In June 2026, the GTI-Producers registered 47.2%, down 1.6 percentage points from the previous month and below the critical value (50%) for several consecutive months, indicating a continued downturn for the timber harvesting and primary processing industries in the pilot producing countries.

In Asia, Indonesia, Thailand, and Malaysia recorded GTI indices of 50.7%, 46.6%, and 32.3%, respectively. Indonesia's index edged up 0.9 percentage point to move above the 50% critical value, indicating a slight month-on-month expansion in its timber sector, while Thailand and Malaysia remained in contraction territory. On the supply side, Indonesia saw both harvesting volume and production turn from stable to growth; in Malaysia, the contraction in harvesting activities deepened, however, the decline in production eased somewhat; Thailand, hit by the rainy season, experienced a sharper contraction in harvesting, but its decline in production eased slightly. Enterprises of all the three countries reported raw material shortages, rising logistics and fuel costs as headwinds. On the demand front, Indonesia’s new orders posted a second consecutive month of growth, buoyed by solid domestic demand. Thailand’s new orders index held steady at the 50% critical value, suggesting broadly flat demand, while Malaysia’s market remained weak albeit with a narrowing contraction. 

In Africa, Ghana, the Republic of the Congo, and Gabon posted GTI indices of 50.5%, 47.5%, and 39.5%, respectively. In supply terms, Gabon's harvesting volume had declined for five consecutive months, while production had fallen for two consecutive months; the Republic of the Congo continued to see slight declines in both harvesting and production, with enterprises reporting adverse weather, diesel shortages, and high fuel prices as disruptive factors; Ghana's harvesting volume had been on a downward trend for the past six months, yet production swung from contraction to expansion in June. Across these three countries, enterprises reported high fuel costs and poor logistics efficiency. On the demand side, Ghana's new orders index climbed into expansionary territory, signaling an improvement, whereas both the Congo and Gabon saw new orders decline from the previous month.

In Latin America, Mexico, Ecuador, and Brazil recorded GTI indices of 49.8%, 47.9%, and 46.9%, respectively, all in contraction. On supply, Brazil saw both harvesting and production decline month-on-month, with enterprises pointing to insufficient raw material availability; Mexico's harvesting volume maintained growth for the third consecutive month, and production shifted from stable to expansion, though enterprises reported that adverse weather disrupted production and operations; Ecuador's harvesting volume turned from stable to decline, while its production – which had grown for three consecutive months – flattened out, and enterprises reported rising fuel prices pushed up raw material procurement costs and rainfall affected field activities. In demand, Brazil's new orders continued to grow, Mexico’s new orders were broadly stable, but Ecuador experienced a second consecutive month of falling amid weak domestic demand.

GTI-Producers Report - June 2026.pdf