Wood charcoal market in Eastern Asia

Earlier Report Observations

The wood charcoal market in Eastern Asia expanded in 2019, reaching 2 468 thousand tons, supported by growing import volumes. This followed the 2018 geographical indication (GI) certification for Iwate charcoal, which raised quality expectations and initiated export-oriented promotions to markets like Europe and the United States. However, the COVID-19 pandemic disrupted supply chains in 2020, leading to a decline in market volume to 2 313 thousand tons that year and a further drop to 2 243 thousand tons in 2021 as border closures and factory shutdowns constrained demand.

A sharp recovery occurred in 2022, with market volume jumping 13.8% to 2 553 thousand tons, driven largely by a surge in imports to 816 thousand tons as post-pandemic demand rebounded. Export efforts continued, with Yachi Forestry launching shipments of its 'Kurosumi' brand to France in June 2023. Simultaneously, environmental projects such as Sinanen Holdings' next-generation biodiesel and Wood's decarbonization support for INPEX CORPORATION signaled growing industry emphasis on sustainability, which helped sustain market growth into 2023, when volume reached 2 635 thousand tons.

Underlying these fluctuations, domestic production experienced a gradual long-term decline, though it stabilized near 1 790 thousand tons in 2022. The GI certification and subsequent overseas marketing activities, aided by government support, aimed to counter this trend by opening new revenue streams and promoting the rejuvenation of charcoal forests. Meanwhile, tightening environmental regulations and a post-COVID focus on sustainable practices emerged as key market drivers by 2023.

Production wood charcoal in Eastern Asia

In kind, 2017-2020, K t

Top producers of wood charcoal, 2017-2020

World map of production of wood charcoal, 2017-2020

Wood charcoal production in Eastern Asia has declined for the third year in a row. In 2020, the region produced 1 819 thousand tonnes of wood charcoal, marking a 0.8% decrease from 2019. Looking at the period from 2017 to 2020, production fell by 2.1%, which translates to an average annual decline of 0.7%.

Annual dynamics of production in Eastern Asia in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Wood charcoal production in Eastern Asia has increased for the third consecutive year. In 2020, the output was valued at 7 724 million US dollars, up 6.1% from 2019. Between 2017 and 2020, production rose by 41.5%, with an average annual growth rate of 12.3%.

Annual dynamics of production in Eastern Asia in value, 2017-2020, M $ US

Exports wood charcoal from Eastern Asia

Exports in kind, K t

Eastern Asia's wood charcoal export volume has declined for the second year in a row. In 2020, exports totaled 44.2 thousand tonnes, a sharp decrease of 51.8% compared to 2019. Over the 2017-2020 period, exports dropped by 52.5%, averaging an annual decline of 22.0%. The peak was in 2018 at 106.5 thousand tonnes, which also saw the largest increase of 14.4% that year.

Annual dynamics of product's exports from Eastern Asia in kind, 2017-2020, K t

From 2017 to 2020, Saudi Arabia (9.0% of exports in kind), Iran (4.8% of exports in kind), and the United Arab Emirates (4.7% of exports in kind) were the top buyers of wood charcoal from Eastern Asia, though they were not dominant. Together, they accounted for 18.5% of total exports in kind, with the rest spread across numerous smaller partners.

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

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

Exports in value, M $ US

Eastern Asia's wood charcoal export value has increased for the third consecutive year. In 2020, exports amounted to 184.8 million US dollars, an 8.3% rise from the previous year. Between 2017 and 2020, exports grew by 71.2%, with an average annual increase of 19.6%.

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

From 2017 to 2020, the export structure in value terms was balanced rather than concentrated. Saudi Arabia (15.7% of exports in value terms), the United Arab Emirates (8.8% of exports in value terms), and Iran (5.3% of exports in value terms) together represented 29.8% of total flows, while many other countries accounted for the remaining 70.2%.

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

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

Imports wood charcoal to Eastern Asia

Imports in kind, K t

After two years of growth, wood charcoal import volumes in Eastern Asia declined. In 2020, imports stood at 538.5 thousand tonnes, a dramatic fall of 26.0% from 2019. Over the 2017-2020 period, imports increased by 20.4%, with an average annual growth rate of 6.4%. The highest volume was recorded in 2019 at 727.3 thousand tonnes, and the largest increase occurred in 2018 at 40.2%.

Annual dynamics of product's imports to Eastern Asia in kind, 2017-2020, K t

In 2017-2020, Indonesia (22.4% of imports in kind), Myanmar (20.1% of imports in kind), and Vietnam (14.0% of imports in kind) were the main sources for wood charcoal imports into Eastern Asia. Together, they made up 56.5% of total import flows.

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

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

Imports in value, M $ US

Wood charcoal import values in Eastern Asia have declined for the second consecutive year. In 2020, imports amounted to 277.4 million US dollars, down 19.4% from 2019. Between 2017 and 2020, imports decreased by 4.4%, averaging an annual decline of 1.5%. The peak value was in 2018 at 348.0 million US dollars, which also saw the largest increase of 19.9% that year.

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

An analysis of imports in value terms from 2017 to 2020 shows a broad distribution across many markets. Indonesia (20.8% of imports in value terms), Vietnam (16.1% of imports in value terms), and the Philippines (10.7% of imports in value terms) together accounted for 47.6% of total flows, with the remaining 52.4% coming from other partners.

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

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