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Nordic forest products under pressure

Australian timber industry news - Mo, 04/08/2025 - 02:18

Forest products professionals in the Nordic region are being squeezed by high raw material costs and evolving environmental regulations that have immediate and long-term implications. Source: ResourceWise Over the past year, domestic softwood pulplog prices rose in Norway by 25%, in Finland by 15% and in Sweden by 11%. These cost increases are occurring alongside early signs of pulp production slowdowns in some areas. While the reasons vary by market, many producers are closely watching both supply conditions and regulatory developments that could influence fibre availability going forward. Two key policy developments from the European Union are adding complexity to long-term forest planning. The Land Use, Land Use Change and Forestry (LULUCF) regulation aims to improve carbon sequestration through forest management — a goal that may prove difficult to meet without changes to current harvesting levels in Sweden and Finland. In addition, the EU Deforestation Regulation (EUDR), which goes into effect this December, is expected to reshape sourcing practices for timber and other forest-based materials. These regulations introduce new factors for forest owners and wood-using industries to consider as they plan future harvests and investments. A report from ResourceWise provides a more detailed overview of current pulpwood price developments, regional differences across Finland, Sweden, and Norway, and how producers are responding to emerging challenges. It also highlights the potential impact of EU climate legislation on harvesting activity and forest management strategies in the Nordic region. More information at https://www.resourcewise.com/

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by Dr. Radut