12/06/2026
The global timber market is in a strange place right now
Demand is weak and it is expected to decline further in 2026. At the same time supply isn’t expanding to match future recovery.
Why is that?
Mainly because of the structural supply constraints: Log availability is declining in key regions because of overharvesting and forest damages, costs are rising and regulations tightening. That means that even if demand recovers, production won’t return to previous highs.
Compared to 2021 levels demand is down almost 20 % in Europe. It is prognosed that the demand will slowly start to return 2027 and when it does, supply won’t keep up automatically. What will be the short term and long term consequences of that?