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EUDR Regulations Affect

Europe’s Wood Products Maksym Yemelyanov

Shipments

The new EU Deforestation Regulation mandates exporters
to provide detailed documentation and geolocation data to
prove wood products are deforestation-free, according to
fastmarkets.com. the market if the required documentation is missing. Exporters
New regulations governing wood products imports into who ship loads lacking the required information could risk
the European Union could disrupt or severely impede the storage charges, have the products returned, and possibly
region’s trade of softwood and hardwood lumber and panels face a variety of other sanctions.
with foreign suppliers. “It is therefore important that you start gathering the

The EU Deforestation Regulation (EUDR) was enacted in necessary information now,” a memo from the European
December 2022 and implemented in June 2023. Enforcement Timber Trade Federation sent to many exporters last June
is scheduled to begin December 30, 2024. The laws apply to advised. “Without this information you will no longer be able
European Union imports of wood and wood products, cattle, to export wood products to the EU (after December 30).”
cocoa, coffee, palm oil, rubber, and soy. Various trade agencies in the US and Canada, including the
Lumber and panel exporters will be required to prove that Southern Forest Products Association, the American Hardwood
products shipped into the European Union were produced Export Council, USDA, Natural Resources Canada, and the

from logs that were harvested from land that has not been Quebec Wood Export Bureau, are negotiating on behalf of
subject to deforestation. North American exporters shipping to the EU.
The regulations define deforestation and forest degradation A sales manager for a large Western Canadian producer noted
as a conversion of a forest to other agricultural uses. Forest in mid-July that most species the company exports to Europe
degradation is further defined as a structural alteration of would not meet the regulation as currently written. Cedar and
forest cover and a conversion from a naturally regenerating Hemlock clears and other species, especially ones that rely on
forest to a planted forest. old-growth forests, would be banned from shipment to the EU.
Exporters also must provide documentation that all products Southern Pine exporters have expressed concern that the
were produced in compliance with the supplying country’s new regulations would eliminate all SYP export suppliers who

current laws regarding land use, environmental protection, buy ‘gate wood’ or logs from small acreage stands.
labour rights, and other factors. One veteran SYP exporter predicted that the majority
Additionally, shippers will be required to provide due of exporters to the EU will stop serving that market and
diligence statements that provide the precise location of the concentrate on the larger markets in the Middle East, North
forests where the wood was harvested. The geolocation points Africa, and Asia if the regulations remain unchanged.
must be defined by latitude and longitude coordinates with at In May, US trade officials sent a letter to the EU Commission
least six decimal places. The tree species and date or time urging a postponement of the EUDR until ‘substantial challenges’

range of harvest will also be required. are addressed. The letter noted that US exporters are struggling
EU customs will not release lumber or panel imports into to be ready for the new regulations on time.