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📦 Wood and articles of wood; wood charcoal

Wood and articles of wood; wood charcoal

HS Code:

📦

Overview

The 'Wood and articles of wood; wood charcoal' category, classified under HS Code 44, encompasses a wide range of products including raw timber, processed wood, wooden furniture, wood panels, and wood charcoal. This category is critical to global trade due to its applications in construction, furniture manufacturing, and energy production. The trade of wood products is influenced by factors such as sustainability concerns, deforestation regulations, and demand for renewable materials. Major exporting countries often have abundant forest resources, while importing countries rely on wood for industrial and domestic use.

Total Trade Volume

USD 150 billion

Data from 2022

Source

United Nations Comtrade Database

Tariff Analysis

Average Rate

5.2%

Highest Rate

25% (applied by certain developing countries to protect local industries)

Lowest Rate

0% (under free trade agreements such as EU-Canada CETA)

Common Restrictions

  • Export bans on raw timber in some countries to prevent deforestation
  • Import quotas to protect domestic wood industries
  • Sustainability certification requirements (e.g., FSC certification)
  • Anti-dumping duties on specific wood products

Market Trends

Increased demand for sustainable and certified wood products

Higher prices for certified timber and growth in markets adhering to environmental standards

2021-2023

Rising use of wood in green construction

Boost in demand for engineered wood products like cross-laminated timber (CLT)

2020-2022

Shift towards wood charcoal as a renewable energy source

Increased trade in wood charcoal, especially in developing regions for cooking and heating

2019-2022

Recent Developments

EU Deforestation Regulation (EUDR)

The European Union implemented the EUDR, requiring companies to prove that wood products are not linked to deforestation, effective from late 2023.

June 2023

Increased compliance costs for exporters to the EU, potential reduction in trade volume from non-compliant regions

US-China Trade Tensions on Wood Products

Ongoing trade disputes have led to fluctuating tariffs on wood products between the US and China, impacting supply chains.

Mid-2022

Diversification of supply chains, with countries like Vietnam and Canada gaining market share

Russia-Ukraine Conflict Impact on Timber Trade

Sanctions on Russian timber and disrupted supply chains from Ukraine have led to shortages in Europe, driving up prices.

February 2022 onwards

Shift in trade patterns, with increased exports from North America and Scandinavia to Europe