US imports of Russian plywood jumped fivefold to 7,970 cubic metres in February, according to new data from the United States Department of Agriculture. The data reveals that more than three years after Putin invaded Ukraine, Russia remains one of the United States’ most important markets for plywood.
As it stands, the United States is Russia’s third export market for plywood – behind only Thailand and China – with huge shipments of Russian birch ply also arriving in the United States via third-party ports in Vietnam and Indonesia, according to the US Hardwood Association.
“In 2024, the United States imported over $62 million of birch plywood from Russia,” the letter said. “However, these direct imports from Russia pale compared to the nearly $200 million of birch plywood imported from Vietnam and the nearly $160 million imported from Indonesia,” according to a letter written by the DHA to the Commerce Department and the Office of the US Trade Representative in January.
“These imports come in at low or no tariff rates despite being made with Russian-origin birch. All plywood made with Russian-origin wood and wood inputs, whether imported directly from Russia or a third country after further processing, helps support the Russian war effort.”
Russian wood panel output rises as pulp and lumber stagnate.
The data comes amidst a changing market for Russian timber, which is increasingly looking to boost wood panel production to meet domestic demand at the expense of lumber, pulp, and paper exports. That is according to Russia’s Forest Sector in 2024 and Global Timber Markets: The New Reality, a 122-page industry report to be published by Russian-based Lesprom Network on April 25.
“The production segment shows mixed performance. Wood-based panels, especially OSB and particleboard, report substantial growth, while lumber, paper, and pulp volumes remain stable or decrease,” an excerpt from the report said. “The pulp and paper segment sees declines in newsprint output but gains in coated cartonboard, sanitary paper, and corrugated packaging due to e-commerce, food, and pharmaceutical demand.”
Significantly, export volumes fell across most product categories compared to 2021 – which have been subject to heavy sanctions since mid-2022: “The loss of European markets due to sanctions is partially offset by increased deliveries to China, Turkey, India, and CIS countries. Kazakhstan and Uzbekistan expand their role as consistent buyers of Russian board and paper products, but the industry’s heavy dependence on a few destinations remains a vulnerability.”
- To learn more about Russia and the United States’ trade in plywood and how it is fuelling the war in Ukraine, click here for Wood Central’s special feature.
