Untreated timber: market overview at UEEX for May 19 - 23, 2025

Last week’s auctions at the Ukrainian Energy Exchange for untreated timber showed the following results:

• the exhibited volume amounted to 18.95 thousand cubic meters;
• 9.93 thousand cubic meters of wood were sold;
• the cost of timber sales amounted to UAH 26.48 million (including VAT);
• forestry agencies received additional income during the English auction in the amount of UAH 2.92 million (including VAT).

Untreated timber was sold by forestry enterprises from 6 regions of Ukraine. The largest volume was sold in Ivano-Frankivsk region.

The distribution of untreated timber sales was as follows: 62% - firewood, 38% - round timber.

Round timber

During the reporting period, the company sold 3.77 thousand cubic meters of round timber for a total of UAH 14.68 million (including VAT).

Pine, spruce, and oak were the most popular species sold, with a share of 65.13%, 17.37%, and 4.16%, respectively. We also sold such species as hornbeam, larch, beech, red oak, alder and others.

The average increase from the starting price was 11%. Given that the auction step is 1%, the average number of steps was 70 for birch, 43 for alder, and 38 for red oak.

Firewood

During the reporting period, the volume of firewood sales amounted to 6.16 thousand cubic meters for the amount of UAH 11.80 million (including VAT).

The vast majority of firewood (95%) was sold for industrial use, while 5% was sold for non-industrial use.

Spruce firewood was in the highest demand among firewood products, accounting for 37% of the total volume sold.

The graph below shows the structure of firewood sales by grade and species.

Price indices

Prices for round timber declined last week.

The most stable level among the price indices for round timber was shown by beech, which decreased by 2% to UAH 3,886.58 per cubic meter including VAT.

In turn, the maximum decline was observed for birch. The weighted average price index amounted to UAH 2,715.69 per cubic meter including VAT.

Weighted average price index for timber, May 19-23, 2025

The price index for industrial wood rose the most, reaching UAH 1,942.50 per cubic meter including VAT, up 9% year-on-year.

Among all types of firewood, the cost of firewood of the first group has decreased the most, and now amounts to UAH 1,409.90 per cubic meter including VAT, which is 11% less than the previous figure.

Overview of news on the timber market in Europe

German timber market stabilizes amid rising prices for spruce and pine

In the first quarter of 2025, timber exports from Germany remained unstable. Supplies of coniferous logs decreased by almost 27% year-on-year to 430 thousand cubic meters. At the same time, exports of softwood lumber and panels showed mixed dynamics.

The chipboard and OSB segment experienced a decline, especially towards Poland, while exports to France and Belgium showed moderate growth. Austria and China remain the key markets for German logs, accounting for about 70% of all timber exports, despite the overall decline in volumes.

Prices for certain types of wood, especially softwood packaging materials and solid wood, continue to rise. Market participants report weekly price increases of about €1/m³. In the south of the country, spruce logs are sold for EUR 105-115/m³, and longer logs for up to EUR 120/m³, depending on quality and region.

Austria: Spruce sawlog prices stable or rising in May 2025

In mid-May, the conifers sawmill market in Austria is showing steady demand despite signs of a slowdown in the economy and ongoing fiscal and political uncertainty. Although the prospects for a quick recovery in the construction sector appear weak, sawmills across the country are operating steadily and taking in planned volumes of grades without delay.

Spruce sawmills remain in demand, with even small quantities of storm-damaged wood being sold quickly, indicating that the market is stable. Prices remain largely unchanged, with some cases of slight growth in some regions.

In contrast, the pine log market is facing complications. Sales are slow, forcing forest owners to quickly transport harvested timber to avoid loss of quality.

Austria. Prices (euro/m3), May 2025

Irish sawmills to increase capacity by 30%

Following widespread damage to forests caused by Storm Eowyn in early 2025, Irish sawmills plan to increase processing capacity by 30%, according to Forest Industries Ireland (FII).

This decision is aimed at promptly processing large volumes of timber coming from forest owners seeking to sell storm-damaged timber as soon as possible. FII estimates that national capacities have room for growth, which avoids market overload and minimizes the risk of loss of raw material quality.

Log prices in Finland soared to the highest level since 2007-2008

In April 2025, timber prices in Finland rose to their highest levels in more than 15 years, driven by high demand and limited supply. According to official monthly data:

• Spruce logs have risen to almost 85 euros/m³ (+1% since March);
• Pine logs - up to 83 euros/m³ (+2%);
• Birch logs - more than 67 euros/m³ (+1%).

Prices have returned to the peak levels of 2007-2008. The segment of balance wood stands out:

• Spruce: more than 35 euros/m³ (+3%);
• Birch: almost 34 euros/m³ (+2%);
• Pine: just over 33 euros/m³ (+1%).

The growth is even more pronounced in supply prices:

• Spruce: 54.47 euros/m³ (+1%);
• Birch: 53.74 euros/m³ (+1%);
• Pine: just under 53 euros/m³ (-1%).

These are the highest levels of delivery prices since statistics began in 1995, indicating deep structural tensions in the Finnish timber market.

Average timber prices - April 2025