HS Code:
Eucalyptus, primarily traded under HS Code 4401 (fuel wood) and HS Code 4403 (wood in the rough), encompasses various species of fast-growing hardwood trees native to Australia but cultivated worldwide. It is predominantly used for timber, pulpwood for paper production, biomass energy, and essential oils. Eucalyptus products are integral to industries such as construction, furniture, and bioenergy due to their durability, rapid growth, and sustainability potential. Global trade in eucalyptus products is driven by demand for sustainable forestry products and renewable energy sources.
Total Trade Volume
Approximately $5.2 billion USD
Data from 2022
Source
United Nations Comtrade Database & International Trade Centre (ITC)
$1.1 billion USD
21% of total trade of total trade
Stable
$950 million USD
18% of total trade of total trade
Increasing
$700 million USD
13.5% of total trade of total trade
Increasing
$500 million USD
9.6% of total trade of total trade
Stable
$400 million USD
7.7% of total trade of total trade
Decreasing
Average Rate
5.2% ad valorem
Highest Rate
15% (applied by certain developing countries to protect domestic timber industries)
Lowest Rate
0% (under free trade agreements such as EU-Australia or Mercosur)
Rising demand for sustainable pulpwood
Increased eucalyptus plantations in Latin America and Southeast Asia to meet global paper and packaging needs.
2021-2023
Growth in bioenergy applications
Higher trade volumes for eucalyptus as biomass fuel, especially in Europe for renewable energy targets.
2020-2022
Shift towards certified sustainable forestry
Countries with uncertified eucalyptus products face reduced market access in eco-conscious regions like the EU.
2019-2023
The EU's new deforestation regulation, effective from 2023, mandates traceability for wood products like eucalyptus, requiring proof of non-deforestation origin.
June 2023
Exporters from Brazil and Indonesia may face higher compliance costs, potentially reducing trade volumes to the EU.
Brazil reported a 10% increase in eucalyptus pulp exports in 2022, driven by demand from China for paper production.
March 2023
Strengthens Brazil's position as a leading supplier, potentially shifting market share from traditional exporters like Australia.
A new trade agreement between Australia and Indonesia reduced tariffs on eucalyptus timber by 5% starting in late 2022.
December 2022
Boosts bilateral trade, with Indonesia increasing imports of Australian eucalyptus for furniture manufacturing.