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📦 Western hemlock (Tsuga heterophylla)

Western hemlock (<u>Tsuga</u> <u>heterophylla</u>)

HS Code:

📦

Overview

Western hemlock (Tsuga heterophylla) is a species of coniferous tree native to the Pacific Northwest of North America. It is widely used in the timber industry for construction, pulp, and paper production due to its strength, uniform grain, and workability. Under the Harmonized System (HS) Code, Western hemlock falls under categories related to coniferous wood, often classified under HS Code 4407.11 (sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm, of coniferous species). It is a critical resource in global forestry trade, particularly in North America and Asia-Pacific markets.

Total Trade Volume

Approximately 5.2 million cubic meters

Data from 2022

Source

International Trade Centre (ITC) Trade Map and UN Comtrade Database

Tariff Analysis

Average Rate

5.2% ad valorem

Highest Rate

15% (applied by certain developing countries to protect domestic industries)

Lowest Rate

0% (under free trade agreements like USMCA and CPTPP)

Common Restrictions

  • Export quotas in some regions to prevent overharvesting
  • Phytosanitary regulations requiring heat treatment or fumigation
  • Import bans on untreated wood to prevent pest introduction
  • Sustainability certifications required (e.g., FSC or PEFC)

Market Trends

Rising demand in Asia-Pacific for sustainable construction materials

Increased exports from North America to countries like Japan and China, driving up prices by 8-10% annually

2021-2023

Shift towards certified sustainable timber

Producers in the US and Canada are increasingly adopting Forest Stewardship Council (FSC) certification to meet importer requirements, influencing supply chain costs

2020-2022

Impact of climate change on hemlock forests

Warmer temperatures and pests like the hemlock woolly adelgid are reducing harvestable volumes in some regions, potentially tightening supply

2019-2023

Recent Developments

US-China Trade Agreement Update

A new phase of trade negotiations has reduced tariffs on coniferous timber, including Western hemlock, exported from the US to China.

January 2023

Expected to boost US exports to China by 5-7% in 2023, benefiting hemlock producers in the Pacific Northwest.

Canadian Forestry Sustainability Mandate

Canada introduced stricter regulations requiring sustainable logging practices for hemlock and other species to preserve forest ecosystems.

June 2022

May increase production costs for Canadian exporters but enhances long-term market access to eco-conscious markets like the EU.

Japan’s Green Building Incentives

Japan implemented incentives for using imported sustainable timber in construction to meet carbon neutrality goals.

March 2023

Increased demand for Western hemlock from certified North American suppliers, with a projected 10% rise in exports to Japan.