The recent trend of European timber producers increasing their exports to the US is flattening out, according to industry newsletter Random Lengths International.
Shipments from the nine biggest European exporters were 112% above 2001 levels by mid-2002, fuelled by a weak euro and producers gambling on Canada reducing its volumes to the US because of the softwood lumber dispute.
But in the second half of 2002, US lumber prices dropped and the euro gained strength, diluting exporters’ profit margins and in some cases possibly losing “millions”, according to one importer . In addition, Canada kept its US exports running high throughout the year despite the 27% duties levied by the US commerce department.
Some US importers believe European shipments could reduce by as much as 30-40% this year.
However, some European exporters are getting more joy in Japan, with European red pine gaining market share due to North American Douglas fir supplies drying up. There is also optimism for expanding laminated timber sales.
