proclamation that America doesn’t need the province’s wood. Source: Vancouver Sun They like it particularly for framing walls because Canadian spruce, pine and fir is lighter, stronger and tighter-grained than the southern yellow pine lumber that is common in America but has a reputation for warping. US builders also need it because American mills still don’t make enough lumber to fill US needs, despite Trump’s declaration that “we have more lumber than they do.” “There’s just this gap between what the US can supply and what their demand is,” said Kurt Niquidet, president of the BC Lumber Trade Council, the main trade group that represents the BC industry’s interests in the U.S.-Canada tariff dispute. Since 2017, BC’ s lumber producers have faced countervailing and anti-dumping duties on US shipments. Over the last year those have ranged from 11.5% to 16.6% on Can$3.5 billion of BC lumber exports. Companies are now bracing for Trump’s on-again-off-again threats of an additional 25% tariff on exports on all Canadian goods to stick as of 2 April 2025. The US National Association of Home Builders estimated that tariffs on all materials would increase the cost on new homes to US$9,200 a unit. “It’s frustrating, but I think the facts of the matter point to something different,” Mr Niquidet said. The US housing market consumes a massive amount of lumber, some 50 billion board feet in 2024, but its lumber producers could only supply some 35 billion board feet, according to long-time industry consultant Russ Taylor. “There’s no way American supply, in the short-term, can do anything but rely on Canadian lumber,” Mr Taylor said. As of 2024, Canada made up about 12 billion board feet, or 24% of the US market. BC makes up more than half of that. The US gets another 6% of its lumber from overseas, mainly from Europe. “Tariffs are just going to push the price up and create shortages,” Mr Taylor said, adding that it will likely result in “market chaos” for such things as oriented-strand-board panels, pulp and newsprint. Spruce, pine and fir lumber isn’t exclusive to Canada, but it’s what mills in Canada’s boreal forests produce and is “a differentiated product” in the housing market, according to Mr Niquidet. “People like it for framing homes and so on,” Mr Niquidet said. “They like that it’s strong and it doesn’t warp and twist, so it’s got a good reputation with homebuilders.” For those reasons, Mr Niquidet said there will likely still be demand for Canadian lumber even if the US was able to expand its own lumber production as Trump has said he wants to. “What’s happening in the market right now, there’s actually a large premium on SPF over southern yellow pine,” Mr Niquidet said. Mr Niquidet said that, recently, US buyers were paying US$547 for 1,000 board feet of spruce, pine and fir two-by-fours, compared with just over US$400 for southern yellow pine two-by-fours. Mr Trump, on 1 March, signed an executive order aimed at the “immediate expansion of American timber production,” intended to pare back what are characterized as “heavy-handed federal policies” restricting the availability of timber on U.S. federal lands for lumber production. Mr Trump, in his order, stated the US “has an abundance of timber resources that are more than adequate to meet our domestic timber production needs.” But tapping that wouldn’t be a short-term project, according to Mr Taylor. Lumber producers would have to build the infrastructure needed: roads, bridges and transportation nodes to start logging, with big questions over where the labour to do so is going to come from, Mr Taylor said. New sawmills, he added, are major capital investments that cost roughly US$300 million to construct, and “who’d be going to build a mill not knowing what the rules of the game are? Are tariffs on or off, for how long?” Tariff threats are hitting the BC industry at the same time that it’s suffering through rounds of mill closures, consolidations and reduced production. BC’s exports to the US in 2024, 10.4 million cubic metres of lumber, were down 1% from 2023 and 42% from the industry’s last peak in production in 2016 when the province exported 17.9 million cubic metres of lumber. The province’s biggest lumber companies such as Canfor, West Fraser Timber Co, and Tolko, have already made major investments in the US South. “If we do see the 25% go ahead on 2 April, that would push us up to 39% combined tariffs,” Mr Niquidet said. “So, we expect the affects both sides of the border.” Mr Niquidet said Canadian producers would be able to pass on some of the increased cost to its buyers, but we’ll likely see some of BC’s higher-cost mills cut back on production, or even close. BC’s industry is also bracing for an increase in tariffs under the existing softwood lumber dispute. In February, the US Department of Commerce made a preliminary recalculation of those duties that would increase them to 34%, from 10%. So, those duties, combined with Trump’s tariffs, would raise the export bill to 55%.  

From 2014, the European Forest Institute (EFI) has granted the title of ‘European Forest City’ to the city which hosts the EFI Annual Conference. This year the conference will be held in Prague, the Czech Republic on 17-19 September 2025. Source: Timberbiz The title is given annually and lasts for one year. During this year, the city can utilize the title in its promotional materials and communications. EFI provides a special logo for this use. To meet the original goal of increasing awareness of Europe’s forests, it is expected that the city will include other forest-related activities for professionals and the public in their program for the year. Prague previously held the title in 2021. This prestigious recognition is based on the city’s efforts to promote environmental awareness, expand green spaces, and support activities related to forestry and nature preservation. With its extensive green areas, Prague is actively enhancing climate resilience and sustainability, as demonstrated in its Climate 2030 Plan, which includes the ambitious objective of increasing forest and green areas within the city. By prioritizing urban forests and green infrastructure, Prague sets an example of how cities can proactively tackle climate change while enhancing the well-being of their citizens. In urbanized European societies, the role of forests in providing commodities, welfare, health and other social benefits is easily forgotten. The European Forest Institute wants to increase awareness amongst the general public and decision makers about Europe’s forests and promote their versatility, significance and social impact.

Waratah Forestry Equipment has introduced a new line of forestry grapples said to deliver “exceptional performance and reliability”. The 15 new grapple models are engineered to deliver durability and reliability. Source: Timberbiz Waratah Forestry Equipment has introduced its new line of forestry grapples, designed to deliver exceptional performance and reliability across a wide range of forestry and non-forestry applications. The Waratah forestry grapple line includes three model categories to cover all types of forestry and non-forestry applications: The C Models are designed for traditional forestry needs. The C21, C26, C30, C36, C36HD, C42, C46 and C46HD models are ideal for traditional forestry applications and machines, including forwarders, log loaders, shovel logging machines and bioenergy recovery. With a symmetric frame, timing links and jaw tips designed to engage the pile at an optimal angle, these grapples ensure full loads are consistently secured. The Large C Models and built to tackle heavy-duty tasks. The C60HD, C80 and C100 utilise the same successful technical design as the C series, large C-model grapples are specifically designed for larger material handlers used in woodyards, ports and other large-scale operations. These robust grapples offer optimized frame structure and hydraulic features that minimize structural stresses, making them ideal for heavy-duty tasks. The E Models and made for maximum material handling. The C21E4, C30E4, C42E5 and C46E4 are purpose-built for handling slash, logging residues, stumps and bioenergy applications, these grapples offer specialized features for use with forwarders and chippers. The E models feature unique design elements, including a choice of four or five fingers for maximum material handling flexibility. In addition to being tough, Waratah grapples are designed for ease of maintenance. Greasing the grapple is straightforward, with a single position to safely perform maintenance while the grapple is lowered. The open frame structure further facilitates maintenance by offering easy access to hydraulic hoses. As with all Waratah products, these grapples come with easily accessible support for dealers and products, as well as genuine Waratah parts with an industry-leading warranty. Waratah grapples are available to customers in the United States, Canada, Europe, Australia, New Zealand, Asia Pacific, Brazil and Latin America. For application recommendations, consult your local Waratah dealer.

A hobby farmer hopes that his unique specialty timber silvopasture project will pave the way for other Tasmanian landowners to adopt the practice with confidence. Julian Devery plans to plant more than 2000 Castanea sativa, commonly known as sweet chestnut, seedlings at low density on his 21-hectare property at Riana in the Tasmania’s North-West for carbon abatement, specialty timber harvest, agricultural, and tourism benefits. Source: Timberbiz The sweet chestnut plantation will add to the existing 1150 oaks on the property, all of which will be under-grazed by Julian’s flock of 80 premium Wiltipoll cross Aussie White sheep. Mr Devery was one of three farmers to receive a share of the $450,000 Stems for CO₂ co-investment program, supported by the State Government’s Renewables, Climate and Future Industries Tasmania initiative, and will use the funds to bring his vision to fruition. Under Stems for CO₂, approximately 250 hectares of commercial trees will be planted across the properties of Julian, Alison Napier, and Dougal Morrison in Riana, St Marys, and Oatlands, respectively. The Tasmanian Government’s $10 million commitment in 2023 to maintain the state’s net-zero emissions status has been pivotal, with $600,000 allocated to Private Forests Tasmania to co-invest with landowners in establishing plantations for forestry and carbon farming while helping communicate the benefits of growing trees to other farmers and landowners. “We’ve had oaks here since about 2013, and in the dry months we notice how much better the grass grows in their shade compared to regular sheep paddocks without shade,” Mr Devery said. “This opportunity with Private Forests Tasmania came up, and chestnuts were on the list of alternative specialty timber tree species that were compatible with the program, so we did a bit more research. “Landowners have been growing sweet chestnuts in a silvopasture system since Roman times, specifically with sheep, and it’s still widely practised in that part of the world. “In Switzerland, Italy, and other regions, they still do it successfully, achieving good outputs for both sheep and timber.” Mr Devery will carry out three separate sweet chestnut plantings with varying stem density ratios per hectare in August 2026, following site preparation, including weed management and browsing control fencing. The largest planting of 10 hectares along with another two-hectare planting on a medium incline, will be established at 165 stems per hectare, while a more moderately sloped two-hectare section will be planted at 35 stems per hectare. The soil is deep, rich volcanic red and brown, and due to runoff from the hill, much of it remains slightly moist and fertile when surrounding flat land is dry and hard. While carbon abatement over a 40-year rotation is not Mr Devery’s primary motivator, he is keen to compare its sequestration potential against more common commercial species in Tasmania, such as radiata pine. “When we researched chestnut trees, one of the things that stood out was that, unlike pretty much any other tree, once you harvest the timber, they can be coppiced at ground level,” he said. “You cut them off at the ground, and the tree regrows itself, restarting the whole timber production and carbon capture cycle without the farmer having to deal with tree stumps or replanting.” Mr Devery said there are numerous benefits to using a silvopasture farming method, including improved animal welfare, water retention, and business diversification through agritourism. “There’s not much green grass out in the open paddocks in mid-February heading into March, but amongst the existing oak trees, the grass is still green,” he said. “The oak plantation already provides superior sheep grazing conditions compared to open paddocks, and this should also apply to the new plantings. “The two-hectare paddock with a broad-grid ‘dehesa’ planting layout will be compatible with commercial hay baling machinery, which will be of real interest to prospective silvopasture farmers who visit. “The timber should be valuable at some point — probably for my kids to sell rather than myself in 40 or so years. “This is also a really beautiful spot in Riana, and we’re planning to put in some tourist farm-stay accommodation. “Chestnut trees are stunning, and chestnut plantations are picturesque, especially in autumn. People could even get married here.” Preparations for planting have begun, including weed management, fertiliser application, and browsing and grazing control measures such as tree guards. Planting will be carried out by spade or using a handheld auger with no additional soil preparation required.

Forestry Corporation is planning hazard reduction burns in Bodalla State Forest this week after completing a successful hazard reduction in Bermagui State Forest last week. Source: Timberbiz The Derraquin Road hazard reduction burn will be completed north of Narooma and will be highly visible from the Princes Highway and the Narooma mountain bike trails. Forestry Corporation’s Fire and Operations Planner for Southern Region Cooper Ritchie said smoke will be visible from Dalmeny, Kianga, Narooma and Bodalla. “Our hazard reduction burns are conducted under suitable weather conditions, and endeavour to mitigate the impact of smoke on residents, however this may not be achievable in all cases,” Mr Ritchie said. “It is recommended if you or your family are sensitive to smoke to close windows and doors, particularly at night when the smoke settles in low-lying areas. “Motorists are also advised to slow down and drive to conditions on the Princes Highway, and traffic control will be in place,” he said. The Narooma Mountain Bike Trails will remain open during this time with modified traffic on Mitchells Ridge Road. Firefighters from FCNSW will be on site and carefully monitoring the burn. Motorists should obey any road closed signage and directions given by our forest offices and staff. The public is urged to only call 000 if they see an unattended fire. Forestry Corporation, the land manager of two million hectares of state forests in NSW, serves as one of the state’s four firefighting agencies.

For aspiring farmer Kyler Evans, the more he studies agriculture, the more he understands the value that trees can have. The Year 12 Exeter High School student admitted he had little idea of the significant impacts trees can make on the health and productivity of agricultural landscapes until participating in several Forest Education Foundation initiatives over the past couple of years. Source: Timberbiz “Originally, I thought forestry was just putting a tree in the ground, growing it, cutting it down, then you’ve got a book,” Mr Evans, 17, of Launceston, said. “Trees are very helpful when it comes to land management and the land itself. “They provide windbreaks for livestock and cropping, which help with survivability and productivity, and they are great for biodiversity and soil health. “The right tree in the right place can make a huge difference to the landscape.” The FEF, a Private Forests Tasmania Tree Alliance member, provides students throughout Tasmania with quality, hands-on educational experiences and facilitates forestry and agricultural industry engagement with education communities. Mr Evans and his fellow students have taken part in several experiences over the past two years, including planting a 111-hectare mixed-species shelterbelt at Exeter Farm School in 2024, attending a camp at Forico, and visiting Hagley School Farm for an introduction to plantation management and tree pruning, hosted by PFT. Students have gained knowledge and experience in the role of tree farms in the landscape, from seed propagation and plantation establishment to ongoing management, biodiversity conservation, social and cultural values, and fibre product processing. Mr Evans said he was introduced to farming by family members who work in agriculture, and he sees himself joining them once he has finished studying. “A career in some sort of agriculture is probably where I will end up, and a forestry job is not out of the question either, having had a taste of it,” he said. FEF manager Darcy Vickers said having worked with a group of students over an extend-ed period, it was great to see and be part of their growth as they explore new ideas and develop their understanding. “Meeting students like Kyler and being part of their learning journey really is a highlight of being an educator,” he said. “I’m confident Kyler will enjoy his career pathway and I’m sure he will stay connected to and appreciate the value of trees in the landscape.”

New Zealand Trade and Investment Minister Todd McClay has launched a public consultation on New Zealand and India’s negotiations of a formal comprehensive Free Trade Agreement. Source: Timberbiz “Negotiations are getting underway, and the public’s views will better inform us in the early parts of this important negotiation,” Mr McClay said. This follows a recent trip to India by New Zealand Prime Minister Christopher Luxon during which a Memorandum of Co-operation (MOC) was reached to restart free trade negotiations. Initial negotiations started during 2011 and continued until 2015 but then stalled. Mr Luxon’s trip rebooted the negotiations which, this time, were more successful. The MOC with India includes the export of timber. New Zealand wood and forest product exports to India decreased from a high of NZ$326 million in 2019 to an estimated NZ$76.5 million in 2024 this agreement could improve the situation. Although export opportunities remain for a range of timber and lumber products, the bulk of the export volume and receipts have previously been driven by India’s demand for New Zealand logs. The MOC also lays the groundwork for co-operation on areas such as sustainable forest management, research and innovation, capacity building, and certification. Now the government is offering all interested New Zealanders, including businesses, NGOs, and members of the public the opportunity to make a submission prior to 15 April 2025. With a population of 1.4 billion people and on track to become the world’s third-largest economy by 2030, India holds significant potential for New Zealand and will play a pivotal role in the Government’s goal to double New Zealand’s exports by value over the next ten years. “Alongside trade agreement negotiations, New Zealand will continue to invest in stronger, deeper, more sustainable connections with India across all pillars of the relationship, including our political, defence and security, sporting, environmental, and people-to-people connections,” Mr McClay said. For more information, including on how to make a submission visit: https://www.mfat.govt.nz/have-your-say before 15 April 2025. 

The Australian Forest Products Association (AFPA) has launched a candid new video that demonstrates the importance of the essential and sustainable products the timber industry creates. Source: Timberbiz “This video Try living without Aussie timber and paper is the latest development in AFPA’s 2025 Federal Election Campaign following the launch of our policy Platform Australian Timber. Australia’s Future, new billboards in key forestry battleground electorates and the forestfacts.com.au website to counter disinformation being spread about the forestry sector,” AFPA CEO Diana Hallam said. “It’s a comedic and quirky video with AFPA staff acting out each scene but it has a serious message about what life would be like without us. It should serve as a reminder to everyone and particularly our sector’s detractors about how important we are. “Whether it’s timber to build your house, cardboard boxes, furniture or even toilet paper – there is so much our sector is responsible for that we literally cannot live without. We need a strong forest products sector supply chain to ensure we have sovereign capability in timber and wood-fibre, can fight climate change at scale and provide employment for thousands of Australians. “While there are substitutes for the products we need in our daily lives, none are as climate friendly, renewable and sustainable as those originating from timber and wood-fibre. I hope this video can continue to help educate everyone about the importance of Australian forestry,” Ms Hallam said. Watch the video at https://www.youtube.com/watch?v=T6D452lywiY

Timber Queensland has acknowledged the outstanding contribution Colin MacKenzie has made to the timber industry both nationally and in Queensland. Mr MacKenzie passed away on 24 March in Brisbane. Source: Timberbiz “It is with heavy hearts, we note the passing of Colin MacKenzie, a visionary in timber engineering, a dedicated contributor to the built environment, a legendry dry-humoured colleague and a friend to so many in our industry nation-wide,” Timber Queensland CEO Mick Stephens said. “His loss will be particularly felt by the many former and current directors and staff of Timber Queensland who have known and worked with Colin over many decades, as well as the hundreds of member companies and technical bodies that relied and benefited from his advice. “Timber Queensland, the broader timber and building industry and the community all owe a great debt to Colin MacKenzie. His tireless work and reputation to develop and educate the industry on relevant timber codes for structural integrity and safety is un-questionable.” Mr MacKenzie passed away on the morning of 24 March in Brisbane aged 75 following a period of illness and is survived by his loving wife Christine and daughters Aleisha and Trina. His influence on the timber and building industries will be felt for generations to come. Affectionally known as ‘The Timber Expert’ due to his skills and experience, his enthusiasm and commitment to timber product education will be hard to replicate. Mr MacKenzie’s journey in engineering began in Melbourne, where he graduated from the Caulfield Institute of Technology in 1974. With over 40 years of experience in all facets of timber and wood product design, use, and application, he became a leading authority in the field, particularly where timber was used in building and construction. His expertise was built from his early days as a Technical Officer with CSIRO’s Divisions of Forest Products and Building Research through to his leadership roles as Technical Director, TRADAC and later Manager of Timber Application and Use with Timber Queensland. His contributions were instrumental in advancing timber construction standards, ensuring structural integrity, and promoting innovative applications for wood products. Over the course of his career, he became a defining figure in timber engineering, working with the Timber Research and Development Advisory Council of Queensland (now Timber Queensland) before establishing MacKenzie Consulting. His work spanned durability design, domestic engineering, and the advancement of Australian Standards and Building Codes. A leader in pioneering timber grading and in-grade testing programs, his impact reached far beyond Australia. He served on numerous Australian Standards Committees including the Timber Structures Committee, the Structural Timbers Committee and the Timber Framing Committee. Internationally, he represented Australia on the ISO TC 165 Timber Structures Committee, ensuring that his expertise shaped the global timber industry. His commitment to education and industry advancement was evident in his contribution to writing numerous technical publications, including the renowned Timber Queensland Technical Data Sheets, Queensland Timber Framing Manuals, Mult-Residential Timber Frame Construction publications, AS 1684, and the Handy Span Tables book. He played a key role in research projects such as Advanced Flooring Re-search, Recycled Timber Grading, and Durability Design, all aimed at strengthening the future of timber construction. Beyond his professional achievements, Mr MacKenzie was recognized with the ‘Stanley A. Clarke Medal’ from the Institute of Wood Science in 1999, an acknowledgment of his outstanding contributions to timber technology. He was also a Registered Professional Engineer in Queensland, a member of the Institute of Engineers, the Building Disputes Practitioners Society, and served on influential committees including the HIA Legal and Technical Committee and the Queensland Building and Construction Commission Industry Reference Group. His legacy is not only in the structures that stand strong today because of his work but in the numerous generations of people he mentored, the standards he helped establish, and the industry he loved and gave so much. Though he is no longer with us, his work remains as a lasting testimony to the industry and the many builders and certifiers that have relied on his knowledge and expertise – solid, resilient, and built to last, just like the timber he so passionately championed. “Given his significant influence spanning decades we know there will be many in the industry who will want to pay their respects, and we are discussing with Colin’s family their wishes for memorial arrangements. In addition, Timber Queensland will be putting in place a lasting legacy to appropriately recognise Colin’s contribution in the field of timber engineering in Australia. We are talking with other industry partners and will be able to make a further announcement at the appropriate time,” Mr Stephens said.

The Australian Forest Products Association (AFPA) has welcomed the Federal Government’s investment announcement of $54 million to support prefabricated and modular home construction. Source: Timberbiz AFPA Chief Executive Officer Diana Hallam said Aussie grown, sustainable timber and wood-fibre are key materials resources for the expanding prefabricated and modular construction industry and it’s important the right regulatory guidance and government support framework is set, as demand increases for these new home options. Over the weekend, the Government announced $49.3 million to support state and territory governments to boost prefabricated and modular home construction and $4.7 million for the development of a voluntary national certification process to streamline approvals and standards. “Australia desperately needs new and innovative ways to deliver much needed new homes and the forest products sector has been ahead of the curve diversifying into pre-fabricated and modular housing construction,” Ms Hallam said. “We welcome the Albanese Government’s support to assist state and territory jurisdictions with this expanding form of housing and funding to develop a national voluntary certification process, to assist industry confidence in the manufacturing process. “Just last month, the Productivity Commission recommended a scaling back of ‘unnecessary regulatory impediments’ into new construction methods like prefabricated and modular housing, which is why it’s important that governments work with industries like ours when developing certification processes – and we extend a willing hand to be part of that development process,” she said. “The benefits of using Aussie grown sustainable timber and wood-fibre for housing construction are many. Our materials naturally store carbon and help fight climate change, while our sector supports skilled employment, much of it located in regional Australia. “We thank the Government for this announcement and will work with them and the Dutton led Opposition ahead of the election to ensure our Australian Timber.”

Forestry technology company Kesla is renewing its operating model and management team as part of the systematic implementation of its growth strategy. The changes took effect on 17 March 2025 but will not impact the structure of Kesla’s financial reporting. Source: Timberbiz To achieve the goals set for the 2024–2028 strategic period, Kesla has identified three key themes: bold renewal, profitable growth, and succeeding together. The renewal of the operating model and management team ties these themes together. In the new organization, the previous business unit structure will be changed, and tractor equipment, logging equipment, truck and stationary cranes, and defence products will be referred to as product groups. Front line functions – sales, product management, marketing, and after sales services will be combined into a new Sales and Customer Care organization. A Sales and Customer Care Director will be appointed to lead this new organization, and the recruitment process is underway. Until the position is filled, CEO Pasi Nieminen will take on the role alongside his existing duties. The Kesla Defence product group, established in January 2025, will retain separate sales and product management functions due to the specific characteristics of the defense industry market. Tapio Pirinen will continue to lead sales for the product group and, as part of the organizational reform, will also take on responsibility for the company’s PMO (Project Management Office) functions. “At the core of our strategy is enhancing the customer experience. By reorganizing our frontline functions, we improve our customer processes and can offer better service and faster responses to market needs,” CEO Pasi Nieminen said. “Merging sales and after sales organizations allows us to allocate resources more evenly, flexibly, and efficiently across selected market areas to support growth. Strong product management, in turn, plays a key role in building a product strategy that aligns with our strategic objectives in key markets. All these actions support the most important goal of our strategy: profitable growth.” This transformation is a significant step in Kesla’s organizational development, following the earlier dismantling of business unit specific product development and production responsibilities. Product development, product management, digitalization, Kesla Defence, and PMO will now be included in the management team, as they are critical functions in achieving Kesla’s strategic goals. Jukka Sadinmäki will continue as Head of Product Development. Mika Tahvanainen, previously Business Line Director of Logging Equipment, has been appointed Director of Product Management and Digitalization. Ari Pirho-nen, formerly Business Line Director of Truck and Stationary Cranes, has been appointed Sales Director of Cranes for the Finnish market, which is a significant market for Kesla. The reorganization was carried out as a change negotiation process, but no staff reductions resulted from it.    

The Decorative Hardwoods Association (DHA) in the US says it appreciates the opportunity to provide public comment on the United States Trade Representative’s (USTR) request for comments regarding unfair trade practices that are present throughout the world and are detrimental to United States wood product manufacturers. Source: Timberbiz DHA says its members have been the victims of unfair trade practices engaged in by countries throughout the world but particularly in Asia. These practices are ripe for review by USTR, the Department of Commerce, and President Trump’s American Manufacturing and Trade team. DHA members, particularly hardwood plywood manufacturers and engineered wood floor manufacturers, have in recent years successfully pursued antidumping and countervailing duty trade cases against Chinese manufacturers. While helpful, these cases are time-consuming and expensive and do not solve the problem. DHA says that too often, Chinese companies are quick to trans-ship through other Asian countries like Vietnam, Indonesia, or Malaysia. “Our Coalition for Fair Trade in Hardwood Plywood successfully pursued a circumvention case against Vietnamese shipments of hardwood plywood made with Chinese inputs with a ruling in 2023,” Keith A. Christman President Decorative Hardwoods Association said in a statement. “This slowed high levels of imports from Vietnam for a bit over a year but imports are again surging, rising 52% in 2024 to nearly 615 million square feet. For comparison, US manufacturers have reduced production to only 676 million square feet in 2023 after years of competing with unfair imports from Asia. “US capacity utilization has been reduced to around 50%, and many good jobs in rural communities have been lost when mills have been closed. US trade laws have not been able to keep up and should be updated to better reflect the reality of the import competition faced by domestic manufacturers. To help solve this problem, we would encourage support for the Leveling the Playing Field 2.0 Act.” A fundamental problem the DHA sees is that US manufacturers of hardwood plywood, hardwood veneer, and engineered wood floors are forced to compete against imports with prices below the cost of production. This wood raw material represents a major portion of total cost in the Us. Yet imports are often sold at prices that are at or below US manufacturer raw material cost as result of using unsustainably and illegally harvested wood. Wood from Russia is an excellent example of the problem. In 2024, the United States imported over US$62 million of birch plywood from Russia. However, these direct imports from Russia pale in comparison to the nearly US$200 million of birch plywood imported from Vietnam and the nearly US$160 million imported from Indonesia. Birch does not grow in Vietnam or Indonesia. These imports come in at low or no tariff rates despite-the-fact that they are made with Russian-origin birch. Russia is the source for nearly all the birch used in manufacturing birch plywood from China, Vietnam and Indonesia. For example, more than 90% of hardwood plywood imported from Vietnam is birch. Vietnam both directly imports logs from Russia and imports birch veneers from China produced from Russian logs. These Russian logs are harvested from state owned forests in unsustainable methods and at dumped prices according to DHA. All plywood made with Russian-origin wood and wood inputs, whether imported directly from Russia or from a third country after further processing, harms US manufacturers and supports the Russian war effort. Accordingly, DHA recommends that the administration consider banning Russian wood products and products from third countries made with Russian wood. In addition to banning all wood products made from Russian wood, USTR should consider increasing the tariff on wood products made with birch that often comes in at no tariff. For example, birch plywood imports from any country to the US are not subject to normal 8% duty applied to other wood species. This results in a loophole where, for example, an importer will claim a product is birch plywood when it has a birch back and a white oak face and it comes in duty free. Then it will be sold in the final market as much higher value white oak plywood that would normally face an 8% duty. This duty-free tariff on birch further encourages the use of Russian fibre in products coming into the US through third countries.

Japan Airlines (JAL), Airbus, Nippon Paper Industries, Sumitomo Corporation, and Green Earth Institute (GEI) have signed a Memorandum of Understanding (MOU) to collaborate on the realization of sustainable aviation fuel (SAF) using bioethanol derived from domestic wood. Source: Timberbiz In February 2023 Nippon Paper, Sumitomo Corporation, and GEI launched the “MORISORA Project.” In February 2025 an agreement was signed to establish a joint venture to manufacture and sell bioethanol made from wood biomass. JAL and Airbus have now joined the project and will promote the use and expansion of domestic SAF by collaborating with businesses involved in the supply and demand of SAF. The five companies will work to enable a low-carbon society by reducing greenhouse gas emissions during raw material procurement and production, and by producing and selling domestic wood-based bioethanol that has a low LCA and is compliant with CORSIA. This will be achieved through the developing society’s circular economy of “cutting, using, planting, and growing” trees, regional revitalization including job creation, and the utilization of domestic SAF. JAL aims to promote domestically produced SAF and has set a goal of replacing 10% of all onboard fuel with SAF by 2030. By connecting the SAF suppliers with stakeholders involved in production, JAL will advance the construction of a supply chain. Airbus will support the work to obtain the CORSIA certification for the domestic woody biomass of this project and contribute to the industry target to achieve net-zero carbon emissions by 2050. The five companies will mutually leverage their strengths to produce and pro-mote domestic SAF made from bioethanol using domestic wood, aiming to create a decarbonized society and revitalize local communities through re-source circulation and work towards a sustainable future.

A newly published ABARES Insights report has emphasised concerns around non-tariff barriers (NTBs) and their sharp increase in recent years. Source: Timberbiz The report, Non-tariff barriers: a multi-billion dollar burden, sheds light on the costs created for Australian agricultural exporters from non-tariff measures across the world. Executive Director of ABARES, Dr Jared Greenville, said the report’s findings highlight the need for strong and sustained effort by government to combat the growth of NTBs to minimise their impact on trade. “The Insights report shows the rising burden associated with NTBs” Dr Greenville said. “We are seeing the use of NTBs rise as tariffs fall, causing concern that one form of trade distortion is being replaced by another. “NTBs impose higher costs for Australian agricultural exporters as they can restrict products entering a country due to licensing requirements and product labelling re-quirements, amongst others. “While the average tariff on agricultural goods has dropped globally from 26% to 12% since 1995, we have seen a consistent and steep increase in NTBs growth across the world since 2014.” While some non-tariff measures may increase trade, findings from the report indicate that at a product level, NTBs cause the equivalent reduction in trade as a 19% tariff on average. New modelling in the report shows that the removal of NTBs could result in $4 billion in annual benefits for the Australian agricultural industry, but efforts to address NTBs must be specific and targeted. “The rise in NTBs unfortunately reduces opportunities for businesses looking to participate in international markets,” Mr Greenville said. “Better market access is important to Australian agriculture and the jobs its supports. It also supports efforts to diversify our export markets for our agricultural products.”  

Sumitomo Forestry is pleased to announce that two of its facilities/products have received iF Design Awards in 2025. The joint mass-timber office development, “T3 Collingwood” in Melbourne, Australia received the top honour, the Gold Award. Source: Timberbiz The interior design idea, “Kids’ Base (around the centre of the house),” conceptualized by Sumitomo Forestry received the Design Award. This is the first time that Sumitomo Forestry Group has received this award. The Gold Award for T3 Collingwood was won by recipients Hines (a US developer), Sumitomo Forestry, NTT Urban Development Corporation and Jackson Clements Burrows Architects (Australian architecture firm). T3 is a mass-timber office building in Collingwood, a suburb of Melbourne, Australia. Comprising 15 floors above ground and two basement floors, it is designed as a hybrid structure with the basement to sixth floors made of reinforced concrete, and the seventh to 15th floors made of timber. It is the tallest mass-timber office building to be completed in Australia. Cross-laminated timber made from Australian Radiata Pine is used for the floor slab, and GLT (glued laminated timber) from Victoria, is used for beams and pillars with an exposed finish. The building received the highest Gold rating for its exceptional office design, openness that draws in an abundance of natural lighting, quality and longevity of the building. The German “iF International Forum Design” has been presenting awards to outstanding industrial designs from around the world since 1954. There are nine award disciplines: Product, Packaging, Communication, Service Design, Architecture, Interior Architecture, Professional Concept, User Experience (UX), and User Interface (UI). This year, there were 10,651 entries from 66 countries and regions, which were evaluated by 131 design experts from around the world with 75 entries (0.7% of all entries) selected for the highest award. Along with the Red Dot Design Award (Germany) and the iDEA Award (US), the iF Design Award is said to be one of the world’s three most prestigious design awards.  

After an extensive interview and selection process the Governing Council of the Victorian Forest Products Association (VFPA) has appointed Richard Mulcahy as the inaugural Independent Chair of the association. Source: Timberbiz Mr Mulcahy has had a long involvement in politics and served as Deputy Leader of the Opposition and Shadow Treasurer, as well as Chair of the Public Accounts Committee in the ACT. He was also Principal Personal Assistant to a former Victorian Premier.  He has held CEO positions in a number of industry bodies. Mr Mulcahy will take up his role on 1 April 2025. This is an important step in strengthening VFPA’s strategic direction and the association looks forward to Mr Mulcahy’s leadership in advancing the industry’s interests. VFPA’s current Chair, Rob Hescock, will continue in his role on the VFPA Governing Council.

New Zealand Forest Managers (NZFM) has resumed its New Zealand pine log exports to India in the first half of 2025. This marks the first time NZFM has exported pine logs to India since the 2019/20 period. Source: Timberbiz “This is the beginning of a renewed focus on the Indian market,” Jonathan Cameron, NZFM Chairman said. Historically, NZFM has exported between 40,000 to 50,000 JAS m3 of logs per annum to India, with the last shipment occurring in January 2020. As part of its own diversification strategy, NZFM aims to expand its customer base beyond its current markets in South Korea, Japan, and China. “India represents a significant opportunity for growth, leveraging New Zealand’s reputation for high-quality timber” Mr Cameron said. Working with industry and partners, the company plans to introduce New Zealand pine logs to a variety of high-value applications in India, including interior products, structural timber, and building supplies, much beyond their traditional use in industrial packaging and construction products. Prime Minister Christopher Luxon highlighted NZFM’s efforts as a reflection of New Zealand’s broader export strategy. “It’s companies like NZFM that are driving growth in export value by promoting innovative, higher-value use cases for New Zealand’s high-quality logs. This aligns with our goal to double the value of exports and showcase the premium quality of what New Zealand offers,” Mr Luxon said. NZFM is highly supportive of the Letter of Intent on Forestry Cooperation signed by Ministers on the Prime Minister’s Trade Delegation to India and is keen to collaborate and cooperate with government officials, industry, and our counterparts in India on the areas outlined in the Letter. Mr Cameron indicated that “particular areas of interest are exchange of knowledge, processes and innovation as well as exploring the adaptation and application of cutting-edge technologies we have seen on the Prime Ministers Trade Mission to India into our New Zealand forestry industry”. NZFM is a 100% Māori-owned professional forestry management company based in Tūrangi and Taupō in New Zealand’s central North Island. Established in 1989, the company manages over 100,000 hectares of client land, including 80,000 hectares of productive forests. NZFM provides comprehensive forestry services, including land management, forest development, protection, environmental stewardship, investment, harvesting, and global sales and marketing throughout the Asia-Pacific region. NZFM’s clients include Māori trusts and incorporations, the New Zealand Government, local councils, Timber Investment Management Organisations, and private entities.

  Chief Fire Officer Chris Hardman of Forest Fire Management Victoria said in an open letter that as summer fades and autumn begins, we take a moment to reflect on the challenges of extreme heat, bushfires and storms over the past months have tested communities across the state, reinforcing the importance of preparedness, swift response and resilience. Source: Timberbiz Mr Hardman said: We feel for the communities affected by these events, and I thank our crews, contractors, incident management personnel and partner agencies for the work they do to keep Victoria safer. While the seasons may be changing, our focus remains the same, making sure resources are where they’re needed, learning from recent events and strengthening our strategies for the future. “The seasonal outlook shows a higher chance of warmer maximum temperatures into early autumn which may delay the start of planned burning in some parts of the state. It also raises opportunities for planned burning targeting areas that are not usually available under autumn conditions. We manage Victoria’s bushfire risk in a holistic way, including but not exclusively – through planned burning. Large intense bushfires are a significant threatening process to the natural environment. Victoria’s home to some of the world’s most spectacular natural places, fire risk management needs to be balanced alongside land management to be effective. Reducing the risk and impacts of bushfires requires a multi-facetted approach; there are no magic bullets. Victoria’s approach includes having the right road network for accessibility, strategic fuel breaks, fuel management through planned burning and mechanical fuel treatment and advanced approaches to suppression through well-trained people and highly specialised plant, equipment and aviation. Victorian firefighters and fire managers are world class. We rely on the latest, wide-ranging and global body of research and work with other jurisdictions, but we apply our experience and knowledge to Victorian conditions. Planned burning is part of our long-term strategy. It’s not just about a single burn, or single year, but an ongoing process aimed at creating a strategic network of fuel-reduced areas on public land. This network helps to slow the spread of fire and helps firefighters to reduce threats to communities, critical infrastructure and the environment. Autumn typically provides our crews more opportunities to conduct planned burns, as the weather is more stable, and fire behaviour tends to be manageable and predictable. As soon as favourable weather and forest conditions arrive, we’ll be making sure all available resources are delivering planned burning, with a strong focus on priority areas like Midlands, Yarra Ranges, Murrindindi, Ovens, Otways and Latrobe Valley. There may be some forest and road closures in place during and after planned burning. Visit the Planned Burns Victoria website before you travel to make sure your trip isn’t affected. If you live in or are visiting an area where planned burning is taking place, there’s a good chance you’ll see FFMVic firefighters preparing locations or delivering planned burns. They’ll be the ones in our distinctive green firefighting uniforms.

A major study after the devastating 2019-20 wildfires in Victoria and New South Wales found that prescribed burning dramatically reduced the intensity of the fires, according to a bushfire expert. Source: Phillip Hopkins, Latrobe Valley Express Dr Tony Bartlett, a winner of the Australian Fire Service Medal (AFSM), said after 2019-20, a major study was undertaken to test the effectiveness of prescribed (fuel reduction) burning at a landscape scale in terms of reducing the severity of the wildfire in a wide range of forest ecosystems. Dr Bartlett was part of a three-person panel that investigated the impact of the wildfires on Victoria’s Regional Forest Agreements, The major study examined 307 prescribed burns greater than 200 hectares that had been conducted in the previous five years, and which were within the footprint of the 2019-20 wildfires. “It found that about half (48%) of these prescribed burns resulted in significantly reduced wildfire severity,” said Dr Bartlett, writing in the Commonwealth Forest Association newsletter. “It also found that the more recent prescribed burns had a more positive impact on reducing fire severity, with 66% of one-year-old burns having a positive impact compared to 42% of five-year-old burns.” Dr Bartlett said Australian academics Professor David Lindenmayer and Associate Professor Philip Zylstra had made claims about the impact of prescribed burning on forest flammability. “None of the claims … are supported by evidence from long-term monitoring of replicated trials where prescribed burning has been conducted,” he said. The academics in articles reproduced in the CFA newsletter argued that prescribed burning and logging made Australian native forests more flammable. They said prescribed burning should be confined to areas close to high-value assets and that when fire is excluded for more than 40 years, the native forests do not burn at high intensity because the vertical connectivity of the forest structure is reduced through natural ecological processes In contrast, Dr Bartlett said the late Associate Professor Kevin Tolhurst studied the effects of repeated low-intensity prescribed fire in mixed species eucalypt forest in south-east Australia using repeated trials (including no-burning sites) for almost 40 years. “He found there was no loss of species but the impact on understorey plant species varied according to the nature of different species,” Dr Bartlett said. “My own observations at these research sites in October 2024 indicated there was significantly less understorey vegetation in the repeatedly burnt sites than in the unburnt control sites – which contradicts the Lindenmayer-Zylstra view that prescribed burning in eucalypt forests promotes dense flammable understorey vegetation.” Dr Bartlett said the academics’ propositions ignored the evidence of comprehensive fire research done by the CSIRO and state government land management agencies, as well as the lessons from numerous inquiries after major wild-fires over the past 80 years. “Moreover, the notion that fire can be excluded from most Australian forests for more than 40 years is fanciful, given the increased frequency and extent of wildfires over the past 20 years under challenging climate conditions,” he said. “Importantly, there are numerous journal articles that either challenge their re-search findings or present evidence that indicates their findings are incorrect.” Dr Bartlett said the academics’ claim that timber harvesting causes the native forest to be more flammable was undermined by evidence. Wildfire, including the rate of spread and fire intensity, depended on three main factors: the quantity and structure of fuel in the vegetation; the prevailing weather – wind and humidity; and the topography of the location of the fire. Thus the severity of the wildfire was the result of interacting factors, “not a single factor such as whether or not timber harvesting has been undertaken in that location”. Dr Bartlett cited several wildfire examples: In NSW, the 2019-20 burnt about 4.1million hectares of forest, including 2.23m ha of national park and 0.76m ha of State forest. Timber harvesting had made up about 0.21m ha of State forest over the previous 35 years. Official NSW data showed about 53% and 50% burnt at high and extreme severity in both tenures. At the landscape level, they concluded that fire severity was much the same regardless of tenure. Fire in 2019-20 burnt over 855,00 ha (79%), 37% extreme severity, of the Greater Blue Mountains World Heritage Area, but timber harvesting had no impact in the wilderness area. Areas of prescribed burning five years before had 26% burnt at high or extreme severity. In Eastern Victoria, 2019-20 wildfires burnt 1.5m ha – 89% public forest that included 486,000ha of national park and 403,000ha of State forest. Victorian data showed that 48% of national park and 49% of timber harvest areas burnt at high severity. “It is clear that the presence or absence of timber harvesting made little difference to the extent of high severity bushfire. Dr Bartlett said the academics last year published a review of selected global literature on the role that disturbance (fire, timber harvesting or clearing) can play in forest flammability. Much of this relied on their previously published articles. “They did not quote any of the extensive literature that showed a re-duction in fire severity in areas where prescribed burning had been conducted,” he said. Concluding, Dr Bartlett said clearly the greatest risk to Australian native forests is the increased frequency of landscape-scale wildfires burning at high intensity. This would “ultimately change the composition and structure of our forest systems”. “The lived experience evidence clearly shows that timber harvesting is not in-creasing the risk of native forests being burnt at high severity,” he said. “Far from being a cause of increased high severity fire, prescribed burning reduces fire severity in many forest areas where it has been undertaken.”