China: Hardwood Market Update 2026

China's hardwood demand declined in 2025 due to slower economic growth and a prolonged real estate downturn, reducing both construction activity and consumer spending. U.S. hardwoods continue to be viewed as premium products but face declining demand as middle- and upper-income consumers cut back spending and manufacturers shift toward lower-cost domestic and third-country alternatives. Policy disruptions-including China's temporary import ban on U.S. logs-further reduced U.S. market share. Despite these challenges, U.S. hardwoods remain competitive for consumers and firms that value quality, durability, and sustainability.