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The total volume of wood panel trade along the China- no capacity for large-scale processing of plywood. Domestic
Myanmar border has seen a significant increase and plywood production of plywood in Myanmar is of limited variety which
has become the core growth driver of the export trade. cannot meet the demands in the domestic market.
The main reasons for the surging China’s plywood exports In the first quarter of 2026, the infrastructure construction,
to Myanmar are said to be: furniture manufacturing and house renovation sectors in
The Chinese plywood industry is mature and of a large- Myanmar experienced a rapid recovery.

scale production with a high degree of automation. It has the The demand for building materials was high further widening
capacity to supply plywood products of various specifications the gap between local production capacity and demand. Many
and grades fully meeting the diverse demands of Myanmar. sectors are highly dependent on imported building materials.
Chinese plywood has a significant advantage in terms of Due to sanctions imposed by Europe and the United States
cost performance. Compared with locally produced plywood and the restricted foreign trade channels, Myanmar has difficulty
in Myanmar and imported plywood from other Southeast importing high-quality and cost-effective building materials from
Asian countries, it has extremely strong price competitiveness. Europe and the US as well as from Southeast Asian countries.
The product range is comprehensive covering both ordinary Therefore, Chinese building materials such as plywood
building materials and specialised plywood for furniture have become the preferred alternative category for its imports.

production. The bilateral trade environment continues to be favourable
Chinese products are fully available and of stable quality for exports. China and Myanmar have been continuously
enabling precise alignment with various purchasing demands implementing preferential policies for the border trade.
in the Myanmar market. Plywood exporters enjoy Customs clearance convenience
Reduced costs and enhanced efficiency in logistics delivers and tax and fee reductions which significantly lowers the
export advantages. plywood export costs for Chinese enterprises to Myanmar.
Because direct transportation via multiple border crossings Myanmar will reportedly relax restrictions on the import of

between China and Myanmar is possible there is no need building materials, lower tariffs on wood panels and simplify
for ocean shipping. the import registration process. This will be beneficial for large-
The transportation route is short and highly flexible. The scale imports of plywood from China into the Myanmar market.
charges for plywood shipped to Myanmar is 30 percent to The pattern of processing and border trade cooperation
40 percent cheaper than to other ASEAN destinations and zone along the China-Myanmar border has matured.
delivery times are only 7-10 days. Relying on the synergy of border industries, the system
The China-Myanmar Economic Corridor continues to make for plywood transfer, packaging and local distribution is well-
steady progress. The Customs clearance procedures at the established, further facilitating the large-scale export of Chinese
border have been simplified and the inspection efficiency has plywood to various markets in Myanmar.

been enhanced. China's advantage in plywood production capacity, the
The widespread use of direct RMB cross-border settlement strong demand gap in Myanmar, the geographical logistics
has effectively reduced exchange rate losses and trade handling benefits and the favourable policies will continue.
costs, significantly improving the efficiency of China's exports. The high growth trend of China's plywood exports to
The gap between supply and demand of plywood in Myanmar will also continue and the bilateral plywood trade
Myanmar continues to widen. volume is expected to further expand. FDM
The industrial foundation in Myanmar is weak and there is ENQUIRY NO. 4101