- The import tariff on wood was reduced following the Uruguay Round trade agreement, but a move towards liberalization of the wood trade persists, with some producing countries, including the US and Canada, insisting on further reductions and the elimination of the tariff. Meanwhile, growing awareness of global environmental protection has triggered various activities to protect forests. Against this backdrop, efforts have been made to certify and label wood as one way of achieving harmony between the wood trade and environmental conservation. The proposed system wants to encourage consumers and others to purchase selectively by certifying forests that are under sustainable management and labeling the wood and wooden products they produce.
- Figures for wood supply and demand in Japan in 1999:
- Demand by application:
| Sawnwood |
41,175 |
(42.1) |
| Plywood |
13,705 |
(14.0) |
| Pulp |
40,956 |
(41.9) |
| Others |
1,970 |
(2.0) |
| Total |
97,806 |
(100.0) |
- Supply by origin:
| Domestic |
18,761 |
(19 .2) |
| Imported |
79,045 |
(80.8) |
| Total |
97,806 |
(100.0) |
(Unit: 1,000 m3)
Source: Supply and Demand Table for Wood, the Forestry Agency
Only 19.2% of the wood supply is self-supported, with 80.8% imported to Japan.
- Imports of wood by item in Japan for 1999:
| Log |
18,784 |
(23.8) |
| Sawnwood |
15,081 |
(19.1) |
Plywood, etc.
|
8, 181 |
(10.3) |
| Chips |
25,295 |
(32.0) |
| Pulp |
10,144 |
(12.8) |
| Others |
1,560 |
(2.0) |
| Total |
79,045 |
(100.0) |
(Unit: 1,000 m3)
Source: Supply and Demand Table for Wood, the Forestry Agency
- The import of logs is on the decline, but log-product imports are increasing due to a policy in exporting countries of restricting log exports but expanding high-value-added log products. In Indonesia, a 15% export tax is levied on log exports. Sarawak Province, Malaysia had banned log exports in 1993, but in November 1996 re-approved them with an upper limit of 2 million cubic meters per year, in order to collect export royalties following the deterioration of the Provincial government.
Value of log imports in 2000 by region:
| U.S.A. |
937,954 |
(40.1) |
| Russia |
457,275 |
(19.5) |
| Malaysia |
353,270 |
(15.1) |
| Canada |
227,472 |
(9.7) |
New Zealand
|
149,383 |
(6.4) |
| Others |
216,199 |
(9.2) |
| Total |
2, 341,553 |
(100.0) |
(Unit: 1,000 dollars)
Log imports by origin in 2000 (Unit: 1,000 m3)
| American timber |
4, 783 |
(30.0) |
| South Sea timber |
3,032 |
(19.0) |
Northern Sea timber
|
5,605 |
(35.1) |
| New Zealand timber |
1,843 |
(11.6) |
| Others |
686 |
(4.3) |
| Total |
15,949 |
(100.0) |
Source: Trade Statistics, Ministry of Finance
Log imports may at best maintain their current level, as the inventory level is high and new housing starts in Japan are forecast to be flat or decline.
- Sawnwood is made by sawing material wood. The majority of sawnwood is consumed as construction materials, but may be used for furniture, fittings, civil engineering, transportation, packaging materials, ship building and vehicles.
Japan imports and exports sawnwood. Value of exports in 2000 by destination:
| Germany |
2,574 |
(31.1) |
| China |
1,593 |
(19.2) |
| Taiwan |
1,381 |
(16.7) |
| Vietnam |
852 |
(10.3) |
| Others |
1,889 |
(22.7) |
| Total |
8,289 |
(100.0) |
(Unit: 1,000 dollars)
Source: Trade Statistics, Ministry of Finance
Most exports from Japan are broadleaf trees grown in Hokkaido, whose applications include furniture and decorative construction materials.
Value of sawnwood imports in 2000 by country:
| Canada |
1, 407,589 |
(40.0) |
| U.S.A. |
322,022 |
(9.2) |
| China |
278,566 |
(7.9) |
| Indonesia |
239,719 |
(6.8) |
| Malaysia |
224,775 |
(6.4) |
| Others |
1, 045,978 |
(29.7) |
| Total |
3, 518,649 |
(100.0) |
Total
Unit: 1,000 dollars
Source: Trade Statistics, Ministry of Finance
In 2000, 48.2% of lumber was produced domestically and 51.8%, imported. Demand for sawnwood of stable quality, i.e. standards and dryness, is growing with the introduction of the housing quality assurance system. With demand for structural and interior materials shifting to engineered woods, including laminated wood, sawnwood demand is expected to decrease.
- Chips are chiefly used to produce paper. Importing some 70% of the worldfs chips, Japan is the largest chip importing country. In 2000, 30.3% of chips were produced domestically, and 69.7%, imported. Value of imports by country:
| Australia |
533,210 |
(27.8%) |
| U.S.A. |
495,677 |
(25.8%) |
Republic of South Africa
|
225,327 |
(11.7%) |
| Chili |
203,954 |
(10.6%) |
| China |
91,141 |
(4.7%) |
| Others |
370,227 |
(19.4%) |
| Total |
1,919,536 |
(100.0%) |
Unit: 1,000 dollars
Source: Trade Statistics, Ministry of Finance
Going forward, consumption of both domestic and imported chips is expected to decline, as the production of paper and pasteboard is forecast to remain unchanged and the use of old paper is on the rise.
- Plywood consists of layers of thin-stripped timber (single boards), which are pasted together with adhesive to make a board. Japan exports and imports plywood. Value of exports in 2000 by country:
South Korea
|
3,368 |
(48.0%) |
| Indonesia |
646 |
(9.2%) |
| Vietnam |
608 |
(8.7%) |
| Others |
2,388 |
(34.1%) |
| Total |
7,010 |
(100.0%) |
Value of single board (including sheet board) exports in 2000 by country:
| U.S.A. |
4,508 |
(29.1 ) |
| Philippines |
2,707 |
(17.5 ) |
| Others |
8,253 |
(53.4 ) |
| Total |
15,468 |
(100.0 ) |
Unit: 1,000 dollars
Source: Trade Statistics, Ministry of Finance
Value by country of plywood imports by Japan in 2000:
| Indonesia |
987,302 |
(58.3%) |
| Malaysia |
574,771 |
(34.0%) |
| Canada |
60,618 |
(3.6%) |
New Zealand
|
32,341 |
(1.9%) |
| China |
16,336 |
(1.0%) |
| Others |
21,012 |
(1.2%) |
| Total |
1,692,380 |
(100.0%) |
Imported plywood accounts for 60.5% of Japanfs plywood demand.
Value by country of single-board (including sheet boards) imports in 2000:
| China |
29,077 |
(28.6) |
| Malaysia |
23,084 |
(22.7) |
| U.S.A. |
17,479 |
(17.2) |
| Others |
31,956 |
(31.5) |
| Total |
101,596 |
(100.0) |
Unit: 1,000 dollars
Source: Trade Statistics, Ministry of Finance
With flat or declining new housing starts in the forecast, both plywood supply and demand are expected to wane.
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