Russia’s Lumber Output Fell 2.5% as Industry Braces for Tough 2026

Producers warn that sanctions, shrinking Chinese demand and new harvest mandates could deepen the downturn across Russia’s timber sector next year.

Wood Central
Wood Central
Mon 09 Feb 26
President Vladimir Putin tours the Ustyansky timber industry complex in Arkhangelsk — one of Russia’s most heavily forested regions and a national hub for timber, pulp, and paper production. The visit comes as proposed changes to the federal Forest Code threaten to place additional strain on some of the country’s largest forest companies. (Photo Credit: Pavel Bednyakov, RIA Novosti)
President Vladimir Putin tours the Ustyansky timber industry complex in Arkhangelsk — one of Russia’s most heavily forested regions and a national hub for timber, pulp, and paper production. The visit comes as proposed changes to the federal Forest Code threaten to place additional strain on some of the country’s largest forest companies. (Photo Credit: Pavel Bednyakov, RIA Novosti)

SHARE

Russia’s lumber production dropped by more than 2.5% last year, sliding from 29.2 million cubic metres in 2024 to 28.48 million cubic metres, according to new data from Rosstat. Wood Central understands that current output is now 2 to 3 million cubic metres below the 2019 peak of 32 million cubic metres, with producers squeezed by weakening domestic demand, the loss of European machinery suppliers, and falling exports to China, which now accounts for more than 70% of Russia’s predominantly softwood shipments.

Despite losing access to European markets (once responsible for 5.2 million cubic metres of Russian lumber) and equipment markets, producers have been trading increasing volumes of predominantly softwood lumber into “friendly” countries, including China and Turkey. Footage courtesy of Eurovision.

The decline comes as Russia’s timber supply chain (including four of its largest producers) pushes back against changes to the Forest Code, warning that new requirements for logging firms to harvest at least 70% of their allowable cut every four years are unworkable. The amendment, introduced by the Arkhangelsk Regional Assembly – in one of Russia’s largest and most heavily forested regions – could see softwood production in the east fall by more than 30% in 2026.

Now, Wood Central can reveal that softwood lumber production, made up of Siberian larch, Scots pine, spruce and fir, fell by 3.5% to 25.7 million cubic metres whilst hardwood production, dominated by birch, aspen, oak and beech in the western and central regions, rose by 5.5% to 2.31 million cubic metres.

2026 is unlikely to be kind to Russia’s economy, as strains on fossil fuel revenues will hamper military spending and the ongoing invasion. Footage courtesy of TLDR News Global.

It comes as Rosstat reports that Russia’s economy grew by just over 1% in 2025, driven by rapid expansion in military spending during the first nine months of the year before slowing sharply under a double‑digit key interest rate. Analysts warn that the combination of high borrowing costs, sanctions and weakening export markets is now filtering through to industrial sectors, including forestry.

Looking ahead, Russian economists expect little improvement in 2026. The latest Central Bank survey projects GDP growth of 1.1%, while the Ministry of Economic Development anticipates a slightly higher figure of 1.3%. For the timber industry, already contending with shrinking Chinese demand, tightening regulations, and rising operational costs, the outlook suggests another challenging year.

Author

  • MASTER BRAND MARK POS RGB e1676449549955

    Wood Central is Australia’s first and only dedicated platform covering wood-based media across all digital platforms. Our vision is to develop an integrated platform for media, events, education, and products that connect, inform, and inspire the people and organisations who work in and promote forestry, timber, and fibre.

    View all posts
- Advertisement -spot_img
- Advertisement -spot_img

Related Articles