China is tipped to become a major importer of raw logs from around the world as it steps up production of finished products for the domestic and export markets.
Strong economic growth and logging bans that restrict harvesting in many regions account for the predicted rise in imports, according to the newsletter Wood Markets Monthly.
And it says the combination of China’s low labour costs and new capital investment in primary processing plants and value-added factories is creating a formidable competitor in some sectors.
Much of the timber China imports is likely to return to its country of origin as a finished product and it is possible that rising Chinese exports could force some wood products prices lower in world markets.
