Friday 24 February 2023. – A year ago Russian troops crossed the Ukrainian border. In addition to being absurd and pointless, the war today is stuck. The demand is high for the Russian ammunition industry, but not for the plywood industry. 

According to Rosstat, in the last quarter before the war, Q4 2021, Russian plywood production was 1,072 thousand m3. A year later, in Q4 2022 the production totaled 678 thousand m3. That makes a 37% decline.

In recent years Russian producers have invested a lot in modernization and expansion, but now they need to downscale. For sure it is not easy for Russians to praise the government’s decisions when the regime has pulled the business rug under their feet.

37% is a huge drop, but on the other hand, ⅔ of the sales/production still survives. Where does it end? Does the domestic market and the new customers in Asia count for ⅔ of the volume? How much is leaking through the sanctions to the European market?

Are some buyers blue-eyed and willing to believe the stories they are told? Fresh companies in the business are offering Russian plywood that is produced before the war or sanctions started. That would mean that the plywood has been waiting in stock for a year just like vintage wine. That may be partly true, but some stories are too good to be real.