US Dollar Exchange Rates of
25th
Oct
2024
China Yuan 7.12
Report from China
Investment in real estate development
A press release from the National Bureau of Statistics
points to a year-on-year decline of 10% in real estate
investment between January and September 2024, of
which the investment in residential buildings was down by
10.5%.
Between January and September the floor space of newly
built commercial buildings sold was, down by 17% year
on year, of which the floor space of residential buildings
sold decreased by 19%.
Sales of newly built commercial buildings dropped 23%,
of which sales of residential buildings decreased by 24%.
See:
https://www.stats.gov.cn/english/PressRelease/202410/t2024102
5_1957149.html
In an effort to support the ailing real estate sector that has
dragged down overall growth the government will extend
over US$500 billion in financing to property developers
through banks by the end of the year. In related news,
China's Ministry of Finance has outlined plans to step up
fiscal support to local governments, state-owned banks
and consumers but did not announce the size of a stimulus
package.
In a news conference, Finance Minister Lan Fo'an
introduced four policies: increasing support for local
governments to ease their debt burden; issuing special
treasury bonds to increase the capital of state-owned
banks; using local government funding to stop the
downturn in the real estate market and providing
assistance to students to encourage spending.
See: https://asia.nikkei.com/Economy/China-s-finance-minister-
says-there-is-large-room-for-fiscal-stimulus
Anti-dumping investigation of Chinese hardwood
plywood
In October the European Commission launched an anti-
dumping investigation into hardwood plywood imported
into the EU from China. The investigation was initiated at
the request of the nine European plywood producers. It is
claimed that China’s exports of hardwood plywood are
unfairly priced and use of Russian timber banned by the
EU and this trade threatens the financial viability of many
European companies and jobs.
The product under investigation is currently classified
under the HS codes ex 4412 31, ex 4412 33 and ex 4412
34 (CN and TARIC codes 4412 31 10 80, 4412 31 90 00,
4412 33 10 12, 4412 33 10 22, 4412 33 10 82, 4412 33 20
10, 4412 33 30 10, 4412 33 90 10, and 4412 34 00 10).
Several other countries, including the United States,
Morocco, Turkey and South Korea have already taken
action to protect their own industries from similar unfair
trade practices.
EU will adopt new rules for the first time to register all
imports of Chinese plywood and if it decides to impose
tariffs in the future, there will be a retrospective period to
prevent companies from hoarding goods to evade tariffs.
According to Eurostat data, the EU imported about
750,000 cubic metres of hardwood plywood from China in
2023 worth €327 million, accounting for more than half of
imports and 30% of the total EU market.
See:https://www.ttjonline.com/news/ec-investigation-into-
chinese-hardwood-plywood-imports-gets-underway/
and
https://sklejkapaged.pl/en/european-commission-launches-new-
anti-dumping-investigation-against-china/
Wood flooring sells well in the ‘Belt and Road’
countries
It has been reported that wood flooring from Huzhou City
in Zhejiang Province has been selling well in the ‘Belt and
Road’ countries.
Between January and September this year the value of
Huzhou wood flooring exports to ‘Belt and Road’
countries was about RMB230 million, an increase of 6%
year on year. The wood flooring products in Huzhou City
are exported to more than 10 ‘Belt and Road’ countries
such as Thailand, Malaysia and Vietnam.
In Nanxun District of Huzhou City there are many wood
flooring manufacturers which have successfully created
green wood industry clusters. The output value of the
cluster reached RMB11.33 billion in 2023 and its output
of wood flooring accounted for about 35% of the national
total. Solid wood flooring and multilayer laminate flooring
are exported.
Huzhou wood flooring industry has seized the opportunity
to expand its market share in the ‘Belt and Road’ countries
in recent years mainly due to the rising demand for wood
flooring in Malaysia and Singapore.
In order to promote wood Huzhou Customs took the
initiative to help enterprises to expand overseas sales,
strengthen communication with enterprises, understand
their export plans and needs in advance and provide
personalised customs clearance services.
Huzhou Customs also strengthened policy guidance and
training for enterprises, interpreted the preferential policies
in RCEP, China-ASEAN and other trade agreements in
detail and publicised customs supervision requirements so
that enterprises can effectively enjoy the benefits of policy
decisions.
Wood product imports and exports between China and
Belt and Road countries have developed rapidly in recent
years.
According to China Customs, the value of China’s wood
product imports from the Belt and Road countries rose 2%
to US$14.4 billion between January and September 2024.
Russia, Indonesia, Vietnam and Thailand are the top four
countries with import values for wood products exceeding
US$1 billion. Nearly 80% of China’s wood products
imports from the Belt & Road countries are from these top
four countries.
The value of China’s wood product imports from Vietnam
and Thailand rose 12% and 9% respectively between
January and September 2024 contributing to the growth of
the national total wood products imports value from the
Belt and Road countries.
In contrast, the value of China’s wood products imports
from Russia and Indonesia, as the largest and second
largest supplier, fell 3% and 8% respectively over the
same period.
The value of China’s wood products imports from
Malaysia, Poland, Belarus and Myanmar grew 30%, 9%.
40% and 7% to US$970 million, US$238 million, US$213
million and US$206 million respectively boosting the
growth of China’s wood product imports from the Belt and
Road countries.
According to China Custom, the value of China’s wood
products exports to the Belt and Road countries rose 5% to
US$17.8 billion between January and September 2024.
Over 60% of China’s wood products export value to the
Belt and Road countries to the top eight countries with the
export value of wood products exceeding more than US$1
billion.
The value of China’s wood products exports to almost all
top the Belt and Road countries rose generally from
January to September 2024. However, the value of
China’s wood products exports to Philippines fell 3% to
US$1.21 billion between January and September 2024.
China exported mainly paperboard and paper products,
wood products, wooden furniture and seats to ‘Belt and
Road’ countries and the value of these products
represented around 95% of the national total.
The value of China’s wood product, wooden furniture and
seats grew 6% and 8% to US$35.7 billion and US$35
billion respectively, making up 20% and 19.6% of the
national total for the period January to September 2024.
Wood product trade with Vietnam
According to China Customs, the value of China’s wood
product imports from Vietnam rose 12% to US$2 billion
between January and September 2024. China imported
wood products, paperboard and paper products, wooden
furniture and seats.
The value of China’s wood products exports to Vietnam
rose 12% between January and September 2024 and
comprised mainly paperboard and paper products, timber
and timber products and printed products.
The value of China’s paperboard and paper products,
timber and timber products, printed products exports rose
11%, 23% and 31% to US$1.224 billion, US$517 million
and US$126 million respectively from January to
September 2024.
 
Through the eyes of industry
The latest GTI report lists the challenges identified by the private
sector in the Republic of China.
See: https://www.itto-
ggsc.org/static/upload/file/20241021/1729482752156998.pdf
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