world news - 21.09.2004
China: MDF Sector Restructured
There have been some major developments in China's MDF industry recently. Many large scale medium and high density fiberboard production lines are in the pipeline or are being constructed.
The Shandong Dongying Zhenghe Wood Industry's production line, with an annual output of 160, 000 cubic metres was commissioned in June of 2004.
Also, the Guangdong Asia Chuangjian (Heyuan) Group's production line (annual output of 200 000 cubic metres) along with the Jiangxi Fuzhou Daya Wood Industry's production line (annual output of 200 000 cubic metres) began production in July of 2004.
New developments are underway at the Guangxi Wuzhou Sanwei Wood Industry's production line (annual output of 240 000 cubic metres) and the Guangxi Nanning Gaofeng Rongzhou's mill (annual output of 135 000 cubic metres).
Amongst the top level MDF manufacturers there have been some changes. Reports indicated that for the Plantation Timber Products Group (PTPG) Carter Holt Harvey has become the largest shareholder as of July of 2004.
There have also been some changes in the supply of equipment with more second hand machinery being offered. Local analysts say that the demand for processing equipment is strong but at the moment, few companies offering second hand plant.
Local analysts are now talking about a re-structuring in the MDF industry where production could be 4 million cubic metres annually.
The same analysts say that the current round of re-structuring is a good thing for the sector which will promote the development of the MDF industry in China. They for-see that some enterprises with no raw material guarantee and small scale industries with old and low productivity technology will be eliminated.
ITTO
See also:
- — Russian larch prices down within 6 months in 2004 in Japan
- — Russian timber products exports increased 22.6% within 7 months
- — Machinery and timber-processing products orders in Germany increased 28% within 6 months in 2004
- — British Timber Statistics 2003
- — UK timber pallet and packaging prices must increase to sustain continuity of supply
