American Hardwood Supplement 2018

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AMERICAN HARDWOOD Southeast Asia Supplement 2018 AHEC participates in trade shows around the world but hosts the largest pavilion at the young and increasingly successful Sylva Wood in Shanghai. Lee Zhuomin explains why. Sylva is Latin for forest and that is what Sylva Wood is all about. The Chinese market for wood products is moving fast and Asia needed a kind of Carrefour du Bois (specialist wood show in France) to address the market. Sylva Wood filled that gap. The American Hardwood Export Council was one of the first associations to endorse Sylva Wood, encouraging members to sign up for booths fast to take advantage of what China could offer. With every successive show, Sylva Wood sees AHEC members returning, and returning again every year. Executive Director Mike Snow always shows his support by participating in the opening ceremony and mingling Executive Director Mike Snow usually spends the afternoon of the first day introducing the U.S. hardwood forest resource. with guests, followed by a 45-minute presentation on the U.S. hardwood forest resource in the afternoon. During an interview at the show with Mike last year, he said, “[Sylva Wood] is very targeted and that’s what makes it so exciting for us and our member companies. We have more than 30 of them here and several more that wanted to come but there simply wasn’t enough space… We will absolutely support the show next year again.” It wasn’t that the rest of the shows in Greater China and Southeast Asia were poor. (AHEC still commits to furniture shows in the region a few times a year.) It was the dearth of shows that focus strictly on timber, which means the wood materials section often gets lost among the machinery and other services. “Sylva Wood may be a bit smaller, [but] it is very focused on wood. It brings people to talk about wood and only wood,” Mike stressed, echoing the sentiments of his members. The American Hardwood Export Council and over 30 of its members participated at the third edition of Sylva Wood. 36
Southeast Asia Supplement 2018 AMERICAN HARDWOOD Foresight In 2015, it was announced that China would enforce a blanket ban on commercial logging of natural forests by 2017. As a result, 40% of the country’s wood needs will, and can only be met by imports. Fast forward to 2018 today, RISI, a Boston-based research consultancy for forest products, reports that China’s wood imports are expected to increase by 60 million cubic metres by 2025, and will eventually represent 12-13% of global timber harvest. In U.S. hardwood terms, the country now accounts for more than half of all lumber exported, a trend that is unlikely to abate in the next couple of years. The massive demand for wood products predicted in 2015 had indeed moved fast. Furthermore, the renowned McKinsey consultancy expects that as household disposable income doubles by 2020, from $4,000 to $8,000, the desire to trade up will be obvious. Brand, quality and carbon footprint will determine purchase decisions, even in semi-basic necessities such as furniture. American hardwood in itself fulfils what the modern Chinese consumer wants. It impresses with its quality and beauty; its choice reflects one’s sense of style and to some extent, social standing; and more importantly, it has solid environmental credentials. It is why the AHEC delegation is the largest at Sylva Wood compared to all other shows it attends around the world: China is big business, Sylva Wood offers that niche platform for engaging it. It was the vision of both the organiser, Shanghai Pablo Exhibition, and the industry to build a springboard for wood suppliers interested to tap into this vast market. That vision is now being met, confirmed by the popularity of the show amongst AHEC members and their enthusiasm. Lee Zhuomin is the Editor of the Panels & Furniture Group of Wood Magazines. She is based in Singapore. AHEC and NHLA executives at Sylva Wood 2017 37
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