Indonesia has replaced Malaysia as a major exporter of plywood to Japan

Indonesia has replaced Malaysia as a major exporter of plywood to Japan

In recent years, Japan imported more plywood from Indonesia than from Malaysia in the first month.

Japan’s imports of plywood from Malaysia have fallen sharply this year. According to ITTO’s latest tropical timber market report.

In the first half of this year, Malaysia still outsold Indonesia in sales of plywood to Japan.

ITTO’s report attributes the decline in production to the government’s strict implementation of logging restrictions in Sarawak, resulting in a decline in production. Plywood factories are facing a shortage of logs, especially high-quality logs, and are forced to cut production of panel products due to the sharp decline in log production in Sarawak in recent years. This has led some suppliers to lag several months behind in delivering contract orders to Japan.

The main plywood suppliers have pushed up the prices of their products sold to Japan since the end of last year, as lower production has led to higher logs costs. Malaysia and Indonesia (plywood) suppliers are preparing to raise prices before the rainy season (usually starting in the fourth quarter of each year), while Japan’s offer is limited.

The ITTO report quoted trade news from the Japan Timber Report (JLR) as saying: “Importers find it difficult to purchase in the future because there is a surplus order balance, so they only buy the minimum necessary quantity. Malaysia is the second largest exporter of plywood in China.

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