Untreated timber: market overview at UEEX for September 2025
Over the past month, auctions on the Ukrainian Energy Exchange for untreated timber performed as follows:
- Exhibited volume was 262,14 th. c. m;
- Sold timber 254,09 th. c. m;
- Value of timber sales amounted to UAH 1,3 billion (including VAT);
- Forestry enterprises received additional income during the English auction at the amount of UAH 456,85 mln. (incl. VAT).
Distribution of sales of untreated timber was as follows: 65,08% – round timber, 34,92% – firewood.
Last month, untreated timber was sold in Ivano-Frankivsk, Khmelnytskyi, Ternopil, Zhytomyr, and other regions.
Round timber
During reporting period, 165,37 thousand cubic meters of round timber were sold for a total of UAH 1,06 billion (including VAT).
The largest sales were of spruce, pine, and beech, which accounted for 44%, 19%, and 9% of total sales, respectively. Other species sold included oak, fir, birch, hornbeam, and others.
On average, increase from the starting price at English auctions was 44%. Considering that the auction increment is 1%, the highest average was for poplar – 94, ash – 94, and oak – 72.
Firewood
During the reporting period, the volume of firewood sales amounted to 88,73 thousand cubic meters worth UAH 235,81 million (including VAT).
The vast majority of firewood (97%) was sold for industrial use, while 3% was sold for non-industrial use.
Hardwood species were in highest demand among firewood.
The chart below shows the structure of firewood sales by assortment and species.
Price indexes
Compared to the previous month, most indices for round timber showed growth.
The largest increase in value was recorded for ash, which currently costs 10406,17 UAH including VAT.
The opposite trend was observed for oak, whose price fell to 27915,01 UAH per cubic meter including VAT.
Index of weighted average prices for timber, September 2025
| Species | UAH/cubic m. (including VAT) |
|---|---|
| Silver birch | 5,447.10 |
| Forest beech | 5,373.48 |
| Black alder | 5,566.98 |
| Common oak | 27,915.01 |
| Common pine | 5,909.41 |
| European spruce | 5,123.35 |
| White fir | 4,960.77 |
| Common ash | 10 406.17 |
In the firewood segment, the biggest changes were recorded for non-industrial products in the second group, whose price index reached UAH 1369 per cubic meter, including VAT.
In contrast, wood in the third group became cheaper, with its price falling to UAH 1405,92 per cubic meter including VAT amid declining demand.
Index of weighted average prices for firewood, September 2025
| Assortment | UAH/c. m (incl. VAT) |
|---|---|
| Industrial use | 2 678,17 |
| Non-industrial use 1 group | 2 361,62 |
| Non-industrial use 2 group | 1 369,00 |
| Non-industrial use 3 group | 1 405,92 |
Overview of the timber market in Europe
German sawmills warn of a shortage of raw materials (round timber)
German sawmill industry warns of an acute shortage of wood and calls on forest owners to step up harvesting to ensure stable supplies for the winter. After several years of intensive logging caused by the spread of bark beetles, logging volumes have fallen sharply in 2025, leading to a shortage of raw materials, especially spruce, fir, and pine. Some companies have already been forced to cut production or switch to a reduced working week.
Due to the shortage in early September, prices for round timber rose sharply—in particular, spruce class 2b+ reached EUR 112–118/m³. Sawmills are actively competing for limited quantities of wood, and logging operations have accelerated significantly. Industry representatives also criticized the export of untreated timber, considering it inappropriate to export it against the backdrop of domestic enterprises standing idle.
If procurement volumes do not increase in the fall, a shortage is possible as early as the beginning of 2026, which could negatively affect production, employment, and exports of lumber, especially given the gradual recovery of demand in Europe.
Exports of softwood lumber from Europe increased by 48% in January–August 2025
According to Eurostat, exports of softwood lumber from the EU to the US rose sharply by 48% in January–August 2025 compared to the previous year, reaching 3,44 million m³.
Germany (1,66 million m³; +39%) and Sweden (1,11 million m³; +69%) remain the leaders in terms of volume. Latvia showed the largest percentage increase (+101% to 173 thousand m³). Among other countries, Austria (+39%), Finland (+48%), and Romania (+29%) also demonstrated growth.
The total value of these shipments reached EUR 986 million, indicating an increase in volume and market prices. Germany and Sweden together account for 80% of all EU softwood lumber shipments to the United States.
The seasonal summer lull affected prices and demand on the British softwood market
After an active first five months of 2025, the UK softwood lumber market unexpectedly faced a lull in June, creating uncertainty for traders and importers.
Demand came to a sharp halt and continued to decline throughout July and August. This decline caused disappointment throughout the supply chain, undermined confidence in the market, and triggered a fall in import prices.
The price decline began with sellers trying to cash in on their stockpiles, but quickly became widespread. Structural timbers were hit hardest. To maintain profits, traders began selling aggressively as end consumers looked for discounts.
Although at the beginning of the year, large construction companies such as Persimmon (+7% of completed projects) and Taylor Wimpey (+11%) demonstrated increased activity and gave optimistic forecasts for the second half of the year (expecting growth of 5–8%), the June slowdown turned out to be unexpected.
This came despite market expectations for a pick-up in construction in the third quarter, based on government promises to ease restrictions. The promises were not kept, and many new construction projects were postponed.
Importers did not expect demand to improve until September. Some companies reported staff cuts and overheads. In addition, due to the excessive cost of electricity, companies using woodworking equipment are considering the possibility of conserving it. This may lead to increased outsourcing of woodworking to specialized factories in the UK or Scandinavia.
Finland’s forest sector has faced prolonged turbulence due to weakening demand and complicated supply chains
The export boom in Finland’s timber market came to an abrupt end, giving way to a prolonged recession that has shaken the forest sector.
The main causes of the crisis:
- Stopping imports from terrorist countries: A complete loss of cheap Russian wood, which had balanced the market for decades.
- Trade barriers: The US decision to impose a 15% tariff on cardboard directly hit Finnish manufacturers.
Large companies (Metsä Group, Stora Enso, UPM) have sharply reduced their harvesting and purchasing. The situation is most critical at Metsä Group, which has initiated staff reductions because its mills are not operating at full capacity.
Wood purchases have decreased by 42% compared to last year. Prices continue to fall, but due to oversupply and high costs, mills are still unable to operate profitably.
The sector expects many years of volatility, and the only protection for forest owners remains active and timely forest management.