HS Code:
Larch (Larix spp.) falls under the category of coniferous wood, often classified under HS Code 4407 (Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm) with specific subcategories for coniferous species like larch. Larch wood is valued for its durability, strength, and resistance to rot, making it a preferred material for construction, furniture, and outdoor applications. It is primarily sourced from temperate and boreal forests in the Northern Hemisphere, particularly in regions with cold climates. The trade of larch wood is influenced by sustainable forestry practices, environmental regulations, and regional demand for construction materials.
Total Trade Volume
Approximately 5.2 million cubic meters
Data from 2022
Source
International Trade Centre (ITC) Trade Map and FAO Forestry Statistics
2.1 million cubic meters
40.4% of total trade of total trade
Increasing
1.0 million cubic meters
19.2% of total trade of total trade
Stable
0.7 million cubic meters
13.5% of total trade of total trade
Increasing
0.5 million cubic meters
9.6% of total trade of total trade
Stable
0.3 million cubic meters
5.8% of total trade of total trade
Decreasing
Average Rate
5.3% ad valorem
Highest Rate
15% (imposed by certain developing markets to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU-Canada CETA or within the EU single market)
Growing demand for sustainable building materials
Increased preference for certified larch wood in Europe and North America, boosting trade from sustainably managed forests.
2021-2023
Rising construction activities in Asia-Pacific
Higher imports of larch wood by countries like China and Japan for infrastructure and housing projects, despite recent slowdowns in China.
2020-2022
Impact of climate change on supply
Warmer temperatures and pest outbreaks in boreal forests are affecting larch production, leading to potential supply shortages.
2019-2023
Russia, the largest exporter of larch wood, introduced stricter export quotas and higher tariffs on unprocessed timber to encourage domestic processing.
January 2022
Reduced raw larch wood exports to China and Europe, causing price increases and supply chain disruptions.
The EU implemented new regulations requiring proof of deforestation-free supply chains for wood imports, including larch.
June 2023
Increased compliance costs for exporters to the EU, potentially reducing trade volumes from non-compliant regions.
Ongoing negotiations between Canada and the US regarding softwood lumber tariffs have implications for larch trade, as duties remain a point of contention.
October 2023
Uncertainty in tariff rates could affect Canadian larch exports to the US, a key market.