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Judi Lynn

(160,598 posts)
Wed Nov 27, 2019, 04:16 AM Nov 2019

How the Trade War is Hurting the U.S. Lumber Industry and Forests Around the World


BY CHARLIE CAMPBELL / SHANGHAI
2:41 AM EST

Nestled in an industrial estate near the southern Chinese city of Shenzhen, Jiamushi Furniture Company has crafted quality wooden furniture since 2002. It’s sweeping showroom teems with minimalist Scandinavian, rustic European and ornate Chinese styles, though when it comes to the wood itself, one variety is the undisputed favorite: North American red oak, known for its versatility and distinctive grain.

But there’s a problem. The ongoing trade war between Washington and Beijing has roiled markets and upset supply chains the world over, including those of the U.S. hardwood industry, whose primary export destination is China. A sudden increase of tariffs has caused U.S. hardwood exports to China — previously worth $2 billion annually — to plummet while adding 15%-20% to the price of the chairs and tables in Jiamushi’s showroom.

“Competition is fierce in this business,” Jiamushi’s sales rep Mrs Zhang tells TIME. “If we don’t use other suppliers from Russia or Malaysia, we’d probably have to give up the hardwood furniture business altogether.”

American hardwood exports to China have dropped by almost a third since the trade war began, according to industry figures, threatening jobs primarily in rural communities—such as Wisconsin, Michigan, Ohio, Pennsylvania, West Virginia and North Carolina—that voted for Trump in 2016 and could prove key swing states again in 2020. American hardwood is not listed as an agricultural product, so its producers are not eligible for the same support as farmers who are also feeling the brunt of higher tariffs.

More:
https://time.com/5740290/trade-war-lumber-hardwood-environment-forests/
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