Friday Offcuts – 17 April 2025
Click to Subscribe - It's FREE! Welcome to this week's edition of Friday Offcuts.World Earth Day, on 22 April 2025, is a global reminder of the need to protect our environment - and of forestry’s vital role in that mission. From carbon storage to sustainable materials, forests are central to climate solutions. Our Carbon Forestry Conference in August will highlight how market- based systems are expanding forest cover, while the Bioeconomy Innovations Conference in October explores the next generation of high-value, forest-based products shaping a more sustainable future. This week, markets and US tariffs dominate the news. Both New Zealand and Australia are watching developments closely, with NZTIF outlining key impacts on our economy, and FWPA taking a deep dive into the numbers. I can’t help quoting from Forest360’s article: “The tariff roulette wheel has been spinning furiously for the past few weeks, and you would have more chance of hitting a bullseye on a dartboard blindfolded, after drinking a bottle of whisky, than predicting where tariffs will end up.” With an Australian election next month, Tasmania’s TFPA calls for the protection of long-standing Regional Forestry Agreements, and AFPA rightly asks when we’ll see Country of Origin labelling for timber and wood. There’s also concern as drought continues to impact softwood plantations in the Green Triangle. In technology news, promising resource out of Alberta sees wood waste as a source of high-value fatty acid, and Scion has released a video, which highlights their science in action. Read these stories and more in another packed edition of Friday Offcuts.
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This week we have for you:
US tariff policies - the impact on NZ
The Trump administration’s “Liberation day” on
2 April implemented a comprehensive range of tariffs that will apply to
imports into the US of goods from some 168 nations. The rates
will range from a base 10% which applies to New Zealand up to 46% on
goods imported from Vietnam. (The US has a USD123 billion trade deficit
with Vietnam.) This upper rate has now potentially increased to 125% on
some products out of China!The new tariffs are effective from 5 April 2025. It isn’t clear whether these tariffs will be on top of existing tariffs but from opinions we have seen it appears that the base 10% is not additional to existing but in some cases where there are specific tariffs on particular goods such as fentanyl or goods subject to a section 301 tariff, stacking on top will apply. Section 301 are additional taxes and duties applied to imports from nations violating fair trade practices. This section gives the president authority to take appropriate action against discriminatory foreign practices. The reasons given for the application of the tariffs are to raise revenue to offset planned tax cuts and to encourage manufacturing back into the United States. The Trump administration is of the view that for many years other countries have “ripped off” US manufacturing and business and the tariffs are a tool to redress that. Previously, at the beginning of March, the tariff on timber (and other goods) imports from Canada was set to be raised to 25%. This duty was to be on top of existing countervailing and anti-dumping duty of 14% on Canadian timber imports. The proposed 25% duty on US imports from Canada was subsequently postponed for a month pending discussions with the Canadian (and Mexican) governments but by the beginning of April it was all on again. In terms of timber imported into the US including New Zealand’s timber exports to the US the 10% rate will not be applied. This is because timber from all sources is subject to a separate investigation under section 232. Section 232 tariffs are imposed by the US government under the Trade Expansion Act of 1962 to protect national security. These tariffs are applied when excessive foreign imports are deemed to be a threat to US national security. This investigation is understood to be completed in the next 3-4 months and may result in the tariff on New Zealand timber and timber in general imported to the USA being set above the base 10% . More >> Source: NZTIF Regional Forestry Agreements must remain in force: TFPA
As part of its 2025 Federal Election priorities, the Tasmanian
Forest Products Association (TFPA) is today calling for all candidates
to throw their support behind Australia’s Regional Forestry
Agreements (RFAs) – ensuring the existing agreements
remain in place into the future.In calling for the commitment, TFPA Chief Executive Officer, Nick Steel said the existing Tasmania RFA holds the state’s forestry businesses to the highest level of scrutiny and ensures the industry is a leader the world on environmental and sustainability standards. “It’s a tough system, but our industry knows it’s the best way to manage our forests, and that’s why we’re calling on all parties in the election to commit to continuing the RFA system for the years to come,” Mr Steel said. “In Tasmania, our RFA covers all forms of forestry and forest management across the state, including public and private, plantation, native, reserve and production areas. “By covering all forestry across the state, this efficiency leads to better outcomes for the environment, because implementation requirements are clear – for our foresters, farmers, private landowners, and parks managers, who all adhere to the same accredited and consistently applied set of rules. “ Mr Steel said the Tasmanian RFA – and the robust state government environmental laws accredited under RFAs – continue to meet the objectives of the Environment Protection, Biodiversity and Conservation (EPBC) Act. “Since their inception, RFAs have ensured that the objectives of the EPBC Act are met by the robust state government environmental laws accredited under them,” Mr Steel said. “For our industry’s future, it’s critically important that the RFA continues to deliver on economic, social and environmental outcomes, particularly the maintenance of investment certainty for internationally competitive forest-based industries." With nearly 60 percent of public forests in Tasmania now under conservation reserves and locked away in perpetuity, our Tasmanian RFA ensure that the tiny fragment of land we actively harvest in any one year is regulated. But more than environmental protections, the RFAs also protect the economic and social health of the forest industry and communities dependent on the industry. RFAs also provide the investment certainty needed for our internationally competitive timber and forest-based industry. “This includes the much-needed certainty to the thousands of Tasmanian timber workers whose livelihoods depend on our sustainably managed timber industries that RFAs support. That’s why the TFPA are urging all parties in this Federal election to back the existing model – which will allow our business to do the best for our community, the economy and the environment,” Mr Steel said. Source: Tasmanian Forest Products Association (TFPA) --(2022)2.jpg) Carbon forestry is at the crossroads
It’s that time of year again! Carbon Forestry 2025 is
New Zealand’s premier event for the sector. Last
year, the event hosted over 250 industry leaders, and in 2025, with the
stakes higher than ever, you won’t want to miss it. Join us
on 19-20 August 2025 in Rotorua, New Zealand. For
our international guests, virtual tickets will also be available.The new report from the Parliamentary Commissioner for the Environment, ‘Alt-F Reset: Examining the drivers of forestry in New Zealand‘, raises critical questions about carbon forestry’s role within the ETS. This report highlights that NZ’s current heavy reliance on a single species carries both economic and environmental risks. NZFOA chief executive, Dr Elizabeth Heeg, notes that while the new report raises important considerations for land use adaptation in a changing climate, some of its recommendations could be counterintuitive to progressing climate action. “Climate action is urgently needed, and as it stands, there is a question mark over New Zealand meeting its 2050 emissions targets,” Elizabeth states. “Forestry remains at the centre of any future success, so it makes no sense to limit the tools we do have available. Pulling back from the ETS without a tangible, alternative approach is risky at best.” Carbon Forestry is clearly at a crossroads, demanding decisive action to address current challenges and unlock future opportunities. Hear directly from key figures shaping this discussion, including NZFOA’s Dr. Elizabeth Heeg, Hon Simon Watts, Minister of Climate Change, and leading experts from the Climate Change Commission. Register now to be part of shaping a sustainable future for the sector. More >> Source & image credit: Innovatek  Drought hits pine plantations in SA and Victoria
Representatives of one of Australia's largest forestry regions
say prolonged drought conditions are killing pine trees and increasing
disease risks, threatening long-term timber growth. The
Green Triangle region consists of around 334,000 hectares of pine
plantations in south-east South Australia and south-west Victoria.
Parts of the region are in drought and experiencing their driest weather on record, which industry representatives say is now taking its toll. Green Triangle Forest Industries Hub general manager Tony Wright said forestry pine plantations were planted on a 30-year rotation. He said the current drought damage had stunted tree growth, which was unable to be recovered throughout the trees' life cycle.
"Trees that would tend to shut down, particularly softwood, they take
the water that's available to them in the environment, but they
obviously have a limitation about how deep [their roots can go]," he
said. More >> Source: ABC Awards to honour NZ’s native forest champions
Nominations are now open for the inaugural Growing Native Forests
Champions Awards, celebrating the people and groups leading native
growing efforts, Forestry Minister Todd McClay announced this week.“These awards will recognise the farmers, landowners, iwi, and community groups restoring and planting native forests, and helping bolster New Zealand’s biodiversity and land resilience,” Mr McClay says. “Native trees are vital to healthy ecosystems — they shelter wildlife, protect water quality, stabilise soils, and store carbon.” Award categories include:
For more details and to enter, visit: growing native forests champions. Source: Beehive NZ market update - April 2025
Opinion Piece: Marcus Musson, Forest360 DirectorYou couldn’t make this stuff up, even if you tried. If you had written a book about a global economic situation, such as the current one, it would have been a flop as it would have seemed too farfetched and laughable, but here we are. Let’s not for a moment think that this isn’t what the majority of Americans signed up for though, as tariffs and protectionism were a large part of Trumps campaigning, and it’s not like he’s known for being predictable. Add to that the fact that something had to be done to stem the bleed that has led the US national debt to rise by $12.3 trillion in the last 5 years to a total of $36.2 trillion (sound familiar?). I’m not sure that severing everyone else’s arteries is the best way to stem your bleed, however. The tariff roulette wheel has been spinning furiously for the past few weeks, and you would have more chance of hitting a bullseye on a dartboard blindfolded after drinking a bottle of whisky than predicting where tariffs will end up on a country-by-country basis. What we do know is that our largest trading partner, China, probably isn’t going to fare that well. In 2024, around 30% of the furniture manufactured in China headed off to the US. China is not the biggest supplier into the US however, with Vietnam exporting double the value of Chinese exports into the US. Of the total volume of furniture consumed in the US, 52% was made domestically, but the actual value of the imported furniture inputs was 63% meaning that some imported products were used in domestic manufacturing. So, what does this mean for NZ? With a current US:China tariff of 145% (pick a number for what it could be next week) it’s very likely that there will be a significant reduction in goods manufactured in China headed to the US – furniture included. NZ grown radiata is very popular in the Chinese furniture industry due to its properties as it can easily be sawn, dried, glued, laminated, painted and stained. This sector has become more important to NZ as the construction sector continues to suffer and demand for NZ radiata in construction has reduced significantly from 2021 onwards. Having said that, China demand for NZ logs is still strong, with off port uplift in the order of 70,000m3 per day in late March. On port inventory remains a bit stubborn at a shade under 4million m3, however, this has reduced by 100,000m3 in the past few weeks. March is historically a big supply month for NZ and this year was no different with plenty of vessels on the water. This supply, along with uncertainty in the market, has resulted in a downturn in buyer sentiment, with April CFR prices dropping 8-10% based on March numbers. More >> Source & image credit: Forest360  US tariffs in context: Australia’s wood & wood products trade
An update from FWPA’s Statistics and Economics Program:
The situation is shifting, changing, and remains very fluid, which makes providing analysis at a point in time a little tricky. By the time a paragraph is written, the US President has changed his mind. This analysis seeks to address the ‘timeliness’ problem by providing an understanding of Australia’s wood products trade with the USA and focussing on what appears to be the underlying motivation of the US administration, and the risks they might pose for global trade. What we know. Something of a timeline On 2nd April, the US President imposed ‘base’ 10% tariffs on Australia’s imports to the USA. President Trump also announced much higher ‘reciprocal tariffs’ on many countries, with the largest tariffs imposed on Asian nations, including China, and some uninhabited, non-trading islands. A full list is available here. As the world quickly learned, the rationale for the tariffs was a mix of misunderstanding, economic voodoo and a failure to check whether some locations were even countries or inhabited by anything other than penguins. Laughable, certainly, but not a joke. Global capital and stock markets immediately faltered, with losses recorded on the US exchanges equivalent to those of the global financial crisis and the more-recent pandemic panic. Investors recalculated risks and devalued assets worldwide. Major institutions reported analysis that a global recession in 2025 was a 50/50 bet, and a US recession was pretty much assured. Some countries responded with retaliatory tariffs, most notably China, and the European Union chimed in similarly. Other countries, less able to withstand pressures, reportedly queued up to, as President Trump himself said: “…negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non-Monetary Tariffs,… ” In an overnight backflip on 9th April, the US President used these apparent concessions and their impact on stock and capital markets to reverse the retaliatory tariffs, pausing them for 90 days. Nearly all countries are on a diet of 10% tariffs for their imports to the USA, while they negotiate with their bully. We discuss this further toward the conclusion of this analysis. The notable exception to the 10% tariffs is China, of course. China has reciprocated with tariffs on imports from the USA, such that (at the time of writing), the two countries have 125% (China into USA) and 84% (USA into China) tariffs. These ridiculous tariff levels essentially stall trade between the two great powers. We also discuss this at the conclusion of this analysis. More >> Source: FWPA Opinion: A balanced approach to koala conservation
With the State Government poised to announce the creation of a
Great Koala National Park, a unique opportunity emerges to
balance the establishment of protected koala habitats and the
preservation of state forests, offering a win for positive
environmental, social, cultural, and economic outcomes.Whether managed as national park or state forest, science-based active forest management – the thoughtful and deliberate tending of forests – will be crucial to maintaining and enhancing Australia’s forests, responding to climate change and conserving koala habitat. Simply creating a national park does not guarantee biodiversity conservation. There is no doubt when managed well, national parks benefit the environment and communities by conserving biodiversity, providing for recreational opportunities and cultural wellbeing, storing carbon and providing clean water. State forests, also provide all of these values, along with recreation and eco-tourism opportunities, timber and non-timber forest products. The effective conservation benefit provided by state forests has been demonstrated by recent research that shows koala numbers remain high and stable in NSW state forest. However, this is not a guarantee, for example, in Booderee National Park, severe declines in native animal species have occurred. Potoroos and bandicoots have had to be re-introduced from nearby state forest after becoming locally extinct within the national park. In the Pilliga Forest the thriving population of koala declined following conversion of state forest areas to conservation reserves. This decline is attributed to changes in management that previously encouraged the growth of eucalypt species favoured by koalas. Given this, it is critical that these lessons be learned and applied if the Great Koala National Park is to truly conserve koala. Equally, it is important to understand the consequences of removing sustainable, renewable, modest and highly regulated native forest timber supply from state forests when creating the new Great Koala National Park. Research has shown that when Australian hardwood timber from native forests becomes unavailable, it is mostly replaced by imported timber, concrete, steel or fibre cement – only in relatively few cases is it replaced by Australian plantation products. The products that predominantly replace native forest timber products have high carbon cost, are less environmentally friendly and represent a much greater sovereign risk. Some groups advocate for Australia to rely solely on plantations for its timber supply. However, claims that such a transition can be done easily are false and oversimplistic. For now, we simply do not have sufficient plantations to replace the wood products sourced from native forests. More >> Source: Forestry Australia  Red yeast turns wood waste into a valuable fatty acid
Forestry waste can be turned into a high-value fatty acid,
thanks to a bright red yeast engineered by University of Alberta researchers. Using wood-derived sugar as a feedstock, the strain, developed from a yeast called Rhodosporidium toruloides, proved capable of producing punicic acid. The discovery offers potential economic wins for the forestry and food industries, says study co-author Guanqun Chen, associate professor in the Faculty of Agricultural, Life & Environmental Sciences and Canada Research Chair in Plant Lipid Biotechnology. Derived mainly from the seed oil of pomegranate fruit, punicic acid offers healthy cholesterol-lowering, anti-inflammatory and anti-carcinogenic properties. However, with a very low seed-to-fruit ratio and oil yield, it’s currently not financially feasible to produce for large-scale use in the food industry. But being able to produce the fatty acid using sugar solution derived from low-value leftovers like wood chips provides both economic and environmental benefits, Chen says, noting that the yeast strain could also be used on agricultural byproducts like canola and wheat straw, after pre-treatment. “We’ve shown that this engineered strain can serve as an industrial platform for converting large volumes of biomass waste or byproducts into a valuable product, which may open up opportunities for creating high-value nutritional supplements, functional food and animal feed ingredients. “That creates additional revenue, improves resource efficiency and can help sustainability for these various industries.” The strain, which is now under a provisional patent application, could, for example, serve as an alternative to using baker’s yeast, the current approved choice for animal feed supplements, notes study co-author Juli Wang, who carried out the research as a part of his PhD thesis project in plant science. “It’s got high oil content and a quick growth rate that make it a better option for producing punicic acid using fermentation.” The research, conducted in collaboration with U of A professor David Bressler’s Biorefining Conversions and Fermentation Lab, marks the first time R. toruloides was engineered to produce punicic acid. In their experiments, the researchers genetically modified the red yeast by introducing two key enzymes from pomegranate fruit. When cultured with a sugar solution derived from the wood waste, the yeast strain produced 6.4 per cent of its total fatty acids as punicic acid. More >> Source: University of Alberta ‘ReMade in Australia’ brand a good start - but issues remain
The Australian Forest Products Association (AFPA) welcomes Federal
Labor’s ‘Remade in Australia’ brand announced today as
a measure that has potential to demonstrate the recycling power
of our sector – but the big elephant in the room remains
– where does a future Albanese Government stand on Country of
Origin labelling for timber and wood?As part of its Future Made in Australia Plan – Federal Labor has announced ‘ReMade in Australia’ where products that have a minimum of 20 per cent recycled content, 50 per cent of which must be Australian made – can display a new logo. The 50 per cent local component would increase to 100 per cent in 2030. Chief Executive Officer of AFPA, Diana Hallam said, “ Manufacturers of timber and wood-fibre products across our sector use a huge amount of recycled resource to make new products. Whether its recycled paper and packaging products being reused, recycled products in particleboard, or even plastics being recycled to create composite timber decking, the forest products sector is one of Australia’s great recyclers. “I’m confident our manufacturers will be very interested to explore participation in the new ‘ReMade in Australia’ brand which aligns with AFPA’s Election Platform Australian Timber. Australia’s Future and strengthening national sovereign capability in Aussie grown and recycled timber and fibre resources. “The big question remains however over whether Federal Labor will commit to Country of Origin labelling for timber and wood? While it’s a worthy endeavour to inform consumers about recycled content – informing them about where the timber and wood they’re buying comes from in the first place, is as, if not more important. Both the Coalition and One Nation have committed to Country of Origin labelling for timber and wood. We need to know where Labor stands. “AFPA is also advocating for the removal of regulatory and other impediments that discourage recycling of timber, wood and fibre residues as well as other waste to produce energy, including larger scale biomass energy. There are estimates that up to 60 per cent of used timber ends up in landfill, so innovative government policy around this issue is strongly encouraged. “Federal Labor is yet to announce its broader forestry policies so we look forward to measures like Country of Origin labelling and others outlined in our Election Platform being committed to,” Diana Hallam concluded. Source: AFPA Image credit: Australian Made  Kauri tree protection guidelines
Brendan Gould, the NZ Forest Owners Association (NZFOA) biosecurity
manager, launched the guidelines to protect kauri
trees, at the Forest Biosecurity Conference. The guidelines
have been developed in partnership between Forest Owners Association,
Farm Forestry Association, Forest Growers Levy Trust and Tiakina Kauri.
Kauri are one of the largest and longest living trees in the world, and can live up to 2,000 years, grow to 16 m in diameter and 50 m tall. Unfortunately they are vulnerable to the soil-bourne pathogen Phytophthora agathidicida, also known as kauri dieback. There is no known cure for kauri dieback, but we can prevent its spread. If you are undertaking plantation forestry activities in the north of New Zealand, you need to abide by these guidelines in order to protect kauri from infection. If you're undertaking outdoor activities in the north, remember to follow these steps to contain the disease:
Click here to view the guides Source & image credit: NZFOA (via LinkedIn) Tasmania hosts next generation of forestry leaders
A cohort of twenty-four students has visited Tasmania for a five
day study tour, part of a new industry-funded partnership between the
forest sector and five universities across Australia. The program, which will eventually lead to a Graduate Certificate in Forestry, was launched last year and offers four modules over a two-year timespan to individuals working full-time in the sector. With no undergraduate degree in Forestry available at any Australian university, this addresses the need to build and consolidate the knowledge base of those working in the industry, who often have qualification in applied science or agriculture. Professor of Forestry with Australian National University Peter Kanowski, who is co-convenor of the course, expects the initiative to have multiple positive outcomes. “This is an investment in early to mid-career professionals benefitting the sector as a whole over the longer term. It equips us for the new challenges we’re facing, and ensures universities are meeting the sector’s needs.” About the program The initiative is a collaboration between five universities, federal funding bodies and the forest sector in the form of individual companies and industry associations. The universities involved are Australian National University (ANU), the Universities of Tasmania (UTAS), Sunshine Coast (UniSC), Adelaide, and Melbourne University. Forestry Australia will provide a scholarship for one of the participants in the program each year, with this year's recipient from Western Australia working on carbon farming initiatives. While the initiative is majority industry funded, the sector's national training organisation Forest Works provided funding from the federal government's $10million Forest Workforce Training Program. The Australian Forest Products Association (AFPA) was instrumental in bringing the multiple parties together. Tasmanian study tour Students take one subject per semester which includes a five day residential component to study the particular forestry context of each location, with April's study tour in Tasmania part of the Introduction to Forestry module. The Tasmanian field visit was facilitated by Professor Kanowski and UTAS Professor of Forestry Science, Mark Hunt. “Students do a residential school in Tasmania, country Victoria, South Australia and Queensland, focusing not just on topics specific to that unit but exposed to the breadth of what happens in the industry in that geographic area,” said Professor Hunt. Forico, Tasmania's largest private forest plantation manager On Wednesday 2nd April, the party visited Forico's headquarters in Kings Meadows for a presentation by the company's Sustainability team on the emerging challenges and opportunities in national capital reporting, carbon forestry and biodiversity certificates. There followed a visit to Henry Somerset Orchid Reserve in the state's north, where Forico maintains a 38 hectare patch of native forest reserve which supports fifty-plus species of endemic orchid, including six threatened species. Final stop for the day was on the company's plantation estate in northwest Tasmania to witness a plantation coupe which has been thinned to promote tree growth suitable for building timber and engineered wood products, in a coupe registered with the Emissions Reduction Fund for carbon credits. More >> Source and image credit: Forico See groundbreaking science in actionThe future isn't something that simply happens; it's built through ingenuity. Innovation, powered by science and technology, is the engine driving a strong and profitable sector forward. Leading research organisations, such as New Zealand's Scion, are at the forefront of this progress. See their groundbreaking science in action and learn about their impact in the video below.Scion, New Zealand’s premier Crown Research Institute, is a key driver of innovation in forestry, industrial biotechnology, and advanced manufacturing. Their focused research translates into tangible advancements across forestry, wood products, and biomaterials, creating sustainable solutions for a better tomorrow. Source: Scion Jobs
Buy and Sell
... and one to end the week on... just for Easter
IKEA doesn't sell a flat-pack Easter egg in the traditional sense. But they do offer a flat-pack chocolate bunny called VÅRKÄNSLA. It's like the IKEA furniture of the chocolate world – you get to assemble it yourself! Just imagine the satisfaction of putting together your own chocolate treat, only to devour it immediately after. Check out the video online.
 And on that note, enjoy your weekend. Cheers.  Brand PartnersOur Partners & Sponsors Friday Offcuts is made possible through the generous support of the following companies.
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