International Marketing Practices

Table 8. U.S. imports and exports of wood-based panels and veneer, 2007-2017. All quantities in thousand m 3 except veneer (in thousand m 2 ) [8].

Product

2007

2017 Change Major Trade Partners (in 2017)

Imports Softwood veneers 162,806 203,871 + 25% Canada, N. Zealand, Italy, Germany, Slovenia Hardwood veneers 200,135 83,254 − 58% Canada, China, Italy, Brazil, Cote d'Ivoire OSB 1 5,999 5,570 − 7% Canada, Romania, China, Russia, Belarus MDF 2 1,320 4,088 + 210% Germany, China, Canada, Chile, Switzerland Hardwood plywood 3,449 2,958 − 14% China, Russia, Indonesia, Canada, Malaysia Softwood plywood 970 1,604 + 65% Brazil, Chile, Canada, China, Uruguay Particleboard 900 1,216 + 35% Canada, Brazil, Italy, Sweden, Mexico Hardboard 1,193 274 − 77% Canada, Brazil, China, Chile, Germany Exports Softwood veneers 44,191 22,459 − 49% Canada, Mexico, Germany, Spain, BeLux 3 Hardwood veneers 301,232 182,525 − 39% Canada, Mexico, Spain, Germany, Egypt OSB 234 176 − 25% Canada, Mexico, Korea, FPI 4 , Costa Rica MDF 353 459 + 30% Canada, Mexico, BeLux, Portugal, Australia Hardwood plywood 159 180 + 13% Canada, Mexico, China, Bahamas, Leeward Is. Softwood plywood 284 474 + 67% Canada, China, Mexico, Leeward Is., Dominican Particleboard 228 246 + 8% Canada, Mexico, Italy, Honduras, China Hardboard 358 201 − 44% Canada, Mexico, BeLux, U.K., Australia 1 OSB = oriented strand board 2 MDF = medium density fiberboard 3 BeLux = Belgium-Luxembourg 4 FPI = French Pacific Islands Value-Added Wood Products Value-added wood products include furniture, kitchen cabinets, millwork, wood flooring, decking and railing products, windows, doors, and others. Domestic manufacturing of value-added wood products in the U.S. has declined over the past three decades due to factors like the 2007-2009 recession and increased competition from imports. For example, more than 70% of the nonupholstered furniture consumed in the U.S. is now imported [35]. There have also been changes in the sourcing of value-added products as importers look for lower cost suppliers. For example, in 2015, China accounted for just below 59% of total U.S. imports of household and institutional furniture and cabinets, by value, down from 61% in 2010, while Vietnam has steadily increased in participation [34]. Imports from China grew 2.9% in 2016, while those from Vietnam grew 29.8% in the 2015-2016 period [36]. The decline in domestic manufacturing of value-added products has led to a decrease in domestic demand for grade lumber, or lumber used for value-added products (Figure 2). Other market segments, such as flooring and millwork, have shown similar trends. From 2007 to 2017, exports of U.S. “industrial” products, including cooperage products, treated lumber, railroad ties, wood poles, siding, and pallets, have shown high growth (Table 9), while exports of high value-added products, such as doors,

15