HS Code:
Keruing (Dipterocarpus spp.) falls under the category of tropical hardwood timber, often used in construction, furniture, and flooring due to its durability and resistance to wear. It is primarily sourced from Southeast Asian rainforests. The trade of Keruing is significant in the global timber market, though it faces challenges due to sustainability concerns, deforestation regulations, and varying tariff structures. The HS Code for Keruing typically falls under 4407 (Wood sawn or chipped lengthwise, sliced or peeled) with specific subcategories depending on processing and dimensions.
Total Trade Volume
Approximately 1.2 million cubic meters
Data from 2022
Source
International Tropical Timber Organization (ITTO) and UN Comtrade Database
450,000 cubic meters
37.5% of total trade of total trade
Stable
380,000 cubic meters
31.7% of total trade of total trade
Decreasing
150,000 cubic meters
12.5% of total trade of total trade
Increasing
100,000 cubic meters
8.3% of total trade of total trade
Increasing
80,000 cubic meters
6.7% of total trade of total trade
Decreasing
Average Rate
5-10% ad valorem
Highest Rate
20% (imposed by certain South Asian countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements like ASEAN or specific bilateral agreements)
Rising demand for certified sustainable timber
Increased costs for exporters to comply with certification standards, but opens access to premium markets like the EU and US
2021-2022
Decline in supply due to stricter logging regulations
Reduced export volumes from key countries like Indonesia and Myanmar, driving up global prices
2020-2022
Shift towards alternative materials
Growing competition from engineered wood and composites in construction and furniture sectors
2019-2022
Indonesia introduced stricter export licensing for tropical hardwoods, including Keruing, to curb illegal logging and promote sustainable forestry practices.
January 2023
Reduced export volumes in the short term, potential price increases, and shift of market share to other Southeast Asian countries.
The EU implemented the Deforestation Regulation, requiring due diligence for timber imports to ensure they are not linked to deforestation.
June 2023
Increased compliance costs for exporters to the EU, potentially reducing Keruing imports unless sustainability certifications are obtained.
Thailand launched programs to increase sustainable Keruing plantations, aiming to boost export capacity while meeting global sustainability demands.
March 2023
Potential increase in Thailandโs market share in the medium term, with a focus on certified timber exports.