WHY IMPORTANT TO WISCONSIN: Prohibitions against harvesting native trees in certain areas already are boosting demand for U.S. hardwood imports, and Wisconsin suppliers may benefit.
Australia depends heavily on imported wood products, and that reliance is growing as new forestry regulations are taking effect, limiting domestic supplies.
According to the Australian Department of Agriculture, Fisheries and Forestry, the value of timber imports reached nearly $6.9 billion AUD ($4.9 billion USD) in 2023, a 1.8% increase over the previous year. The U.S. supplied $21 million worth of the hardwoods, a 22% increase over the year before, according to the U.S. Department of Agriculture.
Recent regulatory changes in key Australian states are boosting the demand for imports even more. The governments of both Western Australia and Victoria both banned cutting down the state’s native hardwood trees and selling them commercially, as of Jan. 1, 2024. Parts of Queensland will also restrict logging of native trees by the end of 2024.
In Western Australia alone, the new rule protects nearly 5 million acres of forests from being felled and turned into products such as furniture, flooring, firewood, and garden mulch, according to ABC, Australia’s public service medium organization.
The effort is meant to return forestlands to their natural state before European settlers arrived, as well as to boost resilience to climate change, and to open certain areas to tourism.
The new restrictions have resulted in a rapid increase in the amount of timber coming from the U.S.
According to Wood Central, Australia’s platform for wood-based media, Australian Sustainable Hardwoods, the country’s largest hardwood manufacturer, has been importing 30 American oak containers every month. In the first quarter of 2024, imports of U.S. red oak—used in moldings, flooring, furniture, doors, cabinets, and coffins—increased by more than 1531% over the same period in 2023.
In a 2022 report, Forest and Wood Australia predicted that with housing construction continuing to boom, the country will face a critical timber shortage and the need for imported timber will double by 2050 unless another 1 billion trees are planted domestically for production.
American hardwoods such as white oak, red oak, cherry, and maple are particularly in demand. Wisconsin’s abundant hardwood resources position the state’s producers well to tap into this demand.
Entering the Australian market requires adherence to strict biosecurity protocols, including measures to prevent the spread of pests like the brown marmorated stink bug. Wisconsin companies will have to ensure that their timber meets Australia’s quarantine standards, which may involve kiln drying or specific treatment processes.
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