USA, EU and Japan accounted for 79% of softwood lumber imported in 2005

Jun 14, 2006. /Lesprom Network/. The United States, the European Union and Japan accounted for 79% of the estimated $16.4 billion of softwood lumber imported by the major trading countries in 2005. Between 2001 and 2005, combined imports by the United States, EU and Japan increased 26% from $10.2 billion to $12.9 billion. During this same time period, combined imports by the Middle East, Mexico and China increased 145% from $530 million to $1.3 billion, raising the importance of these markets for exporters around the world. The United States imports more softwood lumber than any other country, accounting for approximately 50% of world imports. The construction of new homes as well as the remodeling and repair of existing homes drives U.S. softwood lumber consumption. On average, housing starts consume an impressive 43% of the U.S. softwood lumber supply. Over the last several years, the U.S. housing market has been booming. In March 2006, privately-owned housing starts were at a seasonally adjusted annual rate of 1.96 million units, a 22-% increase compared to 2000. In 2005, the United States imported $8.3 billion of softwood lumber. Although imports from Canada increased from $5.7 billion in 2001 to $6.6 billion in 2005, Canada’s market share decreased from 89% to 80% during this period. Imports from Canada likely slowed as a result of antidumping and countervailing duties that the U.S. imposed on Canadian softwood lumber beginning in 2002. Although the combined duties were reduced from 27% in 2002 to approximately 11%, imports from other countries enter duty-free. Between 2001 and 2005, U.S. softwood lumber imports from the EU increased from $215 million to $788 million. During this time period, the EU increased its market share from 3% to 10%. Imports from Chile more than doubled, from $127 million in 2001 to $272 million in 2005. Imports from Brazil, New Zealand, and the Czech Republic in 2005 totaled $191 million, $171 million, and $61 million, respectively.