China prepares to hit US hardwood & softwood exports with 25% tariff

August 03, 2018
Source:
CMoC/Fordaq
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1938
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According to a declaration of the Chinese Ministry of Commerce the Chinese government threatened on Friday 3rd of August 2018 to put tariffs on 60 billion USD of imports from the US if the Trump administration imposes its own new levies on Chinese goods. The new threat comes a few days after President Trump ordered his administration to consider increasing the rate of tariffs it has already proposed on 200 billion USD of Chinese goods.

Exports of logs, lumber, wooden panels and other wood products are squarely targeted by this new list. The complete list of HS codes that will be imposed at 25% and 20% is available below in this article. Among the specific products targeted are spruce logs, pine logs, douglas logs, poplar logs, Oak logs, cherry logs, walnut logs, fir lumber, pine lumber, spruce lumber, oak lumber, ash lumber, cherry lumber, MDF, OSB, particle boards.  

The tariffs appear at the worst possible time for US lumber exporters with orders from China already at a low point. Chinese lumber importers explain that they are over-stocked, demand from building sector in China is weak on the back-drop of stronger local regulations. There is also plenty of talk of remanufacturing moving out of China as US furniture importers try to reduce their exposure. 

On the side of log exports, authorities in China seem to be strictly enforcing fumigation rules with many importers reporting issues with containers that have to be sent back. 

We will continue to update this article as we research further this topic. 

List of wood products that will be affected by the 25% announced tariffs:

665 44012200 Non-coniferous wood chips or wood pellets

666 44014000 Sawdust, wood waste and debris, unbonded

667 44029000 charcoal

668 44031100 Softwood logs treated with paints, stains, preservatives, etc.

669 44032110 Pinus sylvestris logs (with a cross-section of 15 cm or more)

670 44032130 Larch logs (with a cross-section of 15 cm or more)

671 44032400 Other fir and spruce logs, section size less than 15 cm

672 44039100 Oak logs

673 44039500 Birch logs with a cross-section of 15 cm or more

674 44039700 Poplar logs

675 44039800 Eucalyptus logs

676 44039980 Other unlisted temperate non-coniferous logs

677 44039990 Other unnamed non-coniferous logs

678 44050000 Wood and wood flour

679 44071110 Pinus koraiensis and Pinus sylvestris lumber

680 44071120 Radiata pine lumber

681 44071200 Fir and spruce lumber

682 44072910 Teak lumber

683 44072930 Merban lumber

684 44072990 Other listed tropical lumber

685 44079100 Oak lumber

686 44079200 Beech lumber

687 44079600 Birch lumber

688 44079910 Camphorwood, Namnu or Rosewood lumber

689 44081090 Other softwood veneer (inferior to 6mm)

690 44083119 Meranti veneer (inferior to 6mm)

691 44083919 Veneer sheets of of other tropical wood (inferior to 6mm)

692 44083990 Other tropical wood sawn or peeled (inferior to 6mm)

693 44089021 Sheets for plywood of Other temperate non-coniferous species (inferior to 6mm)

694 44089091 Other temperate non-coniferous wood species sheets , whether or not planed, sanded

or shackled, not exceeding thickness of 6mm

695 44092990 Strips, friezes, moulded, planed wood of other non-coniferous wood species

696 44101100 Particle board,Waferboard, OSB

697 44101200 Wooden Oriented Strand Board

698 44101900 Other Particle board

699 44111211 Medium density wood fibreboard with a thickness not exceeding 5 mm, density

exceeding 0.8 g per cubic centimeter, Unmachined or covered

700 44111319 Medium density wood fibreboard of more than 5 mm thickness but not exceeding 9

mm, density exceeding cubic Cm 0.8 g, machined or covered

701 44111419 Medium density wood fibreboard with a thickness of more than 9 mm, density

exceeding 0.8 g per cubic centimeter, Machined or covered

702 44111421 Medium density wood fibreboard with a thickness of more than 9 mm radiated, with a

density exceeding every cubic centimeter 0.5 grams, but not more than 0.8 grams per cubic

centimeter

703 44111429 Other medium-density wood fibreboards with a thickness exceeding 9 mm, density

exceeding 0.5 g per cubic centimeter, but not more than 0.8 grams per cubic centimeter

704 44111499 Other medium-density wood fibre boards of thickness exceeding 9 mm, machined or

covered

705 44119210 Other wood fibreboard, density exceeding 0.8 g per cubic centimeter, not machined

or covered

706 44119290 Other wood fibreboard, density exceeding 0.8 g per cubic centimeter, machined or

covered

707 44119390 Other wood fibreboards, density exceeding 0.5 g per cubic centimeter, but not

exceeding every cubic centimeter 0.8 grams

708 44119410 Other wood fibreboards, density exceeding 0.35 g per cubic centimeter, but not

exceeding every cubic centimeter 0.5 g

709 44121019 Other plywood made only of thin plates (inferior to 6mm)

710 44123100 Other plywood at least one of the outer ply made of tropical wood veneer

711 44123300 Other plywood at least one outer ply is the following non-coniferous wood: alder, ash,

beech, birch, cherry, chestnut, elm, eucalyptus, ...

712 44123410 Other plywood, at least one external ply is temperate non-coniferous wood (nonconiferous

wood of sub-heading 4412.3300)

713 44123490 Other plywood, at least one surface is subheadings 4412.3300 and 44123410 nonneedle

not specifically listed

714 44123900 Other plywood, upper and lower ply made of softwood veneer

715 44129410 Wood core plywood, side slatted plywood and slatted core plywood, at least one

surface layer of non- Coniferous wood

716 44129910 Plywood with At least one external ply with a non-coniferous surface

717 44129999 Other softwood multi-layer boards

718 44130000 Densified wood in blocks, plates, strips or profiles

719 44151000 wooden crates and similar packaging containers; cable reels

720 44152090 Other wooden pallets, box pallets and other wooden pallets for loading; other

wooden pallets

721 44170090 Other wooden tools, tool holders, tool holders, brooms and brushes, and wooden

handles; Boots and hoes

722 44181090 Other wooden windows, French-style (floor) windows and their frames

723 44182000 Wooden doors and their frames and thresholds

724 44186000 Columns and beams

725 44187500 Other assembled multi-layer flooring

726 44189900 Other wood products for construction

727 44201011 Woodcut

728 44201090 Other wooden figurines and other decorations

729 44209090 wooden boxes and similar items; non-floor wooden furniture

730 44211000 wooden hangers

731 44219110 Bamboo garden sign, garden stick, ice fruit stick, tongue depressor and similar

disposable products

732 44219990 Other unlisted wood products

 

List of the wood products that will be affected by the 20% announced tariffs:

280 44011200 non coniferous firewood

281 44012100 Coniferous firewood

282 44031200 non-coniferous logs

283 44032240 Douglas fir logs diameter inferior to 15cm

284 44032290 other pine logs diameter inferior to 15cm

285 44032300 Fir & Spruce logs with diameter superior to 15cm

286 44032600 other coniferous logs with diameter inferior to 15cm

287 44039960 North American Hardwood logs (including cherry, walnut, maple)

288 44042000 non-coniferous poles

289 44071130 Douglas fir lumber

290 44071190 Other Pine lumber

291 44071900 Other softwood lumber

292 44079400 Cherry lumber

293 44079500 Ash lumber

294 44079980 Other temperate non coniferous lumber

295 44079990 Other lumber

296 44081019 other softwood veneer

297 44089011 laminated plywood

298 44089012 temperate (non coniferous) plywood

299 44089099 other types of plywood

300 44111219 other MDF of a density exceeding 0,8g/cm3, thickness inferior to 5mm

301 44111229 other MDF of a density exceeding 0,5g/cm3 but inferior to 0,8g/cm3, thickness inferior to 5mm

302 44111311 other MDF of a density exceeding 0,8g/cm3, thickness superior to 5mm & inferior to 9mm

303 44140010 Radiata pine frames

304 44140090 other wooden picture frames

305 44160090 other wooden barrels, pots

306 44187900 Flooring panels of other wood

307 44199090 Kitchen ustensils

308 44219190 bamboo articles