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Risk Score
37.7
Risk Profile
Medium Risk
Conflict State
No
Import Regulation
No
Legality Risks Click for details on legality risks
  • China’s domestic supply of industrial wood has failed to keep up with its industrial manufacturing capacity. To meet this deficit, China relies on significant volumes of wood product imports. Logging in China’s natural forests is prohibited, and domestic plantation-grown raw material (primarily poplar, eucalyptus, masson pine, and Chinese fir) are generally considered low-risk. 
  • Many similar temperate natural forest species are found in the Russian Far East, North America (U.S. and Canada), northern / eastern Europe and northern China, such as oak. There is a demonstrated risk of laundering high-risk Russian Far East and Ukrainian species and falsely declaring them as having been harvested in northern Europe, North America or even China (pre-2017). 
  • More than half of the timber used in Chinese-made wood products has been imported from other countries – both from high- and low-risk sources.
  • China does not currently require traceability of wood products through its supply chain. The size and nature of the processing industry means that timber is regularly mixed from multiple sources with no obligation to trace back along the supply chain. This may change soon pending the forthcoming Implementing Regulations for China’s 2019 Forest Law, or further National Forest and Grasslands Administration (NFGA) departmental rules based on the 2019 Forest Law.
  • Enforcement actions in the European Union (EU) and U.S. have demonstrated the risk of illegal timber, laundering and species mis-declaration on products manufactured in China.

Read more by downloading the China Timber Legality Risk Dashboard here.

Latest Updates Click for latest news from China
August 12, 2024
New Report from ACSS: Illegal Logging in Africa and Its Security Implications

Illegal logging is a growing feature of transnational organized crime in Africa, often facilitated by the collusion of senior officials, with far-reaching security and environmental implications for the countries affected.

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November 9, 2023
Chinese companies announce country’s first deforestation-free soybean import deal

China’s Cofco and Mengnui Group have announced the first Chinese deal to import deforestation-free soybeans from Brazil.

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November 8, 2023
China's COFCO, Modern Farming Group sign 'deforestation free' soybean deal

China’s state-run food group COFCO International and Modern Farming Group, which makes milk products, have signed an agreement “to supply and accept soybeans” coming from sustainable areas of production in Brazil, the world’s top supplier of the oilseed. According to a statement from the World Economic Forum’s Tropical Forest Alliance on Wednesday, the deal is valued at more than $30 million and marks the first soybean order in China under a “clear deforestation- and conversion-free (DCF) clause.”

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November 8, 2023
NGOs call for Forest Stewardship Council to cut ties with Canadian pulp and paper giant

Investigations by ICIJ partners and others have previously linked Paper Excellence to Asia Pulp & Paper, a Chinese-Indonesian forestry company accused of deforestation and human rights abuses.

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November 6, 2023
Conservationists, CSOs, warn against Chinese incursion into Cross River forests

CONSERVATIONISTS, Civil Society Organisations, youth leaders and community elders, at the weekend, raised the alarm over the presence of Chinese in Effi community in the Cross River Reserved Forest area for undisclosed business.

 

Giving the warning on the platform of Coalition Against Illegal Logging and Mining in Cross River, CALAMA CRS, the stakeholders said after an intensive round table meeting in Calabar to x-ray the situation it became imperative to let the public know of what was going on.

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November 1, 2023
Hidden in plain sight Counting the cost of environmental crime

Previous studies estimate the annual value of environmental crime at between US$110 billion and US$281 billion, making it one of the most lucrative criminal economies in the world, but few of the proceeds of this market benefit the development of communities in near the source markets but are instead transferred abroad and laundered into the global financial system.

 

Hidden in plain sight looks at illicit financial flows (IFFs) related to three specific illicit environmental flows: timber trafficking from Myanmar to China; gemstone trafficking from Mozambique to Thailand; and abalone trafficking from South Africa to Hong Kong Special Administrative Region (SAR). It seeks to quantify the overall scale of IFF flows by analyzing informal flows, trade flows and financial systems – the three main channels by which IFFs are enabled, held and moved.

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October 28, 2023
Australia’s trade with Myanmar military junta growing, despite sanctions, and through China and India

Mon Zin, a founding member of the Global Myanmar Spring Revolution, told the Green Left and Socialist Alliance forum that timber and wood imports increased between 2020–21.

 

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October 25, 2023
Thailand’s Rubber Farming a Major Contributor to Deforestation

The deforestation caused by the rubber farming in Thailand and the world has been significantly underestimated, according to new findings from two scientific studies, with Southeast Asian rubber production potentially contributing up to three times more forest depletion than previously thought.

With over 4 million hectares of forest lost for rubber production since 1993, an area the size of Switzerland, “the effects of rubber on biodiversity and ecosystem services in Southeast Asia could be extensive,” according to a paper published on Wednesday in the journal Nature.

 

In Southeast Asia, mature rubber plantations covered 14.2 million hectares. Indonesia, Thailand, and Vietnam accounted for more than 70% of these plantations.

China, Malaysia, Myanmar, Cambodia, and Laos were also important rubber-producing countries. Rubber plantations that were closed down before 2021 were excluded from the analysis, despite the fact that they may have contributed to deforestation.

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October 13, 2023
Reforms rejuvenate forests and farmers' livelihoods

The nation’s forest reform has led to an increase in farmers’ incomes and improved the environment, said officials from the National Forestry and Grassland Administration.

 

Under the reform, farmers have become the “owners” of the forests, leading to a significant decrease in illegal logging and an increase in afforestation efforts, he said. With 171 million hectares of collective forest land, accounting for 60 percent of the country’s forest area, the reform involved about 100 million people in rural communities, he added.  Starting in 2008, the nationwide reform has seen forest stock volume rise by nearly 85 percent, or nearly 3.9 billion cubic meters, Tang said. The reform has also created new opportunities for rural economic development, with around 300,000 new forest operations, such as family-run forest farms and forestry cooperatives, having been set up.

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June 20, 2023
US to impose a tax on plywood from Vietnam containing Chinese core panels

According to the Trade Remedy Bureau of the Ministry of Industry and Trade of Vietnam, the US Department of Commerce (DOC) continues to extend the time for the final conclusion of the anti-tax evasion and anti-dumping investigation on plywood using hardwood material imported from Vietnam. This underscores for Vietnam the need for traceability systems that can verify the country of origin for wood products.

 

 

The US Department of Commerce will issue its final conclusions on July 14, 2023. This is the eighth time the Commerce Department has delayed issuing its final conclusion.

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June 15, 2023
The Pacific Is Becoming a Testing Ground for Green Geopolitics

The recent security agreements between Papua New Guinea and the United States are a good deal for the planet—but a tough pill for Beijing to swallow, and one that might come with potential blowback.

 

The new agreements accelerate coastal security strategies that also help with climate change adaptation by protecting vulnerable fisheries. These new moves point toward greater opportunities for further climate mitigation and resilience, using existing climate programs in Papua New Guinea and international climate financing. Papuan Prime Minister James Marape has often spoken of his enthusiasm for climate financing, which is also a high priority for the whole of the Blue Pacific Continent 2050 strategy that was endorsed and launched last July 2022 by a coalition of island nations. With the Biden administration set to host a major U.S.-Pacific island summit this fall, American interest in Pacific climate adaptation is growing.

 

But one aspect of these programs that American officials discuss only behind closed doors is their role in countering Chinese influence in the Pacific. Some of the programs are aimed at curbing environmental damage committed largely by Chinese companies through questionable fishing practices and widespread logging and mining. Pushing Chinese firms with dubious environmental practices out of Papua New Guinea and elsewhere also helps reduce the role of Chinese money, and influence, in Pacific politics—a double win for the United States.

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June 8, 2023
Cameroon: How Logging Escapes State Control

For one year, The world And InfoCongo met with dozens of timber traffickers, residents and drivers of illegal logs in Cameroon. Their testimonies, as well as official documents from the Ministry of Forests and Wildlife (which did not wish to answer our questions), show that illegal logging is accelerating.

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June 5, 2023
Chinese prosecutors zero in on environmental crime cases (new report)

Chinese prosecutors have investigated double the number of criminal cases involving environmental damage in the past five years compared to the 2013-17 period.

 

But crimes to do with damaging natural resources – including illegal logging, theft of timber and harming endangered plants – had the lowest non-prosecution rates.

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June 2, 2023
Huge increase in transnational crime and synthetic drugs in SE Asia requires cross-border cooperation

Thailand, Laos and Myanmar are at the frontlines of illicit trade in Asia dominated by transnational organized crime syndicates.

 

The trafficking in illegal narcotics, precursor chemicals, timber and wildlife, people and illicit goods across Southeast Asia is being tackled thanks to the support of the specialized UN agency focusing on drugs and crime.

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May 18, 2023
China’s Silent Greening

China is Brazil’s main trading partner and accounts for over a quarter of all Brazilian exports. Yet two of the largest products in this trading relationship—beef and soybeans—are also crops that drive deforestation in the Amazon.

 

The article summarizes some recent initiatives that China or other organizations have been taking to green China’s impact around the world.

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May 11, 2023
USITC MAKES DETERMINATIONS IN FIVE-YEAR (SUNSET) REVIEW CONCERNING CERTAIN HARDWOOD PLYWOOD PRODUCTS FROM CHINA

the U.S. International Trade Commission determined that revoking current antidumping and countervailing duties on hardwood plywood from China would have negative consequences. Specifically, this could lead to material injury to U.S. industry. The existing duties, many of which exceed 200%, will remain in place.

 

Also featured in: Duties On China’s Hardwood Plywood Will Continue For 5 More Years | DHA (decorativehardwoods.org)

 

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April 14, 2023
China and Brazil to cooperate in stopping illegal trade fueling deforestation

China and Brazil announced this Friday a new collaborative effort to eliminate deforestation and control illegal trade causing forest loss.

In a joint statement, the countries said they “intend to engage collaboratively in support of eliminating global illegal logging and deforestation through effectively enforcing their respective laws on banning illegal imports and exports”.

Brazilian President Lula da Silva met with his Chinese counterpart Xi Jinping during a visit to China, in a bid to strengthen ties. China is Brazil’s largest trading partner and a major importer of commodities such as soy and crude petroleum.

Both countries added they will cooperate with satellite information, “which will enable enhanced monitoring”. China and Brazil share the CBERS satellite program, which made its first launch back in 2001.

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April 7, 2023
How A.I. and DNA Are Unlocking the Mysteries of Global Supply Chains

Firms are turning to advanced technologies to help answer a surprisingly tricky question: Where do products really come from?

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March 31, 2023
ITTO reports on shifts in EU27 timber trade due to Russian and Belarussian sanctions

The EU first imposed trade sanctions on Belarus timber products on 2 March 2022. These were extended to Russian timber products on 8 April 2022. On 10 March 2022, Russia’s Industry and Trade Ministry announced a ban on all wood and timber-related exports to “unfriendly countries”, including the EU, UK and US. Both leading certification organisations, the PEFC and FSC, announced in March 2022 that all timber originating from Russia and Belarus would be categorised as ‘conflict timber’ (i.e. from a controversial source) and not eligible to be sold and promoted as PEFC- or FSC-certified. This had a significant impact on many European companies which had become heavily dependent on Russia and Belarus for their supplies of certified wood.

 

The EU first imposed trade sanctions on Belarus timber products on 2 March 2022. These were extended to Russian timber products on 8 April 2022. On 10 March 2022, Russia’s Industry and Trade Ministry announced a ban on all wood and timber-related exports to “unfriendly countries”, including the EU, UK and US. Both leading certification organisations, the PEFC and FSC, announced in March 2022 that all timber originating from Russia and Belarus would be categorised as ‘conflict timber’ (i.e. from a controversial source) and not eligible to be sold and promoted as PEFC- or FSC-certified. This had a significant impact on many European companies which had become heavily dependent on Russia and Belarus for their supplies of certified wood.

 

EU27 import value of wood and wood furniture from China increased only 4% to US$6.0 billion in 2022, although this did build on a massive 42% gain the previous year. Import value from Ukraine also increased by 9% to US$1.9 billion in 2022, despite the serious disruption due to the war, following a 55% gain the previous year. Other significant beneficiaries were Turkey, for which EU27 import value increased 32% to US$890 million last year, and non-tropical products from Brazil which recorded a 54% increase to US$ 690 million in 2022

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March 31, 2023
Vietnam final anti-dumping ruling on tables, chairs and accessories from China

In February 2023 the Ministry of Industry and Trade in Vietnam issued Resolution No. 235/QD-BCT making a final and definitive anti-dumping ruling on tables, chairs and accessories from China imposing an anti-dumping duty of 21.4% on chairs and 35.2% on tables and accessories from China.The Vietnamese tax HS codes of the products involved are 9401.3000, 9401.4000, 9401.6100, 9401.6990, 9401.7100, 9401.7990, 9401.8000, 9401.9040, 9401.9092, 9401.9099, 9403.3000, 9403.6090 and 9403.9090. The measures will take effect from 13 February 2023.

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March 27, 2023
Illegal logging surges in Myanmar’s conflict zones, with sanctions pushing smugglers to open new routes to India

Logging has accelerated amid the post-coup conflict, with sanctions pushing smugglers to open new routes to India, while activists and locals accuse both the military and resistance groups of profiting off the plunder.

 

Fighting has broken out across Myanmar since the military overthrew the elected National League for Democracy, with the worst violence reported in Sagaing Region, where anti-regime People’s Defence Forces have carved out rural strongholds. Based on interviews with residents, Frontier understands illegal logging has surged in Kani, Yinmabin, Kantbalu, Indaw and Banmauk townships in Sagaing, as well as in parts of Bago Region, where the junta has more control.

 

Local environmental activists, PDF members and ordinary residents told Frontier that most of the timber is being smuggled to China and, more recently, India.

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March 22, 2023
CANADIAN LAWMAKERS CALL FOR PROBE INTO PULP AND PAPER GIANT FOLLOWING DEFORESTATION INC. REVELATIONS

The International Consortium of Investigative Journalistts and partners uncovered hidden links between Canada’s Paper Excellence and troubled Indonesian company Asia Pulp & Paper.

 

Lawmakers in Canada are calling for an investigation into one of North America’s largest pulp and paper manufacturers, following revelations in Deforestation Inc., a cross-border investigation led by the International Consortium of Investigative Journalists.

The parliamentarians said they are seeking answers into who is behind Paper Excellence, a company headquartered in British Columbia, after journalists revealed extensive links between the company and entities in Indonesia and China.

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February 27, 2023
China’s Latin American Gold Rush Is All About Clean Energy: Beijing’s not after gold—but lithium.

Some 60 percent of the world’s lithium reserves can be found in the so-called lithium triangle, a region that encompasses Chile, Argentina, and Bolivia. It’s not just lithium either: Peru and Chile are the world’s two largest copper producers, while Brazil is home to 17 percent of all nickel reserves.

 

That has sparked a global scramble to tap the region’s wealth—one in which Chinese companies have an edge. Beyond lithium, Beijing has also struck deals for solar, wind, and hydroelectric projects across the region, pouring hundreds of millions of dollars into solar parks in Argentina and Brazil as well as signing contracts for hydroelectric projects in Bolivia and Argentina.

 

Part of the allure of partnering with Beijing, experts say, is the very nature of Chinese deals. China has boasted about its no-strings-attached financing, with fewer economic and political conditions than Western lenders. “[Governments] know that they’re not going to get the same level of quality by partnering with Chinese companies, but they also will get fewer headaches, fewer regulations, fewer lessons on the environment, fewer complaints from [nongovernmental organizations],” Berg said.

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December 17, 2022
How China’s Appetite for Rosewood Fuels Illegal Logging in Ghana

MOLE NATIONAL PARK, Ghana—Mbaaba Kaper stood in the middle of the illegal timber trafficking warehouse where he’d worked as a watchman for nearly six years. Grasping the edge of a graying trunk that reached his shoulders, Kaper said with a smile, “This one is rosewood.”

He was accomplished at identifying rosewood—the world’s most threatened hardwood. Rosewood exports have been banned in Ghana since 2019, but the vast Chinese-run trafficking network in which Kaper worked in Yipala, northern Ghana, was shut down by Ghanaian police only nine months before we visited in June. The immense trees logged during its operation remained on the ground as far as the eye could see.

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August 27, 2022
DOC not yet issued final decision for trade remedies on hardwood plywood

VIETNAM, August 27 – HÀ NỘI — The US Department of Commerce (DOC) has not yet issued the final determination on the imposition of anti-dumping and countervailing duties on certain hardwood plywood products and veneered panels exported from Việt Nam.

The Việt Nam Timber and Forest Products Association (VIFOREST) has confirmed that the DOC on April 15 extended the deadline to issue a final determination to October 17.

The DOC initiated the anti-dumping and anti-subsidy investigation on hardwood plywood from Việt Nam on June 17, 2020, to enforce the trade remedies measures on Chinese hardwood plywood.

The US is currently applying anti-dumping of 183.36 per cent and anti-subsidy duties from 22.98 per cent to 194.9 per cent on hardwood plywood products from China.

On July 25, DOC announced its preliminary determination that hardwood plywood exported from Việt Nam, which was assembled in Việt Nam using hardwood plywood imports sourced from China, were products of China and were subject to the anti-dumping duty and countervailing duty orders on hardwood plywood from China.

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August 3, 2022
Timber Trade Federation warns of birch plywood import from Far East

Timber Trade Federation (TTF) issued import warning for TTF-members on birch plywood from the Far East.

“It has been nearly six months since Russia’s awful invasion of Ukraine, with few signs the conflict is going to abate anytime soon.

Though grain exports began to leave Ukraine this week for the first time since the war began, international sanctions on Russia remain very much in place.

Along with maritime sanctions and restrictions on Russian payments, the most significant sanction for our industry is the Russian timber import ban.

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August 1, 2022
China’s new green finance guidelines have a deforestation blind spot

On 1 June, the China Banking and Insurance Regulatory Commission (CBIRC) issued a new set of green guidelines. These lay out detailed expectations for banks and insurance companies to identify, monitor, prevent and control their environmental, social and governance (ESG) risks.

The new Green Finance Guidelines are a positive step forward, especially in their potential to divert finance away from not-so-green businesses. But can they help shift the billions that Chinese banks and other investors put into companies linked to the destruction of climate-critical forests?

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June 11, 2022
China's forays into Africa's forests & illegal trade could lead to environmental disaster

China’s forays into Africa’s huge forest resources and indulgence in illegal trade disregarding the environment could lead to a disaster of monumental proportions.

A recent investigative report by international NGO Environmental Investigation Agency (EIA) has claimed that China’s illegal imports of rosewood has led to massive devastation of Malian forests besides serving as a conduit for ivory smuggling. Western African state of Mali has become one of China’s leading rosewood suppliers .

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May 19, 2022
China’s Illegal Rosewood Trade with Mali Under Scrutiny

Between May 2020 and March 2022, China imported from Mali 220,000 trees’ worth —148,000 tons — of a type of rosewood known as kosso despite a ban on its harvest and trade in the troubled West Africa nation, a report released Wednesday by the Environmental Investigation Agency (EIA) found.

 

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March 8, 2022
Something fishy: Wildlife trafficking from Mexico to China

Wildlife trafficking from Mexico to China receives little attention, but it is growing and threatens biodiversity. Moreover, while the connections between wildlife trafficking and drug cartels are sometimes exaggerated, in Mexico, wildlife trafficking, drug trafficking, and money laundering have become intertwined. Attracted by China’s enormous appetite for wildlife products and in contact with Chinese traders supplying precursor chemicals for the production of illegal fentanyl and methamphetamine, Mexican drug cartels are increasingly muscling their way into the country’s legal and illegal wildlife trade.

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China: Tree-Planting at Home, Logging Abroad?

Over a six-month period last year, Congo King Baisheng Forestry Development exported $5 million – or about 30 million kilograms — in illegally logged hardwood to timber conglomerate Wan Peng through Zhangjigang Port.

 

When sent the evidence collected by Global Witness, Chinese Customs told the NGO that “as the logging has taken place in DRC and violated local laws, the DRC authority was responsible for enforcement.” The Chinese government could investigate evidence of Chinese companies or citizens being involved in illegal logging – if requested by the DRC government.

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Publications Click for publications related to China
La demanda mundial de madera balsa se ha disparado en los últimos años, impulsada por el aumento de la demanda de energía eólica renovable a medida que el mundo intenta abandonar los combustibles fósiles. La madera balsa, blanda y ligera, es uno de los materiales preferidos para las aspas de las turbinas de viento. Los […]
Global demand for balsa wood has skyrocketed over the last several years, driven by rising demand for renewable wind energy as the world attempts to transition away from fossil fuels. Soft and lightweight, balsa wood is one of the preferred core materials for wind turbine blades. The volumes of balsa now traded on international markets […]
This paper assesses China’s forest product imports from FLEGT VPA countries and exports to the European Union (EU) plus European Free Trade Agreement (EFTA) Member States between 2010-2019, set within the context of overall trade and market dynamics driving China’s supply and demand for forest products. We demonstrate that following China’s closure of its own[…]
The term “rosewood” is used to designate several hundred species of tropical timber, found across West and Central Africa, Southeast Asia, and Latin America. 29 species are officially designated as hongmu (红木) under China’s National Hongmu Standard (2017). The Standard can be legally enforced in relation to product marketing claims, and has played a key[…]
This paper assesses China’s forest product imports from FLEGT VPA countries and exports to the EU between 2007-2017, set within the context of China’s overall trade and market dynamics driving supply and demand for forest products. The report shows how China’s closure of its own forests from harvesting has triggered a rise in imported forest products,[…]
China has imported more than 46 million cubic meters of logs from countries with log export bans from 2005 to 2016. Many of these imports are in violation of log export bans (LEBs) and present a risk to Chinese companies – and their down-stream buyers of processed wood products in North America and Europe – that these logs are illegally sourced. […]
This Information Brief explores some of the anticipated economic and ecological implications of the forthcoming expansion of restrictions on commercial logging in China’s natural forests.
Ce document examine les évolutions récentes du commerce chinois de bois de rose en s’appuyant sur les données d’importation des douanes chinoises entre 2000 et 2014. Il résume les publications existantes qui font état de violations généralisées de la législation et de la réglementation nationales en matière de récolte et de commerce de bois de […]
China’s demand for rosewood – used for classical Chinesestyle furniture and décor – is threatening some of the world’s most valuable and endangered old-growth forests. Chinese furniture manufacturers’ imports of several species of rosewood, collectively known as hongmu, have soared at an unprecedented rate since 2010 and hit an all-time high in 2014, according to […]
Key Resources
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Methodology
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Data Tools

Click here to access the Global Illegal Logging and Associated Trade (ILAT) Risk assessment tool and to download the Forest Trends User Guide describing the functionality of the ILAT Risk Data Tool.

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Export Restrictions
Click here to download a database of forest policy export restrictions.