Non coniferous wood fuel market in China

Earlier Report Observations

From 2018 to 2020, the market volume for non-coniferous wood fuel in China remained relatively stable, ranging between 113 667 and 116 227 thousand cubic meters. The market value, however, peaked at over $102 billion in 2019 before declining in 2020. The COVID-19 pandemic disrupted global timber supply chains, causing labor shortages and reduced logging output, which tightened log supply in China. Concurrently, increased demand for isolation housing construction provided some support for wood consumption.

In the subsequent years, the construction sector's slowdown and the growing substitution of wood with aluminum formwork gradually reduced demand for softwood logs. Despite global softwood supply constraints due to wildfires and insect infestations in key producing regions, import volumes rose, particularly in 2022, helping to sustain overall market volume. The market value partially recovered in 2021 and 2022 but stayed below the 2019 high.

By 2023, continued weakness in real estate and construction led to a decline in market volume to 110 145 thousand cubic meters, with value dropping sharply to $63.3 billion. Domestic log inventories fell as factories stocked up before the Chinese New Year. In 2024, the Dalian Commodity Exchange launched wood futures contracts, providing a risk management tool and promoting market standardization. Additionally, the ban on commercial logging in natural forests has limited domestic supply, increasing reliance on imported logs.

Production non coniferous wood fuel in China

In kind, 2017-2020, M m³

Between 2017 and 2020, China ranked as the world's fourth-largest producer of non-coniferous wood fuel by volume.

Top producers of non coniferous wood fuel, 2017-2020

World map of production of non coniferous wood fuel, 2017-2020

China's production of non-coniferous wood fuel declined for the third consecutive year in 2020, reaching 93.4 million cubic meters. This represented a modest year-over-year decrease of 1.9%. Over the entire 2017-2020 period, production fell by 5.5%, with an average annual decline of 1.9%.

Annual dynamics of production in China in kind, 2017-2020, M m³

In value, 2017-2020, B $ US

In 2020, the value of China's non-coniferous wood fuel output was 83.9 billion US dollars, marking a significant year-over-year drop of 15.9%. From 2017 to 2020, production value decreased by 24.8%, averaging an annual decline of 9.1%. The sharpest fall occurred in 2018 at 21.7%, while 2019 saw the largest increase of 14.2%.

Annual dynamics of production in China in value, 2017-2020, B $ US

Exports non coniferous wood fuel from China

Exports in kind, K m³

Export volumes of non-coniferous wood fuel from China showed considerable volatility between 2017 and 2020. In 2020, exports reached 1,000 cubic meters, a dramatic 84.7% increase from the previous year. The lowest point was in 2018 at 1,000 cubic meters, with the largest decline that year at 7.4%. The peak-to-trough difference from 2018 to 2020 was 2.3 times.

Annual dynamics of product's exports from China in kind, 2017-2020, K m³

From 2017 to 2020, Australia, Singapore, and Vietnam were China's key export partners for non-coniferous wood fuel by volume. Australia accounted for 37.3% of exports, Singapore for 15.9%, and Vietnam for 8.5%, together making up 61.7% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from China in kind, 2017-2020

Exports in value, M $ US

China's export value of non-coniferous wood fuel increased for the second year in a row in 2020, totaling 1 million US dollars—a steep 58.3% rise from the prior year. Between 2017 and 2020, exports grew by 70.9%, with an average annual increase of 19.6%. The lowest value was recorded in 2018 at 1 million US dollars, with the largest decline that year at 26.1%.

Annual dynamics of product's exports from China in value, 2017-2020, M $ US

From 2017 to 2020, Australia, the United States, and Vietnam were the leading destinations for China's non-coniferous wood fuel exports by value. Australia held a 36.1% share, the United States 13.7%, and Vietnam 11.0%, collectively accounting for 60.8% of total export value.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from China in value, 2017-2020

Imports non coniferous wood fuel to China

Imports in kind, K m³

In 2020, China imported 20,314,000 cubic meters of non-coniferous wood fuel, a 6.7% increase from the previous year. Over the 2017-2020 period, imports rose by 18.3%, with an average annual growth of 5.8%. The largest decline occurred in 2019 at 1.3%, while the largest increase was in 2018 at 12.4%.

Annual dynamics of product's imports to China in kind, 2017-2020, K m³

From 2017 to 2020, Vietnam, Australia, and Chile were the primary sources for China's non-coniferous wood fuel imports by volume. Vietnam contributed 50.6%, Australia 28.0%, and Chile 9.4%, together representing 88.0% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to China in kind, 2017-2020

Imports in value, M $ US

After two years of growth, China's import value of non-coniferous wood fuel declined in 2020 to 2,216 million US dollars, a 6.6% decrease year-over-year. Between 2017 and 2020, imports increased by 18.8%, averaging 5.9% annual growth. The highest value was in 2019 at 2,372 million US dollars, with the largest increase in 2018 at 18.4%.

Annual dynamics of product's imports to China in value, 2017-2020, M $ US

From 2017 to 2020, Vietnam, Australia, and Chile dominated China's non-coniferous wood fuel imports by value. Vietnam accounted for 43.8%, Australia for 32.6%, and Chile for 11.5%, collectively making up 87.9% of total import value.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to China in value, 2017-2020