Floor area of China’s new wood projects declines in 2019
Canada Wood China (CW China) released the Tracking Wood Project Starts Report in 2019 Q2, showing the floor area of the new wood project starts in 2019 Q2 shrunk 33.6 percent from Q1. The total floor area in the first half-year of 2019 dropped 15.8 percent compared to the same period in 2018, amid government policies designed to demolish illegal buildings for a better environment.
1.Building types of new projects
Resorts represented the most significant share of new projects in both 2019 Q1 and Q2, accounting for 45.3 percent and 41.1 percent respectively, down from 49 percent in 2018. Residential building projects were second, accounting for 22.9 percent and 27.7 percent in 2019 Q1 and Q2 respectively, compared to 26 percent in 2018. The ratio of buildings for transportation remained the smallest, accounting for 2.6 percent in 2019 Q2.
A new category called “others” was added in Q2 2019, as more wooden buildings such as public toilet projects emerged in the market. It accounted for 6.5 percent in 2019 Q2.
2.Construction area of newly started projects
New wood frame constructions started in Sichuan decreased by 36.6 percent in Q2 2019. Guangdong and Shandong provinces posted declines of 23.7 and 20.4 percent respectively from the previous quarter. Jiangsu Province, overtaking Sichuan, became the leading province in new wood projects among the target provinces, while Hebei remained last in 2019 Q2.