Australian Forestry Sounds Alarm Over Flood of Cheap Timber Imports
The Australian forestry industry is raising concerns about a significant increase in cheap imported timber products entering the local market, reportedly occupying more space in Australian homes and buildings.
The Import Challenge Intensifies
Nathan Paine, chief executive of the South Australian Forest Products Association (SAFPA), stated that international trade conditions, partly influenced by US tariffs, are enabling timber imports to reach Australia at approximately half the price of domestically produced timber. This includes products like laminated veneer lumber (LVL), which directly competes with local radiata pine.
"International trade conditions, partly influenced by US tariffs, are enabling timber imports to reach Australia at approximately half the price of domestically produced timber."
SAFPA indicates that demand for timber is now largely met by these lower-priced imports, making it increasingly difficult for local producers to compete. Data from Forest and Wood Products Australia reveals a 63 percent increase in LVL imports in 2025 compared to the previous year. Simultaneously, prices for these imports have dropped by 56 percent, reaching as low as $404 per cubic metre. Paine emphasizes that this downturn is distinct from typical industry cycles.
Paine emphasizes that this downturn is distinct from typical industry cycles.
Threat to Domestic Manufacturing Capabilities
Paine warns that losing market share to imports and steel will negatively impact domestic timber manufacturing capabilities in Australia. He highlighted that the COVID-19 pandemic caused significant trade disruptions and timber shortages, which clearly demonstrated the importance of maintaining robust domestic processing capacity.
In response to these challenges, SAFPA is advocating for government commitments to increase the use of local timber products.
Government and Industry Responses
South Australian Primary Industries Minister Clare Scriven affirmed the state government's support for the timber industry, underscoring the sustainability and quality of South Australian timber products.
Meanwhile, Simon Croft, chief executive of industry and policy at Housing Industry Australia (HIA), noted that post-pandemic, stabilized international supply chains have helped moderate building material prices, including timber. While HIA supports local timber, the organization seeks improvements in the domestic supply chain to ensure a secure, sovereign supply of key materials like timber for future housing demands.
Australia is currently a net importer of timber, with imports valued at about $7 billion annually against exports of approximately $2.8 billion.