@Andrey_Tikhomirov and @David_Bagdy you could also connect here on Pakira chat 
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Yes definitely we will
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I’m late to this party and have a question. Why does the U.S. beat Canada like a rented mule over timber subsidies that vary in concert with lumber prices, yet #DavidBagdy informs us that certain Russian sawmills get free timber and we continue to buy that product?
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@Matt_Layman, I haven’t heard of any sawmills getting sawlogs for free. Indeed, some big companies that have their own forest lease may get a delay of rent payment, but not a cancellation of payment.
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@Matt_Layman to what extent does the US govt know what is happening internally in Russia in the LBM industry? Do we even have resources to keep track of this for Russia, China, Scandinavian countries, Asian, African, South American countries?
@Madison_s_Lumber_Rep informed us over the last couple weeks, when Pakira was running a poll on the favorability of LBM tariffs between Canada and the US, that the US annual Administrative Reviews collect lumber sales and volumes data from Canadian exporters (using the Customs pro forma invoices submitted upon the products crossing the US border), then calculates what the following year’s Duty rate will be. There is a huge lag between when the wood is sold and the Review results come in, during which time lumber prices change drastically. The data collection starts after year-end, then it takes most of that year to compile and figure out what the new duty rate will be.
So it’s an intensive apolitical and administrative process. It’s clear why the Administrative Reviews are focused on Canada. Unclear how much mandate and budget they have to conduct it for LBM products coming from other countries. Maybe Keta at @Madison_s_Lumber_Rep will know?
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Hello @Rami_AlAzzeh Rami! Since you mentioned you import Lumber from Europe, including Russia, are there any increased tariffs on Russian LBM products right now in Jordan? And if not, do these products have to go through Europe to get to Jordan, or the transport happens directly from the Black Sea to the Mediterranean? Because if goes through Europe, wouldn’t you also be hit w/ price increases?
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Hello Matt, two issues: 1) There is a 35% tariff on Russian wood products imported into the States. There are subsidies available from the Russian government to offset some of this tariff. These subsidies are for raw materials and for some operational costs. 2) Customers continue to buy the product because it is a higher quality product than can be produced in the States at a competitive price. We produce 4/4 boards so any of my dialogue is pertaining to this market. We produce a #2 & Btr Premium board that has no wane, no loose knots, & the #1 common is not pulled out. It’s difficult to find such a product domestically.
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Hello Nadia,
Yes, imports from Russia decreased due to the global conditions.
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Hi @Rami_AlAzzeh three questions regarding your answer that imports from Russia have decreased:
- did Jordan (or any other Arab country for that matter that you know of) impose any extra tariffs on Russian goods, similar to what the US has done? Or it’s business as usual?
- Given volume of imported products from Russia has decreased what was the effect on
(a) your business; and
(b) on lumber prices in Jordan? Have the prices increased due to lack of supply?
(c) have you and others in Jordan searched for other suppliers to offset the decrease in supply from Russia that you are experiencing?
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Hi Nadia,
Regarding your questions,
- No extra tariffs on Russian goods, but difficulties in shipping.
- Yes, increased lumber prices in Jordan.
- Yes, some dealers are searching for other suppliers. But most of them prefer Russian Timbers.
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Thank you @Rami_AlAzzeh !
Blockquote
Yes, some dealers are searching for other suppliers. But most of them prefer Russian Timbers.
This is consistent with @David_Bagdy 's experience with importing Russian lumber to the US – that it’s near impossible to replace the quality on several fronts.
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You are welcome, Nadia
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