News
Industry News
News on timber industry in Asia - June 2025

Indonesia

FKKM launches FSC social remediation guide, promotes forest restoration and social justice

The Communications Forum on Community Forestry (FKKM) officially launched the Guidelines for Implementing the Social Improvement Framework or Remedy Framework from the Forest Stewardship Council (FSC), in Jakarta, Wednesday (12/6/2025).

The FSC Remedy Framework is one of the new strategic policies of the FSC forest certification development institution which is designed as a systematic mechanism to restore social and environmental damage caused by past forestry activities, especially in areas that have previously experienced natural forest conversion or have impacted community rights.

The Chairman of the Indonesian Forestry Entrepreneurs Association (APHI), Indroyono Soesilo, added that the FSC Remedy Framework opens up opportunities for plantation forest developers to obtain certification, which were previously constrained by the conversion policy.

Export reference prices for wood products in June 2025

The Indonesian Ministry of Trade announced changes to the Export Reference Price (HPE) for a number of wood products and other export commodities, as well as a reduction in the Reference Price (HR) for crude palm oil (CPO) for the period June 2025.

In an official release released on Thursday (30/5/2025), the HPE for wood products showed an increase in processed wood types with a cross-sectional area of 1,000–4,000 mm² from the meranti and mixed forest categories, as well as several types of plantation forests such as pine, white teak, acacia, sengon, rubber, balsa, and eucalyptus.

However, a number of other wood products experienced a decrease in HPE, including merbau, ebony, and teak, especially for processed wood with a similar cross-section.

Govt preparing mangrove protection, management rules

Indonesia's Ministry of Environment is currently preparing a government regulation on mangrove ecosystem protection and management.

The regulation will cover matters related to planning, utilization, damage control, supervision, and law enforcement.

This is deemed necessary considering that Indonesia is at risk of losing 19,501 hectares of mangroves per year if it fails to take prevention and rehabilitation measures.

According to the 2024 National Mangrove Map, the mangrove cover in Indonesia stands at 3,440,464 hectares, with 2.7 million or 79 percent of the mangroves located within forest areas.


Malaysia

Malaysia's May 2025 inflation at 1.2%, lowest in 51 months

Malaysia registered an inflation rate of 1.2 per cent in May 2025, the lowest in 51 months.

11 states recorded increases below the national inflation rate of 1.2 per cent, with Kelantan recording the lowest rise at 0.3 per cent in May 2025.

Five states recorded increases above the national inflation level, namely Johor (1.8 per cent), Negeri Sembilan (1.6 per cent), Selangor (1.5 per cent), Melaka (1.5 per cent) and Kuala Lumpur (1.4 per cent).

Malaysia among world's top countries for certified tropical rainforest areas

According to local media in Malaysia, more than 83 per cent of the Permanent Forest Reserves (PRF) in this country have been certified under the Programme for the Endorsement of Forest Certification or PEFC scheme to date, making Malaysia among the countries with the largest area of certified tropical rainforest in the world.

Peninsular Malaysia Forestry director-general Datuk Zahari Ibrahim said the achievement also places Malaysia as the only tropical rainforest country in the top 10 globally in terms of certified forest area, surpassing major tropical countries such as Brazil and Indonesia.


Thailand

Thailand approves 157 billion baht economic stimulus package 

Thailand's Cabinet has approved a comprehensive economic stimulus package worth 157 billion baht. Transportation infrastructure receives 45.864 billion baht across 26 projects, targeting road connections between secondary cities, enhanced safety measures, and agricultural area networks.

The government expects to develop 417 kilometres of new roads, repair 1,689 existing routes, and improve safety at 3,604 locations, generating 285,000 jobs.

In addition, a significant 10 billion baht loan scheme will support over 1,700 establishments and approximately 100,000 jobs, particularly small and medium enterprises affected by US tariff policies.

Flooring and door frame prices in Thailand rose in May

Mr. Poonpong Naiyanapakorn, Director of the Office of Trade Policy and Strategy and Spokesperson of the Ministry of Commerce, revealed that in May 2025, the prices of flooring, formwork, door frames, and window frames increased ((YoY) due to higher production costs, as well as increased demand for interior decoration.

Mr. Poonpong said that the construction materials price index in June 2025 tends to decrease from many factors both domestically and internationally. For example, stricterness in credit approval by financial institutions due to high NPL and household debt rates, which continue to pressure the recovery of the real estate sector in the middle-income group and below.


China

China-Africa wood trade keeps shrinking  

Latest customs data showed that in the first five months of 2025, African wood exports to China continued to contract, falling to 813,700 cubic meters, down 31% year-on-year.

In May alone, the volume of wood imported by China from Africa plummeted by 41% (YoY) to 146,000 cubic meters, a 14.1% decrease compared to April this year, and the import value shrank by 38% to US$48.11 million, representing the lowest in the first five months of this year.

In the meantime, African major suppliers saw a downturn in exports of wood to China: Gabon’s wood exports fell 23.2% in May; Cameroon’s dropped 39.5%; South Africa’s decreased by 47.3%; the Republic of the Congo and Equatorial Guinea saw a decrease of more than 70%; and Mozambique and Ghana posted declines exceeding 80%.

However, the Democratic Republic of the Congo saw a significant increase in exports to China—up by 58.7%, and Tanzania's exports surged by 89.5%.

Sigh Up for Emails

Copyright © 2002-2025 GGSC