There has been a environment protection movement happening in Linyi City of China. This city is a hub of plywood manufacturing and its materials. Not only the local producers are affected, nationally many plywood mill can not get their veneers from Linyi.
What caused the crackdown in Linyi?
All these started from the bad ranking of Linyi in terms of air quality. In China there is an organizatiion ranking cities’ air qualities and publish it on the news. In July 2019, Linyi got ranked in the bottom of many cities. Its government was criticized by upper level government. After this, Linyi city get itself into a crackdown on the pollution.
Who are affected?
Literally every organization in Linyi city are affected except the law enforcement people. Plywood factories, traders, dealers, buyers and users are all heavily affected by this movement. We call this movement because it is something going on by government power. It last long time until they stop it. Veneers are unavailable. Plywood sheets are unvailable. Trucks and restaurants are unavailable. Great damage was caused to the international plywood supply chain. Even though Linyi doesn’t produce all the plywood in China, it produce many materials such as okoume or bintangor veneer. It is inevitable that all Chinese plywood makers has problem.
Plywood demand increases on East Coast of USA
With Hurricane threatening Florida, people living in the path of the storm are sealing their windows and doors. That means stores that sell lumber are having a tough time getting supplies of plywood. Frontier Lumber is one of those stores. In this case, it’s all about supply and demand. “Usage is going to go way up, so there will actually be a high demand. Plywood manufacturers will have to increase their production, maybe overnight. It’s not all greed, but unfortunately there is certainly a part of that, that of people want to take advantage of the situation in front of us,” said Jeff Williams, Frontier Lumber.