Sawmills in the North-West of Russia began to stop production due to the inability to redirect supplies from Europe to the East. Since July 10, they have been unable to export to Europe due to sanctions imposed in response to Russia's invasion of Ukraine.
Average price of lumber fell 20%.
Brazil replaces plywood supplies to Europe from Russia, which is under the EU sanctions.
This was stated by Aleksey Mordashov, head of the board of Severstal, which also owns the leading Russian birch plywood producer Sveza, at the St. Petersburg International Economic Forum in Russia.
In May, Florida Сourt’s permanent injunction suspended sale of Brazilian plywood in the U.S.
Problems with food packaging arose after the adoption of the fifth package of sanctions by the EU, which entered into force on April 9. Up to 50% of the laminated cardboard used for the food industry was imported into the country.
Last week, U.S. Department of Agriculture announced the awarding of more than $32 million to fund 2022 wood innovations and community wood grants to expand the use of wood products, strengthen emerging wood markets, and support active management to improve forest health and resilience.
After seven consecutive monthly increases, sales of wood products declined, mainly due to lower prices.
From July 10, the supply of pellets from Russia to Europe, which in 2021 accounted for 80% of Russian exports of these products, will completely stop. Last year, the country's income from the export of pellets amounted to $320 million.
WISA BioBond is UPM Plywood’s proprietary bonding technology in which at least 50% of fossil-based phenol in the glue is replaced with wood’s own natural bonding agent, lignin.
In January - April 2022, Sweden’s exports of lumber to the U.S. increased 33%.
The value of Russian plywood shipments to the U.S. reached $32 million as the average price soared to $832 per m3.
The reduction in export volumes due to sanctions against the backdrop of rising transportation tariffs and the strengthening ruble made the production of lumber unprofitable.
Company will withdraw from Russia completely and will continue to implement the withdrawal in stages as the review of implementation options is fully completed.
The new press will be ready for production during the autumn of 2022.
On a year-over-year basis, sales were 5.9% lower than a year ago.
Single-family permits decreased 4.6% to a 1.11 million unit rate in April. Nonetheless, the resale market lacks inventory, which is supporting demand for new construction.
How the world wood markets will change and what the Russian forest based industry will lose. The new report provides a detailed picture of how the global markets for wood products have changed in January-April 2022, and what consequences the war has had for Russian companies. It presents also the forecasts of the owner...
The John Deere Foundation has been working directly with a number of organizations, including multiple UN agencies, to mobilize resources to support Ukrainians impacted by the crisis.
After the start of the war, Siemens put all new business in and international deliveries to Russia and Belarus on hold. The comprehensive international sanctions, as well as current and potential countermeasures, impact the company’s business activities in Russia, particularly rail service and maintenance.