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China As A Threat

The other day, I came across an interesting article. It was about whether China might become a global exporter of timber in the future. China, known as the "world's factory," has seen significant development not only in manufacturing but also in the IT industry, which is well-known. Now, it seems China is aiming to make a mark in the forestry sector as well. Is Japan going to be okay? It doesn't seem so.

China's Ascent to Becoming the World's Largest Timber Exporter is impending

In 1950, China's forest coverage was around 8.6%, but now it has surpassed 20%. The goal is to reach 42% by 2050. While currently the world's largest timber importing country, China's potential to achieve self-sufficiency and export processed products from its vast cultivated forests is plausible. In such a scenario, wood as a mere raw material might lose in price competition.

The Strength of a Brand

As a viable survival strategy for Japan's forestry regions, it seems that "branding" is the only option. Differentiate without competing on price, but through the unique stories of each region, adding value to the products for sale. While it may sound easy, failure to implement such a strategy could result in devastating damage, judging by the current situation of forestry regions. I strongly believe that this must be implemented along with generational transitions.

Bye!


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