The United States is beginning to realize the importance of diversification of Hardwood Export markets.
China imposes tariffs on imported American hardwood products, which sounds an alarm to the American timber industry. So far, one third of the lumber produced by American sawmills has been exported to the Chinese market. The Sino-US trade war is a major challenge to the American sawmill industry.
_Uncertainty in Sino-US relations has increased pressure on the industry as a whole. What is more difficult is that the tariff increases coincide with the slowdown in China’s economy. Exports to China have long helped the United States survive the recession, and American industry is heavily dependent on the Chinese market. But now, many board traders are discussing that putting so many eggs in the basket in China is not a long-term wisdom. People are increasingly aware of the importance of market diversification.
_The United States may provide some opportunities, and there are rumors that some form of promotion will be carried out at home. But expanding export routes is also seen as key. Opportunities have been seen in the Middle East, North Africa, other parts of Asia and Mexico, as well as in India, where many small and medium-sized enterprises use large quantities of timber, which is equally important.
The United States is also committed to strengthening existing channels of communication and building new contacts in Europe. Europe already has seven of the 12 largest hardwood export markets in the United States. Europe is not only a long-term cooperative hardwood market in the United States, but also a high-end market, with a strong environmental awareness, has been committed to maintaining the sustainability and legitimacy of hardwood development.
For European customers, this means a new opportunity to develop partnerships with the United States, where they can reach out to new varieties and distribute them to manufacturers. Especially in an increasingly environmentally conscious world, it is becoming more and more meaningful to maximize the use of the most productive and renewable red oak trees, while one third of the hardwood forests in the United States are red oak trees.