CBI | Market Intelligence Product Factsheet Cloves in Germany | 1

CBI Product Factsheet:

Cross Laminated Timber (CLT) Western Europe 2015

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 2

Introduction

This factsheet provides an overview of the rapidly growing European market for Cross Laminated Timber products (CLT).

Demand for CLT products depends heavily on residential and non-residential building construction such as schools,

restaurants, stores and warehouses. Despite the economic recession the European market for CLT products increases

rapidly. CLT offers new opportunities to extend the use of hardwood in high-end structural

applications. The potential for tropical hardwood species, to be used in CLT products, remains to be explored, but there

may be serious opportunities for exterior purposes.

Product Definition

Engineered Wood Products (EWP) are made from lumber, veneers, strands of wood, or from other small wood elements that are bound together with structural glues to form lumber-like structural products. They are designed for use as construction timber. These products allow production of large-lumber substitutes from small lower-grade logs. In the EWP product group several products are found: laminated veneer lumber (LVL), laminated strand lumber (LSL), parallel strand lumber (PSL), I-beams, glue-laminated timber (glulam), finger- jointed structural sawnwood and Cross Laminated Timber (CLT). This document is about Cross Laminated Timber (CLT) only.

CLT panels consist of several layers of structural lumber boards stacked crosswise (typically at 90 degrees) and glued together on their wide faces and, sometimes, on the narrow faces as well. The result is a light but very strong panel product that can be made off-site and erected quickly to form structural walls, floors and ceilings. CLT is used in a wide range of applications in single-family houses, multi-story towers, public buildings and specialty construction.

For classification of CLT in the European Union the Harmonized System (HS) is used. However, based on the statistics it is not possible to identify CLT directly (there is no such HS code). Therefore we need to use data from a somewhat larger group. The following HS code is taken into account: 44189010 Builders' joinery and carpentry, of glue-laminated timber.

Almost all CLT is traded under this number. There are no Eurostat Prodcom codes either (to measure production). Nevertheless figures are available (see statistics below).

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 3

Product Specifications

Main species in the market:

CLT is usually constructed from softwood spruce, although it can be manufactured from larch, fir, Douglas fir, pine or other

timbers. Around the world tests are carried out with other species (Bamboo, Iroko). Lumber is visually-graded or machine

stress rated and is kiln dried to 12%.

While C24-grade timber is often used, there has been an increase in the use of C16 timber. C16/C24 is the strength grade

of the timber, this can be graded visually, by a registered qualified grader or by machine. Graders’ evaluate the timbers

characteristics, taking into account any knots, fissures or slope of grain etc. to determine its strength class.

Colours:

As this is for construction purposes only, at least for the moment, its mainly used inside wall and ceilings and colours are

thus not important.

Dimensions:

Thickness of individual lumber pieces typically varies from 16 mm to 51 mm and width varies from 60 mm to 240 mm.

Panel sizes vary by manufacturer; typical widths are 0.6 m, 1.2 m, and 3 m, while length can be up to 18 m and thickness

up to 508 mm. In special constructions longer lengths are even possible. A lot more details about the manufacturing and

dimensions can be found in the study ‘Cross Laminated timber analyses’ (source: University of Applied Science in Salzburg.

Glues:

Mostly formaldehyde-free interior/exterior polyurethane (PUR) structural adhesives are used. When tropical timber species

have to be glued different adhesives need to be used as these species are often more difficult to glue. Some exporters are

doing tests with species and glues, but this is often for the local markets.

Types of packaging:

Orders are usually transported by truck in Europe or by container when exported overseas. Dry Cargo Containers defined

as 20'GP (general container) are usually used for shipment. Precise packaging used in the containers fully depends on the

dimension of the product.

Buyer Requirements

This buyer requirement section is separated in 3 parts; requirements you must meet to be able to export, additional

requirements you may meet and niche requires you can meet. For more details read the more general CBI document on

‘requirements your product should comply with’ as well.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 4

Figure 2: Buyer requirements for CLT

Requirements you must meet

General Product Safety and liability

The General Product Safety Directive applies to all consumer products in the European Union. The obligation to comply will

be primarily the responsibility of the European Union companies that place the finished product on the market. However,

they will often ask their suppliers to comply with the given requirements. There is also non-product specific legislation on

liability that apply to all goods marketed in the European Union.

CE-marking

Timber products that are permanently incorporated into construction works will have to be CE-marked. The CE marking

demonstrates that the products comply with harmonised requirements regarding mechanical resistance, stability, safety in

Tip:

To get a better understanding of reasons behind the confiscations of products by European Union customs

authorities, refer to the European Union’s RAPEX database. Try and identify the most common forms of non-

compliance by suppliers to the European Union and evaluate your own risks. This strategy can serve as a basis for

you to correct any supply inconsistencies before accessing the European market, thus avoiding rejection at the

border.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 5

case of fire, hygiene and the environment. Since July 2013, manufacturers of finished construction products need to

provide a declaration of performance (DoP). The CE requirement applies to you only if you are a supplier of finished

construction products to the European Union.

CE is required with CLT products. All current CLT producers are following ‘product standards’ (see below), and are

complying with CE automatically.

European Union Timber Regulation (EUTR)

All timber imported into the European Union needs to come from verifiable legal sources. European Union buyers that place timber or timber products on the market time have to show due diligence. Either you do this by larger contracts or with every container you send. In addition the EUTR forces operators to trace their products back to the source. This means that when suppliers supply legal timber but cannot provide well-documented guarantees of legality they will not be able to supply the European Union market. The easiest way to prove compliance is through a voluntary legality verification system or regular sustainable forest management certification (e.g. FSC). The EUTR is part of the Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan. Another part of the plan are the Voluntary Partnership Agreements (VPAs). These are voluntary trade agreements between the European Union and

timber exporting countries. In case a given country is fully implementing its national control scheme, it receives a European Union FLEGT license and all timber exported from that country is considered legal. Note, however, that FLEGT does not prove sustainability, nor does it address deforestation; only legality. At this moment European Union buyers consider sustainability certification important and EUTR essential. Consumers will

not ask for less sustainable products in the future, when informed about the difference between ‘legal’ and ‘sustainable’

(Source: feedback from 17 importers during meetings and online questionnaire 2015). From the developing country

suppliers’ perspective, EUTR’s regulations are considered to be complicated and expensive thus presenting a threat for

imports from developing countries.

Current state of affairs; The implementation of the EUTR is still in its infant stage. In many European Union member states the monitoring of trade in illegal timber is still insufficient. At the supply side there are, at the moment of writing (Jan 2016), 9 developing countries in the final stage of implementing and 9 other countries are still in the negotiation phase. None of them reached the FLEGT licensing stage (check EU-EFI for the current status). Therefore, since the implementation of EUTR no FLEGT-licensed timber has yet entered the European Union market. There are reports that by the end of 2015, Indonesia and Ghana will have completely implemented its FLEGT-legality assurance system however this has been delayed several times already. Regardless of these shortcomings most large and professional buyers comply with the requirements in the EUTR and are asking their suppliers to prove legal origin of timber. Compliance is especially common in North and West European countries where there is a strong commitment towards legality and sustainability. However in these regions (smaller) buyers can also be less pro-active and not yet fully compliant. What has happened since the implementation of the EUTR is that the supply chain of timber has become more transparent. It has already resulted in major improvements in the legality controls and overall environmental and social performance of their timber and forestry industries. It might still take some time but the European Union will move towards a stricter implementation of the EUTR.

Tips:

For an explanation what the essential characteristics of products are, refer to Chapter 1.3 of the Manufacturer’s

Guideline to the Construction Product Regulation and its Implementation.

To read more about CE marking of construction products, refer to the European Union Export Helpdesk.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 6

The implementation of the EUTR in many European countries, including the UK, has made them less accessible for exports

from non-certified sources. In its current state of implementation, the UK has assigned the enforcement power to the

National Measurement Office (NMO). Additionally, penalties and checks are already enforced in the UK market.

Consequently, there is an increasing shift to European imports of non-tropical timber, while exporters in developing

countries are simultaneously focusing on emerging markets with less stringent requirements

CITES

The Convention on International Trade in Endangered Species (CITES) lays down provisions for international trade of

endangered species. If you are supplying endangered timber species listed by CITES, make sure you acquire a CITES

permit. With a CITES permit, you automatically comply with the requirements of the European Union Timber Regulation

(EUTR) and your timber will be considered legally harvested.

Chemicals in timber

The preservatives arsenic, creosote and mercury can be used to prevent rot and improve the durability of timber especially

destined for outdoor applications such as decking. The European Union does not allow the use of these preservatives,

except for products such as wood used in industrial installations or as railway sleepers. There are also restrictions for

timber products treated with certain oils, glue varnishes and lacquers that may contain harmful substances. For example,

painted articles must not be placed on the market if the concentration of cadmium is equal to or greater than 0.1% by

weight of the paint on the painted article.

There are also restrictions set by the European Union for the use of chemicals in processing. The European Union REACH

(Registration, Evaluation and Authorisation of Chemicals) regulation sets requirements for the use of products such as oils,

varnish and lacquer that may contain harmful substances. Products treated with certain substances such as arsenic and

chrome may not be imported.

This legislation does not apply outside the European Union, but buyers are increasingly implementing sustainable practices

in their own companies and in their supply chains. Therefore, they can ask you to also comply with these requirements

regarding the use of chemicals during processing and production (e.g. volatile organic compounds [VOCs] used in coatings,

formaldehyde and Pentachlorophenol).

Tips:

With the implementation of the EUTR Europe is less than ever a market for incidental selling. In case you decide

to keep selling to the European market keep in mind that legality assurance is an essential aspect of trade

together with price and quality. More information is provided by the Guidance Document for the EUTR.

Read more about control on illegal timber and timber products in the European Union Export Helpdesk.

The European Timber Trade Federation and EU FLEGT facility provides regular updates about the status of the

implementation of the EUTR.

For establishing long-term business relations suppliers are advised not to wait for the EUTR and FLEGT-system to

be fully up and running, but to be pro-active and ensure full transparency and legal sourcing and take your own

measures if necessary.

The EUTR is completely implemented in the UK and inspections take place. Read more here.

Tip:

To check if your timber species is included in the CITES-list, refer to Annex A, B and C of the CITES-Regulation.

As the list is regularly updated, make sure you refer to the most recent version of the Regulation (see under

consolidated version).

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 7

General requirements on packaging:

There is also non-product specific legislation on packaging (Directive 94/62/EC) that apply to all goods marketed in the

European Union. The scope of the regulation is to introduce measures in order to reduce the risk of pest spread associated

with the packaging material of raw wood. All wooden packaging material (mostly pallets) you use must display the ISPM

15 logo and your unique identification number (if you produce the packaging material yourself). If you are not producing

the material yourself, you will need to buy the material from a licensed producer in your country. See the CBI document on

buyer requirements as well.

Additional requirements

Sustainability certification

To market your product as ‘certified’, you will need to meet and prove compliance with an European Union-recognised

sustainability label. Standards under such labels typically consider three issues:

Legality – forest owner/manager holds the legal right to harvest, and timber is harvested, processed and traded in

compliance with relevant international, national and regional laws

Environmental sustainability – the forest is managed in a way that preserves the health of the forest for future

generations

Social sustainability – timber is harvested, processed and traded with respect to the rights and working conditions of

those directly affected

For many wooden products, including timber garden furniture, the Forest Stewardship Council (FSC)-certification of timber

is the most common label. Another popular scheme is the Programme for the Endorsement of Forest Certification (PEFC)-

certification. The FSC and PEFC label requirements consider issues of sustainability in a similar manner to the three issues

indicated above.

Sustainable forest management has become commonplace in the market for non-tropical timber. In addition, the demand-

driven commitment towards legality and sustainability has crystallized in recent years in the UK market. For instance, in

2010 over 91% of wood and wood products coming into the UK were certified. Although advancing at a slower pace, the

UK market of certified tropical timber is also growing. In 2010, 16% of tropical wood imports into the UK were certified.

This is confirmed by more recent, general studies on sustainable consumption in countries including the UK, in which

demand-driven sustainability requirements are rapidly increasing

Tips:

Ask buyers whether they have specific policies concerning chemicals and what their specific requirements for

suppliers are.

Refer to the European Union website on reduction of emissions and substitution of solvents to learn more about

how to reduce VOCs.

Check the European Export Helpdesk to determine in how REACH affects you.

To find out more about restrictions on specific substances, refer to Annex XVII of Registration, Evaluation and

Authorisation of Chemicals (REACH). In addition, refer to the website of European Union to read more about

REACH.

Read the CBI document on ‘requirements your product should comply with’ as well.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 8

Corporate responsibility

Companies are also addressing issues other than the origin of wood. UK buyers are increasingly paying attention to their

corporate responsibilities regarding the social and environmental impact of their businesses. This also affects traders and

processors. Important issues are respect for indigenous rights, owner’s rights, environmental performance, respecting

labour laws and healthy and safe working conditions. Many European companies in the timber sector have policies

addressing these issues. Suppliers may have to verify that certain policies are in place, i.e. by means of certifications and

standards.

Suppliers can be asked to abide to a code of conduct that guarantees good practices of health and safety and

environmental awareness. Additionally, they can be asked to sign supplier declarations, ensuring compliance with local

laws and regulations, industry minimum standards, the International Labour Organisation (ILO) standards and UN

Conventions.

Complying with CLT product standards

There are several product standards and norms in place that can be used:

European product standard: EN 16351 (currently a draft version, with legal validity envisaged by the end of 2015).

European design standard EN 1995-1-1 (currently in revision).

American National Standards Association approved ANSI/APA PRG 320-2012. Standard for Performance-Rated Cross-

Laminated Timber.

CLT is also scheduled to be included in the 2015 International Building Code (IBC).

Worth mentioning is also the open-source CLT software package CLTdesigner. This is used by many producers to

make calculations and designs of CLT products.

In some CLT producing countries local standards are made, based on the EN norms.

Standards Map of the ITC

Check the International Trade Centre’s Standards Map, an online tool, providing comprehensive information on over 130

voluntary sustainability standards and other similar initiatives. It covers issues such as codes of conduct relevant to your

product, reviews the main features of the selected standards and codes, and compares standards’ requirements side-by-

side. Furthermore, you can assess your company’s performance against standard requirements in a self-assessment

Tips:

To get a better understanding of what criteria are demanded in the certified tropical timber market, refer to

principles and guiding criteria of FSC and PEFC.

Be aware that as a supplier of sustainable certified timber, you will need to acquire a CoC certificate. Make sure to

only target buyers that also have a CoC certificate. Non-certified buyers are not allowed to sell certified timber.

Find out what is necessary for CoC certification. The website of the Global Forest & trade Network (GFTN)

provides a roadmap to certification.

To find European or local buyers (e.g. importers, processors and retailers) and suppliers of certified timber and

timber products, refer to FSC Global Marketplace and PEFC database.

document on ‘requirements your product should comply with’ as well.

Tips:

Look into the possibilities for improving your performance in sustainability. Even if immediate compliance with

certifications is beyond your scope, familiarising yourself with issues included in these, will give you an idea of

what to focus on regarding sustainability. For more information on these aspects, read Wood processing and

furniture making: Cleaner production fact sheet and resource guide.

Refer to the factsheet health and safety management in the woodworking industry by the Building and Wood

workers international association (BWI).

Refer to the Less Dust Guide from the European Federation of Building and Woodworkers to reduce wood dust in

the workplace.

Ask your European Union buyer about their supplier policy with regard to labour standards. Find out how these

standards are monitored and/or evaluated.

Investigate the possibilities for implementing sustainability certification for continuous process improvement: ISO

14000 (environment), OHSAS 18001 (health and safety) and SA8000 (labour standards) are some specific

examples of such certifications.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 9

module. It will generate your company’s ‘sustainability diagnostic report’ to share with the business community. Check the

standards map videos to see how the Standards Map can help you determine which initiatives are useful for you.

Niche requirements

Dual certification (FSC and Fairtrade)

Smallholders and communities often face tough competition in the global timber market. FSC is looking to differentiate

products from communities and smallholders in the marketplace. Dual certification of FSC and Fairtrade has been tested.

In addition to sustainable forest management practices (FSC), extra attention is being given to on-site social conditions

(Fairtrade). FSC/Fairtrade timber is sold with a Fairtrade premium that provides a 10% added value to wood products from

certified smallholder communities. Obtaining a dual certification is particularly attractive in the UK market, given the high

consumer recognition of the Fairtrade label, at a level estimated at 72.5%.

ISO certification

The ISO 14001 Environmental Management Systems is an international certification scheme addressing aspects of environmental management and providing practical tools for identifying and managing environmental impact and continuously improving environmental performance.

Trade and Macro-Economic Statistics

About 90% (560 thousand m3) of global cross-laminated timber (CLT) was produced in Europe in 2014, and this is forecast to increase to 630 thousand m3 in 2015. The figures below are also a good indication for the worldwide trade (and thus not only Europe). The DACH countries (Austria, Germany and Switzerland) have been the driving force in CLT development, not only as the originators of CLT products but also as the leading CLT producers. Austria has seven CLT production facilities, Germany three and Switzerland two. Minor production sites exist in Finland, Italy, Norway, Spain and Sweden, and more CLT factories are under construction in Finland, France, Sweden and the UK. Earthquake-prone countries such as Japan have shown keen interest in increasing the use of CLT, and Japan has published a roadmap to pave the way for CLT in the Japanese building market. The use of CLT does make it possible to construct tall

Tip:

For more information regarding dual certification, please refer to the FSC website.

Tip:

Find out more about ISO certification and the advantages for you on the ISO 14001 website.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 10

wooden buildings. The current record-holder is a 14-storey residential high-rise in Bergen, Norway, and an 18-storey wooden building is planned in Vancouver, Canada. The global distribution of CLT production is likely to change, however, with new planned capacity in, for example, Japan

and North America. National CLT production volume is not necessarily proportional to national consumption – the central European timber industry is strongly export oriented, supplying other parts of Europe as well as overseas markets. The section below provides you with statistics on the trade and consumption of CLT in the Western European countries (Austria, Germany, The Netherlands, Sweden, Belgium, Finland, France and the United Kingdom). Some caution is required as figures are including intra-European Union trade1.

Imports: decrease

Figure 4: Imports of CLT in Euro million (Source: Eurostat (2015).

As CLT is only produced in Europe the import figures show intra-trade only. Thus these figures are representing CLT export

from Austria, Germany and Switzerland (the 3 producing countries) to other Western European countries. During the

period between 2010 and 2014, imports decreased, amounting to € 116 million in 2014. The decrease is clearly linked to

the economic recession, which hit the construction sector very hard. Evidence of economic recovery has not translated into

a clear growth pattern, although indications for 2015 are good (see below).

The biggest importers are: Germany (€ 46 million), France (€ 28 million), Austria (€ 18 million) and the UK (€ 13 million).

1For intra EU trade, figures are only compulsory for exporting and importing firms whose trade exceeds a certain value. The threshold varies

from country to country, and is typically about €100,000. Intra EU trade is often underestimated by 3-6%.

127

136131

120116

105

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115

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125

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135

140

2010 2011 2012 2013 2014

Import

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 11

Exports: stable growth

Figure 5: Export of CLT in Euro million, (Source: Eurostat (2015).

The export statistics show a stable growth with this new trendy product, amounting to € 318 million in 2014. This is also in

line with the increased production (see below). Export to non-European Union countries was also growing.

As can be expected the biggest exporters are: Austria (€ 148 million) and Germany (€ 113 million). After that other

important players are: the Netherlands (€ 19 million, trade only), Sweden (€ 14 million), and Belgium (€ 11 million, trade

only).

Some European Union countries like Belgium and the Netherlands are real trading hubs, you can also design a

strategy so as to consider it as an entry point to access other European countries.

Production: clear increase

Official production figures are not available for Europe. But the United Nations Food and Agriculture Organization did carry

out some research, in cooperation with the Institute of Timber Engineering and Wood Technology in Graz, and produced

some production figures. This resulted in figure 7 below. Figure 6 was composed by dividing the number of m3 by an

average sales price of 500 Euro/m3 CLT. This is an average price, based on several sources (see price section below).

Figure 6 & 7: Production of CLT in Euro million and in m3 x1000

(Source: United Nations Food and Agriculture Organization, Forest Products Annual Market Review 2014-2015 (2015).

249274 283

308 318

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Export

150200

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ProductionEuro

300400

500 530 560

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Productionm3

Tip:

As CLT is not yet available from tropical wood species, or for exterior use, there is a good possibility to introduce

a new product on the European market; CLT with high durability (hardwood species) and for exterior use.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 12

Production increased as CLT becomes more popular in the world, reaching a level of € 280 Million in 2014. It is estimated

that the market will grow to 700 thousand m3 in 2015 (€ 350 million). The biggest producers can be found in the figure

below:

Figure 8: Biggest European Union producers in the European Union in m3 x 1000

(source: UNECE/FAO 2014 and University of Helsinki presentation 2015).

Consumption: back on the increase

Figure 9: Consumption of CLT in Euro million in Western Europe (Consumption is calculated as Imports + Production - Exports),

(Source: FSG (2015).

Consumption of CLT in the Western European countries fluctuated in the last years but now seems to be stable, amounting

to almost € 79 million, in 2014. With the building sector gradually picking up speed again the forecast for 2015 is positive.

Market Trends

The CBI Tropical Timber Trend document provides you with detailed trends in the European market for sustainable tropical timber and timber products. The section below gives a short summary of the most important developments and trends in the European Union market. Workforce demographics stimulate outsourcing; Production is slowly moving to Eastern European and developing

countries.

Consumers slowly return to construction: The period of economic recession took the European construction market

into a downturn, since fewer parties would construct new homes. Nevertheless, the market for renovations remained

steady.

Consumer awareness about deforestation and climate change: In most of the important tropical timber importing

countries in Europe sustainability is high on the agenda of the consumers and thus also on governmental agencies,

timber trade federations and large retailers. Traceability systems are gaining importance too.

0

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2013

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77 79

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Consumption

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Substitution by soft and temperate wood species and non-timber alternatives: The increased availability of thermally

and chemically treated softwoods and temperate hardwood means that tropical timber is increasingly being

substituted for Furniture, Joinery and Garden Products like Decking.

More efficient processing, adding value and innovation: To increase efficiency, there is a move towards processing

techniques that enable the use of timber waste that would otherwise be discarded (e.g. finger jointing, lamination).

Economy in recovery: GDP in the European Union is expected to grow by 1.7% in 2015 and by 2.1% in 2016

(European Union Forecast 2015). But the economic crisis has different implications in different European Union

countries.

Rise of demand in emerging economies: The fast development of emerging economies is fuelling demand for tropical

Timber and Timber Products.

Pressure on price premiums: The price premiums for certified tropical Timber and Timber Products are under pressure

because certification becomes ‘business as usual’.

Lesser-known species in demand: An important part of sustainable forest management schemes is the promotion of

lesser-known species. Scarcity of well-know/popular tropical timber species offers opportunities for new species.

EUTR is meeting expectations only partly: The implementation of the EUTR is still in its infant stage. In many

European Union member states the monitoring of illegal timber trade is still insufficient.

CLT is becoming more popular. Dutch importers Woodteq houtconstructies and Korlam were stating that many small

construction companies prefer working with CLT instead of regular sawn timber because there is no need to ‘grade’

and check the timber for strengths and weaknesses as CLT is of a uniform quality. Besides that it is easy to work

with, easy on the machinery and it weight less than concrete. All importers state a growing demand (FSG, meetings

with CLT importers).

Market Channels and Segments

Exporters of CLT products mostly sell their products to importers, wholesalers/distributors or directly to construction

companies or project developers (the role of the agent as an intermediary is decreasing).

The importers and wholesalers/distributors are selling to construction companies and project developers.

Figure 10: Trade structure for CLT

Source: Forestry Service Group

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 14

Prices

CLT is not yet imported from overseas thus price development and factors that influence the price are strictly bound to

Europe. Prices are also based on European sawn timber softwood prices. If you decide to produce your own CLT and start

exporting the following factors will influence your price: availability of species, humidity levels (12%), durability class

(density of the timber), quality (occurrence of stains, knots, end shakes, mould, warped boards, insect holes, breaks,

repairs) and sustainability certification (FSC, PEFC).

If you start exporting from a Developing Country the following price breakdown will be applicable:

Figure 11: Price breakdown of imported wood products into the European Union (excluding VAT, average 20%)(Source: FSG).

Market prices for CLT vary by the dimensions of the product, but in average a price of € 500/m3 is used by the bigger

producers. This is the price these producers are selling it for to the wholesalers, importers or construction companies

(source: 1. Fachhochschule Salzburg, 2. Potential opportunities for cross laminated timber in South Korean residential

building market, 3. University of Helsinki presentation 2015 and 4. meetings with CLT importers in NL).

Some of the bigger producers, and some importers, are listed in the table below, with their website:

Table 1 important market players

Field of Competition

Strict buyer requirements hinder market entries:

Legality and traceability requirements are considered major barriers for exporters in developing countries. Nevertheless,

products with less detailed specifications and less sophisticated design, such as decking boards, will enter the European

market more easily compared to other timber products such as garden furniture.

Company Country Type

StoraEnso Finland (and many other countries) Producer

Mayr Melnhof Holz Austria Producer

Binderholz Austria Producer

KLH Massivholz Austria Producer

Hasslacher Austria Producer

Woodteq houtconstructies Netherlands Importer

Korlam Netherlands/Belgium Importer/Producer

Ramboll UK Designer/project

developer

Tip:

For more general information about market segments and channels you can have a look at the Market Channel

and Segment document available on the CBI market intelligence platform.

CBI | Market Intelligence Product Factsheet Cross Laminated Timber (CLT) Western Europe 2015| 15

Market rivalry:

If you decide to export CLT to Europe you have to compete with the European producers if you try to sell similar products,

made from softwoods or tropical species with a low density. This will be difficult as the European producers are investing

heavily in technology and above all are big enough to do so.

Thus you have to differentiate.

Useful sources

CBI market information: Promising European Union export markets.

United Nations Food and Agriculture Organization, Forest Products Annual Market Review 2014-2015

CLT Handbook, US edition.

Austrian Marshall plan foundation, Fachhochschule Salzburg. CROSS-LAMINATED TIMBER.

European Union Expanding Exports Helpdesk Go to ‘trade statistics’.

Eurostat statistical database of the European Union.

Register for the International Trade Statistics site.

Tip:

Keep up to date with market access requirements, following details of developments provided by CBI.

Tips:

Make sure you add value to your product by improving its durability, quality and design (color of the timber) by

using tropical hardwood species with a higher density that can be used for exterior purposes.

Timber prices can change daily so you will need to refer to your buyers to stay informed on the price

developments. For more general information on prices check the bi-monthly ITTO tropical timber market reports

and the FORDAQ.

CBI Market Intelligence

P.O. Box 93144

2509 AC The Hague

The Netherlands

www.cbi.eu/market-information

marketintel@cbi.eu

This survey was compiled for CBI by the Forestry Service Group (FSG)

in collaboration with CBI sector expert Marco Bijl

Disclaimer CBI market information tools: http://www.cbi.eu/disclaimer

June 2016