MethodologyContact usSupportLogin
Explore our comprehensive market coverage to access the data driving our analysis of Brazil’s surging plywood exports and the implications of proposed US tariffs.
Following the US Supreme Court’s decision to strike down the previous tariff regime in February, Brazilian plywood exports to the United States have accelerated in recent months as importers rush to bring in cargoes before two new proposed tariffs could come into effect next week.
A major Brazilian plywood exporter said US customers increased purchases after the proposed measures were announced last month, seeking to have products cleared through customs before any additional duties are imposed. The company said its plywood exports have risen about 118% since January.
The recent increase contrasts with the broader market trend seen in 2025, when exports declined from August following the introduction of US tariffs before beginning to rebound in February.
Nevertheless, the United States remained the largest destination, accounting for 29% of total export volumes in 2025, according to data from the Brazilian Association for Processed Timber Industry (ABIMCI). Brazil has remained the world’s leading plywood exporter over the past decade, with average annual export growth of 3.7% and a record $1.123 billion in exports in 2021.
The recent surge does not signal a market recovery. According to another industry source, who also confirmed the increase in shipments in recent months, the rise was largely driven by uncertainty. “The market has become highly speculative,” he said, noting that although exporters welcomed this temporary gain, they have little visibility over what the coming months will bring.
The surge comes as representatives of Brazil’s wood products industry met with the Office of the United States Trade Representative (USTR) in Washington, DC, to argue against the proposed tariffs. One of their main arguments is that Brazilian wood products have a “complementary role” alongside domestic US production. Without Brazilian supply, the industry argues, upward pressure on prices in the US market could increase.
Brazilian plywood is among the products possibly affected by a new proposed 25% tariff related to trade practices, with an additional 12.5% tariff linked to alleged forced labor issues. If the proposed tariffs are not withdrawn, the industry is at least trying to expand the list of exempted products.
Market participants have low expectations for the outcome of the talks and are already preparing for the possibility that cumulative duties could reach 37.5% if both proposed measures are implemented.
According to a note shared by ABIMCI, companies had begun to gradually regain ground in the North American market this year. However, before this recovery could fully take hold, the wood products industry was once again “caught off guard” by the prospect of new tariffs.
For Brazilian plywood producers, one of the clearest consequences has been shorter contracts and reduced predictability. According to an industry participant, this volatility has accelerated efforts to diversify production and reduce reliance on the US market.
“It is no longer possible to assume it will be a stable market. Today it might be excellent; tomorrow it could be terrible. This is pushing factories to look for alternatives,” he said.
Over the long term, he expects Brazilian producers’ dependence on US importers to decline, even if tariffs are eventually removed. Europe and countries such as Mexico, South Africa, Australia and the Caribbean are among the alternative destinations being explored. However, diversification remains challenging, as demand in these markets is not large enough to absorb the volumes historically shipped to the US.
Brazilian plywood mills have spent decades adapting their production to meet US requirements, including specific dimensions and certifications. More recently, producers have started adjusting to the needs of other markets, including developing products such as special-sized panels for Japan.
Companies are also exploring higher-value-added products, including specialized plywood panels for furniture applications, flooring bases and even concrete formwork.
However, this transition is unlikely to happen quickly. According to the source, adapting production for new markets requires changes in product specifications, certifications and manufacturing processes. While some mills have begun producing specialized plywood tailored to markets such as Asia and Europe, many others have chosen to reduce output as high costs, volatile freight rates and exchange-rate fluctuations continue to pressure the industry.
Ready to stay ahead of the market? Contact our team today for accurate, up-to-date price data and comprehensive coverage of trade policy developments, plywood markets and global wood product flows.