Region Archives: International

Business & Politics

European Commission approves International Paper’s acquisition of DS Smith subject to conditions

The European Commission
January 23, 2025
Category: Business & Politics
Region: United States, International

The European Commission has conditionally approved International Paper’s $7.16 billion acquisition of DS Smith, contingent on divestitures of five facilities to address competition concerns. This includes three plants in Normandy, France, one in Ovar, Portugal, and one in Bilbao, Spain, ensuring competition remains intact in key European markets. The divestitures eliminate overlaps in corrugated packaging markets in northwest France, northern Portugal, and northeastern Spain. The regulator noted that, without these measures, the merger would have reduced market competition due to high concentration levels, likely resulting in increased costs for businesses relying on corrugated products. …The Commission’s decision, finalized on January 24, 2025, follows a detailed investigation under the EU Merger Regulation.

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International Paper anticipates EU approval for $7.1bn DS Smith acquisition

Yahoo! Finance
January 22, 2025
Category: Business & Politics
Region: United States, International

Sustainable packaging solutions provider International Paper (IP) is set to receive approval from the EU for its £5.8bn ($7.12bn) acquisition of UK competitor DS Smith. …Reuters reported that the move comes after IP agreed to sell certain assets to resolve competition concerns. The European Commission is expected to make a formal decision on the deal by Friday (24 January). In March last year, IP made an all-share offer to acquire the entire issued share capital of the British packaging company DS Smith. …The all-share transaction would result in DS Smith’s shareholders owning approximately 33.8% of the combined entity. …The deal, now awaiting approval from the European Commission, is expected to enhance IP’s presence in the European paper and packaging sector, which is undergoing consolidation.

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The world is moving on to trade without the US

By Ruchir Sharma
Financial Times
January 25, 2025
Category: Business & Politics
Region: International

While Donald Trump has yet to act on his multiple tariff threats, it’s likely he will. So the fear lingers that the US president’s aggressive trade posture will sow global disorder, depressing growth and roiling markets, particularly if targeted nations retaliate. But retaliation is not the only or even the most likely response to Trump, no matter how broadly he finally delivers on his threats. The US has wielded tariffs as a weapon for eight years now. …Some nations retaliated; others offered concessions or challenged them before global trade arbiters. But most just quietly moved on, seeking trade with countries other than the US. Since 2017, trade has held more or less steady at just under 60% of global GDP. But there’s been a decline in the US share of trade flows offset by an increase in other regions. Trump 2.0 seems likely to bring more of the same: trade without America.

In related coverage: Trump sparks other countries to seeks trade deals with one another

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Finance & Economics

Tariffs Could Add $3B to $4B to the US Home Building Costs

NAHB.org
January 27, 2025
Category: Finance & Economics
Region: Canada, United States, International

Scarcity and an acute, sustained rise in building material costs — from softwood lumber to distribution transformers — are driving up the cost to construct homes and harming housing affordability. There are several factors driving this trend, notably inflationary pressures and global factors, including trade uncertainty. …A tariff is essentially a tax on an imported good, meaning the importer pays an additional cost for importing such an item. …So tariffs on building materials raise the cost of housing, and consumers end up paying for the tariffs in the form of higher home prices. Two essential materials used in new home construction, softwood lumber and gypsum (used for drywall), are largely sourced from Canada and Mexico, respectively. Proposed new tariffs on China, Canada and Mexico are projected to raise the cost of imported construction materials by $3 billion to $4 billion, depending on the specific rates.

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Global Consulting Alliance: Forest Sector Outlook Report – 2024-Q4

By Russ Taylor
Russ Taylor Global
January 26, 2025
Category: Finance & Economics
Region: International

RUSS TAYLOR GLOBAL is pleased to provide the latest quarterly report from the Global Consulting AllianceRUSS TAYLOR GLOBAL is a member of this group that features six independent consulting companies from around the world that focus on the international forestry and wood products sectors. The Forest Sector Outlook – 2024-Q1 report features global economic and forests/industry/market updates from all continents around the world. The report includes regional reviews on local market and industry developments in wood products and timberlands for each region. This 14-page report is available on our website.

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UK timber industry predictions: 2025 looking ahead

By David Hopkins, Chief Executive
The Timber Trades Journal
January 24, 2025
Category: Finance & Economics
Region: International

UNITED KINGDOM — Most of us will have been pleased to see the back of 2024 as the sense of stagnation and sluggishness was felt from Downing Street to the High Street. …Despite the negative messaging, some of the government actions have been quite positive, albeit with a longer-term vision than a short-term sugar rush. The attempts to increase investment in infrastructure, especially housing, transport, energy and broadband will be key to improving productivity growth. …The introduction of the Future Homes Standard this year will also strengthen the case for timber construction systems due to its superior thermal and carbon performance. Finally, the government’s attempts to upskill and enlarge the labour force could also bear fruit for our sector. …We must show that the timber industry is essential to deliver on the government’s house building mission. 

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New Forests raises €410m for sustainable forestry fund backed by European investors

By Ian Lewis
ImpactInvestor
January 15, 2025
Category: Finance & Economics
Region: International

Investment manager New Forests said it had raised some A$450m (€410m) from Australian and European institutional investors at the first close of its Australia New Zealand Landscapes and Forestry Fund. The fund is targeting an overall size of A$600m, which New Forests hopes to reach within the next year. David Shelton, New Forests’ managing director, Australia and New Zealand and global head of investments, said investment in the forestry and land use sectors was a crucial in creating a pathway towards net zero. Shelton said the fund still had a core focus on forestry, because most of its investor clients still wanted to invest in a forestry fund, but the fund’s structure gave it flexibility to transition some land between forestry and sustainable agriculture, or to acquire agricultural land in response to a particular price trend.

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Wood, Paper & Green Building

The shape-shifting biomaterials that make buildings move

World Bio Market Insights
January 22, 2025
Category: Wood, Paper & Green Building
Region: International

One of the amazing things about plants is their ability to change shape in response to environmental stimuli such as light and moisture, even without a brain or central nervous system. Now, a new generation of biomaterials is similarly able to respond to environmental cues… The research started off with cellulose – a material found in plants that changes size in line with humidity levels around it… In terms of borrowing from nature, this adaptive material ticks all the boxes. First, it is made from plant raw materials. Cellulose is an abundant natural material found in the cell walls of plants, fruits, leaves, and vegetables. Second, the cellulose is processed in ways that are inspired by the makeup of biological organisms. In short, it is both a biomaterial (made from biological stuff) and a bio-inspired material (designed based on biological mechanisms).

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Sweden is Building the World’s Largest City Made Entirely From Timber

By Maddy Savage
Time Magazine
January 18, 2025
Category: Wood, Paper & Green Building
Region: International

STOCKHOLM, Sweden — A yellow crane hovers above a building site in Sickla, a former industrial neighbourhood that’s home to one of Stockholm’s biggest real estate projects. But instead of delivering concrete, it’s manoeuvring giant chunks of wood to construction staff working in sub-zero winter temperatures. This is the beginning of what Swedish property developer Atrium Ljungberg describes as “the largest mass timber project in the world.” On the outskirts of Sweden’s capital, construction of ‘Stockholm Wood City’ began in October and is set to provide 2,000 new homes by 2027. The company’s core goal is to improve the sustainability of construction projects. Building with wood instead of concrete and steel would… help offset half of Europe’s construction industry emissions. …Atrium Ljungberg also hopes the wooden buildings themselves will boost locals’ wellbeing. There is already a small but growing body of academic research linking wooden materials with lower stress levels.

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Architects are bringing nature home by making trees part of the plan

By Kim Cook
Coast Reporter
January 15, 2025
Category: Wood, Paper & Green Building
Region: International

By now, you may be familiar with biophilic design — it’s the idea of integrating nature into design to enhance our connection to the environment. Sustainability, wellness and harmony are usually part of the deal. Some architects and home designers are using one particular biophilic element to striking effect: trees. We’ve already seen public spaces around the globe incorporate trees in remarkable and beautiful ways. The Ford Foundation in New York boasts a 12-story-high atrium filled with magnolias, eucalyptus, jacaranda, cryptomeria, iron bark and pear trees. The Winter Garden atrium in lower Manhattan’s Brookfield Place is home to 16 40-foot-tall Washingtonia palm trees. Singapore’s Jewel Changi airport features 2,500 trees — natives to Madagascar, Australia, Malaysia and Indonesia — in a 6-acre indoor forest with walking trails. If you’re flight’s delayed, lucky you.

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Forestry

Calls for end to logging in NSW state forests assessed for the Great Koala National Park

By Jesse Hyland
ABC News, Australia
January 23, 2025
Category: Forestry
Region: International

Meredith Stanton has an undeniable love for the forests within her local community. …The long-time conservationist has resided next to Clouds Creek State Forest on the NSW Mid North Coast for more than 40 years. While logging in Clouds Creek was suspended early last year, Ms Stanton has watched operations continue in nearby forests such as Sheas Nob State Forest. Clouds Creek and Sheas Nob are among multiple state forests in the region earmarked for the Great Koala National Park. … However, ecologists have expressed frustration over the slow progress and the continuation of logging by Forestry Corporation. …Forestry Corporation rejected the findings that there had been accelerated logging. “There has been no increase in timber harvesting in the area subject to assessment for the park,” a spokesperson said.

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WWF blasts Sweden, Finland over logging practices

France24
January 23, 2025
Category: Forestry
Region: International

Sweden and Finland are not doing enough to protect their primary and old-growth forests, falling short of EU commitments, the World Wildlife Fund said in a report. “Thousands of hectares of forests with high conservation value are logged each year, despite their importance for climate stability, biodiversity, and long-term ecological health,” said the WWF. …Private forest owners insist they are complying with current legislation and that their felling of trees is sensible. “Nobody cuts down trees just for the fun of it,” Magnus Kindbom, forestry director at the Federation of Swedish Farmers said. “It’s because there’s a need in society. “And if we didn’t use wood products, which have no negative impact on the climate, then we would have to use more fossil fuels,” he added. “That’s the dilemma we face: how to find the best compromise between having access to more biomass and understanding its impact on biodiversity.”

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Indonesia Aims to Curb Emissions Growth by 2035 in Forestry Bet

By Norman Harsono and Sheryl Tian Tong Lee
Bloomberg News in the Financial Post
January 22, 2025
Category: Forestry
Region: International

Indonesia aims to limit emissions growth to 23% by 2035 from 2019 levels through conserving forests and peatlands to mitigate pollution, according to a top official. The nation expects its total greenhouse gas emissions will reach between about 1.3 billion and 1.4 billion tons a year in a decade, Environment Minister Hanif Faisol Nurofiq said in an interview this week, affirming draft targets released in August. Indonesia will submit its goals to the United Nations Framework Convention on Climate Change by mid-February, he said. The plan has attracted criticism for its heavy reliance on forests as potential carbon sinks and its limited ambition to cut emissions in polluting industries in the near term. Large ecosystems can absorb more carbon dioxide than they release but Indonesia’s forests have historically been a net carbon source due to deforestation, emitting more than 300 million tons a year on average between 2001 and 2023, according to Global Forest Watch. 

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Warming climate driving fundamental shifts in Boreal forests: Study

By Himanshu Nitnaware
Down to Earth.org
January 21, 2025
Category: Forestry
Region: International

Nearly half of the global boreal forests — spanning Canada, Alaska and Siberia — are undergoing major transitions due to climate change, making them increasingly vulnerable to forest fires and altering their role as a key carbon sink, a new study has revealed.  These forests are vast and found in the cold, northern regions. However, they are warming four times faster than the global average and are expected to shift into a new ecological regime. This transformation could impact global climate regulation by triggering biome shifts and changes in tree cover dynamics, according to the study published in the journal Proceedings of the National Academy of Sciences (PNAS)… It suggested that the boreal biome shifting to an open state indicates that its current distribution is unstable and temporary.

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Biomass mission: Advancing our knowledge of the carbon cycle

Innovation News Network
January 17, 2025
Category: Forestry
Region: International

The European Space Agency (ESA) is set to launch its Biomass mission in 2025, providing more accurate measurements of forest biomass to enhance our understanding of the carbon cycle. We spoke to Biomass Project Manager, Michael Fehringer, to learn more. As a major carbon sink, forests play a crucial role in the carbon cycle and climate system. However, due to factors such as forest degradation and deforestation, much of this otherwise stored carbon is being released back into the atmosphere, causing a detrimental impact on the environment. To understand the rapid changes that forests are undergoing, and therefore tackle the implications this has for our climate, quantifying the global carbon cycle is vital. However, current measurements of forest biomass are poor in many parts of the world. …Editor Georgie Purcell spoke to ESA’s Biomass Project Manager, Michael Fehringer, to find out how the mission will clear up questions surrounding forest biomass and the carbon cycle.

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National Trust project to plant almost half a million trees this winter

By Steven Morris
The Guardian
January 17, 2025
Category: Forestry
Region: International

Almost half a million trees are being planted in England this winter in a partnership between the National Trust and a UK-government funded project, creating woodlands, wood pasture, hedgerows and orchards. Some of the schemes are relatively modest, such as orchards planted with heritage varieties of fruit and nut trees, while others are much grander, thousands of trees linking up existing patches of woodland to create nature-rich forests. One of the most eye-catching schemes is at Buckland Abbey near Plymouth in Devon, where more than 30,000 trees are being planted. Broadleaved trees such as sessile oak, elm, blackthorn, birch, rowan and wild cherry are being planted close to ancient woodlands across the estate, and the hope is that as well as benefiting insects, mammals and birds, it will improve conditions for rare lichens, liverworts and mosses to flourish.

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Timbeter Revolutionizes Timber Measurement in Poland with Innovative AI Technology

Timbeter
January 16, 2025
Category: Forestry
Region: International

Timbeter, AI-powered digital timber measurement solution provider, starts collaboration with Polish State Forest (PGL LP) to support the forestry operations. A project that is transforming the whole timber industry in Poland is being carried out in Regional Directorates in Piła and Poznań. Launched under General director’s order No. 92/2024 issued on July 24, 2024, by the Director General of State Forests, the initiative aims to integrate Timbeter’s digital measurement solutions into everyday forestry operations. The project’s goals include reducing the workload of foresters, simplifying timber measurement processes, and enhancing objectivity of results. This transition will also provide additional insights for stakeholders, from contractors to timber purchasers, enabling better decision-making and operational efficiency.

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Carbon, Climate & Bioenergy

UK would need forest ‘twice size of London’ to offset new airport expansion

By Josh Gabbitiss and Verner Viisainen
CarbonBrief.org
January 27, 2025
Category: Carbon, Climate & Bioenergy
Region: International

A forest twice the size of Greater London would need to be planted in the UK to cancel out the extra emissions from the expansion of Heathrow, Gatwick and Luton airports, Carbon Brief analysis reveals. New runaways at these airports surrounding London would result in cumulative emissions of around 92m tonnes of extra carbon dioxide equivalent (CO2e) by 2050, if the number of flights increases in line with their operating company targets. For example, offsetting these emissions would require more than 300,000 hectares of trees to be planted within just a few years. This equates to all the trees planted in the UK since 2000… Reeves has stressed that “sustainable aviation fuels” (SAFs) and electric planes could help to offset these emissions. However, such technologies are still in the early stages of deployment and previous Carbon Brief analysis suggests the role of SAFs in achieving net-zero may be limited.

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Drax is taking positive action to deliver secure clean power and climate goals

By Miguel Veiga-Pestana, Chief Sustainability Officer
Drax Group Inc.
January 23, 2025
Category: Carbon, Climate & Bioenergy
Region: International

Drax divides opinion. Some recognise the critically important role we play in generating renewable power which keeps the lights on for millions. Others argue that we are not ‘green enough’ and need to do more to demonstrate that we are part of the solution to tackling the existential threat of climate change. …Since the Ukrainian conflict and the ongoing uncertainty around investments needed to achieve net zero, energy has overtaken many other sectors in he controversy stakes. We recognise that some people have concerns about our operations. …this year will see us make changes to further integrate sustainability across our operations. We are … taking positive action to provide greater transparency about our plans, processes and operations.  We are developing this new approach in consultation with experts to ensure that we’re on the right path to being climate, nature and people positive.

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The Democratic Republic of Congo to create the Earth’s largest protected tropical forest reserve

World Economic Forum
January 22, 2025
Category: Carbon, Climate & Bioenergy
Region: International

The Congo Basin is home to the largest expanse of intact tropical forest on Earth, covering approximately 3.7 million square kilometres. It retains vast areas of undisturbed forest – like the 108,000 square kilometres in the Democratic Republic of Congo (DRC), an area about the size of Iceland. The Amazon has steadily lost its carbon storage potential, flipping from a sink to a net emitter in 2021. But, the Congo Basin is still functioning effectively as a carbon sink, a crucial planetary buffer limiting greenhouse gases in the atmosphere. The Congo Basin is currently the largest and healthiest tropical forest carbon sink in the world, sequestering 1.5 billion tonnes of CO₂ annually with a peat swamp that stores 29 billion tonnes of carbon – equivalent to about three years’ worth of global greenhouse gas emissions.

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Burning wood for power not necessary for UK’s energy goals, analysis finds

By Fiona Harvey
The Guardian
January 22, 2025
Category: Carbon, Climate & Bioenergy
Region: International

The UK should stop burning wood to generate power because it is not needed to meet the government’s target of decarbonising the electricity sector by 2030, according to analysis. Ed Miliband, the energy security and net zero secretary, is expected to make a decision soon on whether to allow billions of pounds in new public subsidies for biomass burning, despite fierce opposition from green groups. Campaigners have amassed years of evidence of how much destruction burning wood causes to forests and wildlife around the world, and argue that it is not “carbon neutral” because regrowing trees takes decades to make up for the carbon emitted when burned. But ministers were thought to be reluctant to let go of the capacity for baseload power generation that biomass represents. Biomass makes up roughly 4% of the UK’s total electricity generation, and about 8% of “green” power generation, most of it coming from Drax.

See the analysis in E3G: The UK’s clean power mission: Delivering the prize

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South Korea to shrink biomass energy subsidies after criticism over link to deforestation

By Victoria Milko
Associated Press
January 21, 2025
Category: Carbon, Climate & Bioenergy
Region: International

JAKARTA, Indonesia — The South Korean government will reduce subsidies for biomass energy after rising domestic and international criticism of its link to deforestation. Environmental activists generally applauded the reforms but criticized loopholes and slow timelines for phasing out the subsidies. … Biomass power … is growing globally as countries accelerate their transition to use cleaner energy — even though many scientists and environmentalists see it as problematic. In South Korea, it’s the second-largest source of renewable energy. South Korea has subsidized biomass energy with millions of dollars for more than a decade via their renewable energy certificates program. South Korea’s biomass power industry has structured its business model around importing large volumes of wood pellets at lower prices from forest-rich nations. …Experts said South Korea’s policy change could signal a shift in how countries consider and incorporate biomass as part of their own energy transitions.

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Finnish forests were a source of emissions in 2023, show preliminary data

By Aleksi Teivainen
Helsinki Times
January 17, 2025
Category: Carbon, Climate & Bioenergy
Region: International

Forests in Finland were a source of emissions in 2023 because trees did not sequester enough carbon dioxide from the atmosphere to offset emissions from the soil, indicate preliminary data from the greenhouse gas inventory released on Wednesday by Natural Resources Institute Finland (Luke). The data suggest that forests added 1.12 megatonnes of carbon-dioxide equivalents to the atmosphere in 2023, accounting for roughly 10 per cent of net emissions from the land-use sector. Luke estimates based on the latest data that forests became a source of emissions in 2021. The entire land-use sector, meanwhile, turned from a sink into an emitter in 2018 as a result of increasing logging, growing emissions from forested peatlands and contraction of the sink of mineral soil. The carbon sink of the sector had begun to contract in 2010.

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Logged tropical rainforests can still be valuable for biodiversity

University of Oxford
January 10, 2025
Category: Carbon, Climate & Bioenergy
Region: International

A research team led by the University of Oxford has carried out the most comprehensive assessment to date of how logging and conversion to oil palm plantations affect tropical forest ecosystems. The results demonstrate that these have significantly different and cumulative environmental impacts – and that logged forests should not be immediately ‘written off’ for conversion to oil palm plantations. The findings have been published in Science… In general, logging mostly impacted factors associated with forest structure and environment. Since logging in the tropics is generally selective – focusing on trees with particular commercial qualities – even low levels of logging alter the system. Converting these logged forests to oil palm plantations, however, has greater impacts on biodiversity that go beyond those of logging alone.

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Health & Safety

MDF factory faces huge fines after workers seriously injured in accidents

STV
January 15, 2025
Category: Health & Safety
Region: International

A company that runs a Scottish chipboard factory is facing huge fines after admitting its safety failings led to two separate industrial accidents that caused serious injuries to two workers within six months. West Fraser (Europe) Ltd, formerly known as Norbord, pleaded guilty to multiple breaches of health and safety at its plant in Cowie, Stirlingshire. A 29-year-old utility operator suffered serious injuries and permanent impairment after his leg became entangled in moving parts at the bottom of a storage bunker in January 2020. A 39-year-old scaffolder plunged more than 13 feet to the ground after a rusty plate gave way on a rooftop gantry in July the same year. The factory, a major employer in the Falkirk, Stirling and Alloa areas for over 50 years, was originally known as Caberboard. …It is now in Canadian ownership. …Sheriff Keith O’Mahony deferred sentence until January 24 to determine the level of fine in the present case.

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