Investor Presentaiton
3
Demand Drivers: U.S. Supply Exit From Japan Will
Create Market Opportunity
WFP
Japan continues to be a major source of demand for wood products and
lumber from North America
After the global recession in 2008, certain suppliers in the U.S. West
increased export activities to Japan due to a lack of U.S. domestic demand
-
As North American housing markets recovered, much of this U.S. supply has been
diverted back to local U.S. markets, creating a supply gap in Japan and
opportunity for Western's Japan products
Japanese Lumber Imports of Canadian
and U.S. Douglas Fir and Hemlock
1,400
~100 million board feet opportunity to
replace non-SPF U.S. exports to Japan
Japanese Imports of Canadian and U.S.
Lumber and Japanese Housing Starts
3,000
2,500
1.4
1.2
Lumber Imports (million m3)
1,200
1,000
800
600
400
200
Lumber Imports (million m3)
2,000
1,500
1,000
500
1.0
0.8
0.6
0.4
0.2
0
0.0
2009A 2010A 2011A 2012A 2013A 2014A 2015A 2016A 2017A 2018A 2019A LTM
Mar-20
U.S. Hem
■U.S. Douglas Fir
CDN Hem
CDN Douglas Fir
Softwood Lumber Imports from U.S.
2009A 2010A 2011A 2012A 2013A 2014A 2015A 2016A 2017A 2018A 2019A LTM
Mar-20
Japan Housing Starts
Softwood Lumber Imports from Canada
Source: Japan Ministry of Land, Infrastructure and Transport; The Trade Statistics, Japan Ministry of Finance; Japan Lumber Importers' Association (May 2020)
Housing Starts (millions)
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