B.C. lumber trade delegation tours Matsudo elderly care home in Tokyo

Forest trade mission finds Asian headwinds

With Japan slipping back into recession and sales down in China, B.C. forest companies push for more wood construction

Forests Minister Steve Thomson is leading the B.C. industry’s annual trade mission to promote lumber sales in Asia this week, with a focus on maintaining sales in a soft market.

Accompanied by more than 30 executives from B.C. forest companies, Thomson started the trip Monday with a visit to Japan’s largest-ever wood building, an elderly care facility under construction in Tokyo. The visit comes as Japan’s economy is slipping back into recession.

Japan has been a major lumber customer for B.C. since the 1970s, and is the third largest buyer behind the United States and China. So far this year, sales volume to Japan is down, but value is up slightly to $556 million, in a market known for demanding high-grade wood.

The next stops are Dalian and Beijing, China, which is B.C.’s biggest recent success story with sales that topped $1 billion last year for mostly lower-grade lumber. So far in 2015, sales to China are off 11 per cent from the same time last year as the world’s most populous country struggles to maintain economic growth.

In an interview as he prepared to leave, Thomson said B.C. lumber producers are faced with slow sales in Asia and a decline in timber supply for standard lumber in the wake of the pine beetle epidemic. After years of promotion, B.C. has reached 43 per cent of all China’s imported lumber, over competitors including Russia, Australia and New Zealand.

“One of the focuses of the mission is to move the product up the value chain, particularly in the China market, because as you look to supply limitations, you want to make sure you get maximum value out of it,” Thomson said. “So it’s important to move up into the mid-rise multi-family construction, infill partition walls, hybrid construction, that aspect of it.”

Along with the industry and the federal government, B.C. has promoted wood construction as a green and earthquake-resistant alternative to concrete, the building standard in China.

Susan Yurkovich, named president of the Council of Forest Industries in June, is making her first official visit to Asia. COFI represents B.C.’s biggest lumber producers, including Interfor, West Fraser, Weyerhaeuser, Conifex, Domtar, Gorman, Dunkley, Babine Forest Products and Canfor.

Yurkovich said member companies have meetings lined up with Asian buyers, and she wants to spread the word that B.C. is a reliable supplier of lumber from sustainably managed sources.

B.C.’s top five lumber customers by volume are the U.S., China, Japan, Taiwan, Philippines and South Korea. With the Canada-U.S. softwood lumber agreement having expired, participants say diversifying B.C.’s lumber market is more important than ever.

 

Just Posted

College buys a yurt to boost student success

Round tent-like structure part of college instructional shift

Soup kitchen sees “groundswell of community support”

Donations toward looming tax bill push non-profit back in the black

Terrace husband and wife honoured for saving each other’s lives

BC Ambulance presented each a Vital Link Award for separate incidents of CPR

Council supports lobby for fair share of cannabis tax revenue

The City of Terrace is throwing its support behind a West Kelowna… Continue reading

Airport registers modest passenger increase

Manager anticipates further growth in 2018 as expansion project nears completion

Airport registers modest passenger increase

Manager anticipates further growth in 2018 as expansion project nears completion

Two Canadians, two Americans abducted in Nigeria are freed

Kidnapping for ransom is common in Nigeria, especially on the Kaduna to Abuja highway

Are you ready for some wrestling? WWE’s ‘Raw’ marks 25 years

WWE flagship show is set to mark its 25th anniversary on Monday

B.C. woman who forged husband’s will gets house arrest

Princeton Judge says Odelle Simmons did not benefit from her crime

Women’s movement has come a long way since march on Washington: Activists

Vancouver one of several cities hosting event on anniversary of historic Women’s March on Washington

Liberals’ 2-year infrastructure plan set to take 5: documents

Government says 793 projects totalling $1.8 billion in federal funds have been granted extensions

Workers shouldn’t be used as ‘pawns’ in minimum wage fight: Wynne

Comments from Kathleen Wynne after demonstrators rallied outside Tim Hortons locations across Canada

John ‘Chick’ Webster, believed to be oldest living former NHL player, dies

Webster died Thursday at his home in Mattawa, Ont., where he had resided since 1969

World’s fastest log car made in B.C. sells for $350,000 US

Cedar Rocket auctioned off three times at Barrett-Jackson Co., netting $350,000 US for veterans

Most Read