Untreated timber: market overview at UEEX for June 16 - 20, 2025

Untreated timber auctions at the Ukrainian Energy Exchange showed the following results last week:

• Exhibited volume was 14,08 th. c. m;
• Timber sold for 4,42 th. c. m;
• Timber sales value was UAH 16,98 mln. (incl. VAT);
• Forestry agencies received additional income during the English auction in the amount of UAH 888,89 thousand (including VAT).

Untreated timber was sold by forestry enterprises from 5 regions of Ukraine. The largest volume was sold in Zhytomyr region.

Distribution of untreated timber sales was as follows: 54% - round timber, 46% - firewood.

Round timber

During the reporting period, 2,39 thousand cubic meters of roundwood were sold for a total amount of UAH 12,83 million (including VAT).

Spruce, pine and oak were the most popular species sold, with their share in the total structure amounting to 43,26%, 38,42% and 13,69%, respectively. Other species sold were aspen and sharp-leaved maple.

Firewood

In the reporting period, the volume of firewood sales amounted to 2,02 thousand cubic meters for UAH 4,15 million (including VAT). All sales were exclusively of firewood for industrial use.

Pine firewood (47%) and hardwood (23%) were in the highest demand.

Price indexes

The most pronounced growth among roundwood price indices was recorded for pine (+4%), up to UAH 4271,52 per cubic meter including VAT.

Spruce showed the largest decline: the weighted average price index decreased by 2% to UAH 4240,41 per cubic meter including VAT.

Weighted average timber price index, for June 16-20, 2025

Price index for industrial wood for industrial use increased last week, reaching UAH 2050,27 per cubic meter including VAT, which is 6% higher than in the previous period.

Overview of news on the timber market in Europe

EU has labeled timber from a terrorist country as “high-risk,” while Ukraine has been given a “low-risk” status under the EUDR

European Commission has updated the risk classification of countries under the EU Timber Regulation (EUDR), placing Russia and Belarus in the “high risk” category. This means that 9% of timber imported from these countries will be subject to verification. For comparison, for countries with a standard risk, 3% of products will be checked, and for countries with a low risk, only 1%.

Thanks to reforms and the digitalization of the forestry industry, Ukraine has been granted the status of a “low-risk” country. This creates favorable conditions for the export of Ukrainian wood and furniture to the EU. According to Viktor Smal, the introduction of electronic permits, certificates of origin and photo-enabled transport documents facilitates compliance with EUDR requirements and improves transparency and traceability of supply chains.

German forest owners benefit from Trump’s tariffs as exports to the US rise

The escalation of Donald Trump’s trade dispute with Canada has created new opportunities for Germany, which, as the second largest exporter of construction timber to the United States, has begun to partially offset the deficit caused by aggressive tariff policy. Against this backdrop, the mood in the German forestry sector improved significantly in 2025. After years of challenges - falling prices, climate shocks, and pest infestations - the country’s forestry industry is hoping for stabilization.

Industry experts, including representatives of HessenForst, are reporting a successful spring harvesting season, which is cautiously optimistic. Despite the fact that the last two years have been challenging for the sawmill business due to falling demand in Europe, operators such as Gangolf Hosenfeld are seeing an improvement. The main driver is the rise in global timber prices, triggered by unexpected changes in global trade policy.

Roundwood prices in Finland hit record highs in May

In May, roundwood prices reached record highs and continued to grow. Trading activity remained quite brisk, although volumes were slightly below the record levels of May of the previous two years. Overall, in the period January-May, trade volumes were 8% higher than last year and almost 25% higher than the average level over the past five years.

Average prices of spruce and pine logs in May amounted to about EUR 86 and EUR 84, respectively, showing an increase of 1% in real terms compared to April. Birch log prices also rose, reaching 68 euros per cubic meter.

Slight increase in timber imports to the UK during the first quarter

In the first quarter of 2025, imports of timber and wood panels reached 2,26 million m³, which is 0,6% more than in the same period in 2024. This was the first quarterly year-on-year increase since 2021, according to Timber Development UK. Despite a challenging start to the year - with a 1% drop in January and 9% in February - a 13% increase in March ensured positive dynamics for the quarter as a whole.

The largest growth was recorded in the OSB, plywood and engineered wood segments. Imports of lumber and planed pine species also grew significantly: pine supplies increased by 32% (by more than 95 thousand m³), mainly due to supplies from Sweden, as well as from Norway, Germany, the Netherlands, and Estonia. MDF imports, on the other hand, declined due to the high base of the previous year.

Austrian sawmills maintain stable spruce prices

Most Austrian sawmills are currently well supplied with spruce sawlogs, despite the recent decline in supply. Demand remains consistently high in most regions, with the exception of Tyrol, where it has declined slightly. Deliveries are proceeding smoothly, and logs are being accepted quickly by mills.

The price situation varies by region, with a slight decline in Tyrol, stability in Lower Austria, Salzburg and Styria, and a slight increase in Burgenland, Carinthia and Upper Austria. Pine trading is difficult due to weather risks that affect the quality of the wood. At the same time, larch remains highly liquid, with limited supply and high prices.

Timber prices in Austria, June 2025 (EUR/m3, excluding VAT).