US Dollar Exchange Rates of
China Yuan 7.1165
Report from China
Manufacturing Purchasing Managers Index
China¡¯s official manufacturing Purchasing Managers¡¯ Index inched up in
September to 49.8 according to the National Bureau of Statistics from
49.5 in August.
The index has been below 50 for almost six months indicating activity
was still cooling amid uncertainty caused by the protracted trade
dispute between China and the US. The 50-point level separates
contraction from expansion.
A sub index measuring total new orders received by manufacturers in
China rebounded to above 50 in September, the first time the new order
sub index showed an expansion since May.
China-Russia timber processing centre established
A China-Russia timber processing and trading centre was
recently established in Suifenhe City, Heilongjiang Province. The centre
occupies an area of 380,000 square metres and cost around RMB600
The aim is for the Centre to be an industrial cluster for the itmber
industry and become a timber distribution centre bringing together
e-commerce, supply chain finance, logistics, cross-border trade as well
as production and processing.
It is estimated that the total annual log volumes required for
enterprises in the Centre will be around 2 million cubic metres and the
value of imports will be as much as RMB2.2 billion.
Trial production of pre-fabricated buildings
Yuan Niu Wood Industry in Hubei Province will begin trial production of
pre-fabricated buildings later this year. This project covers 5.6
hectares with a total investment of RMB200 and has 20 production lines
with annual output of about 9 million building components. After
completion, the project will provide around 300 jobs and will generate
an annual output of RMB300 million.
The wooden components produced by the company are mainly for modern
¡®Vanuatu¡¯ National Forest Wood Processing Project
An investment agreement for a ¡®Vanuatu¡¯ National Forest Wood
Processing Project was recently signed between the Guangxi Beihai
Municipal Government and Vanuatu National Forest Resources Industrial
Co., Ltd. (a wholly Chinese entity). The facility will be in the Beihai
Tieshan East Port Industrial Zone, Guangxi Province. The total
investment is said to be around RMB1.53 billion.
This wood processing project will comprise a log yard, sawmill and
veneer mills and a redwood processing plant. Also planned is a biomass
fuel processing plant.
Output of wood-based panels rise slightly
It has been reported that the output of wood-based panel products in
China was about 299 million cubic metres in 2018, a year on year
increase of 1.43%.
Of the total, output of plywood, fibreboard, particleboard and other
wood-based panel was 179 million cubic metres, 62 million cubic metres,
27 million cubic metres and 31 million cubic metres respectively,
accounting for 60%, 21%, 9% and 10% in 2018.
The average annual growth rate of wood-based panel consumption in China
was about 13% over the past 10 years and growth in consumption is still
positive but the pace of growth has slowed. While consumption of plywood
increased slightly in 2018 consumption of other wood based panels
Development of panel sector continues
In 2018 the volume of China¡¯s wood-based panel exports totaled 14.23
million cubic metres, an increase of 2.1% over the previous year. The
value of China¡¯s wood-based panel exports was about US$6.773 billion, up
6.8% over the previous year, reversing the declining seen in the
previous three years.
The export volume and value of plywood products account for 80% and 82%
respectively of the total volume and value of wood-based panel
exports.There has been rapid development of the wood-based panel sector
in China and this continues with a number of large enterprises investing
in production capacity.
From the point of view of products, most leading enterprises have
expanded the range of wood-based panels produced and developed into
multi-product enterprises making plywood, fibreboard and particleboard.