In 2022, the EU-27 imported 1.94 million tonnes of tropical timber and wooden furniture products with a total value of 4.37 billion US dollars, which is 10% and 18% more than in the previous year, respectively. Compared to import volumes before the pandemic in 2019, imports last year increased by 36% in value terms, but only by 6% in volume terms.

The trade trends in the EU-27 from 2004 to 2022 shown in chart 1 place last year’s trade figures into a long-term perspective. The only increase in the value of tropical timber imports comparable to the 2021-2022 period was seen in 2006-2007, when high liquidity and a property boom created an “economic bubble” just before the financial crash of 2008-2009.

However, unlike in 2006-2007, the actual volume of tropical timber and wooden furniture imports by EU-27 countries last year only slightly exceeded the long-term average, which has remained roughly constant over the last decade at around 1.8 million tonnes.

The rise in the value of tropical timber and wooden furniture imports in the EU-27 over the last two years was driven by sharp price increases. The average price per tonne for tropical timber and wooden furniture imports across all EU-27 member states rose gradually from 1,800 US dollars in 2020 to 2,100 US dollars in 2021 and 2,250 US dollars in 2022.

Initially, this occurred because severe supply shortages and a major surge in freight rates coincided with a short-term spike in demand caused by higher renovation activity during COVID lockdowns. The increase in demand for tropical timber products in the EU in 2022 was further driven by COVID recovery stimulus measures and the war in Ukraine, which placed pressure on supplies of alternative temperate timber products.