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Speaker 1: Reilly and Bread read twenty four minutes away from seven

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Speaker 1: now a local tim exporters. They are for now breathing

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Speaker 1: asigh of relief. The global timber industry will be immune

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Speaker 1: from sweeping tariff and posed on most of the world

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Speaker 1: last week. This is to help America with home building

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Speaker 1: and they successfully lobbied Washington for this. He said, an

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Speaker 1: export about three hundred and sixty million dollars worth of

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Speaker 1: radiator pine and to the US last year about six

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Speaker 1: percent of our overall timber exports. Wood process As and

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Speaker 1: Manufacturers Association CEO Mark Ross, he looks after our wood

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Speaker 1: industry and joins me now high Marc.

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Speaker 2: Good day, Ryan, and thanks bringing on your show.

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Speaker 1: Good to have you here. So what first of all,

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Speaker 1: were you surprised that there was an exemption given?

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Speaker 2: Oh, lord, not totally surprised. One of the main reasons

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Speaker 2: they've got a Section two to three investigation on which

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Speaker 2: is looking at too many of effects imports of timber

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Speaker 2: and lover have on the United States supply chain. So

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Speaker 2: that's need to just close off on the first of April.

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Speaker 2: In a way of submission, that inquiry is going through

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Speaker 2: to probably November. So in the interim they've put this

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Speaker 2: exemption on timber and number being imported into the US.

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Speaker 2: And also our power of the lobbyists in America who

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Speaker 2: actually helping our cause, local home building associations and the

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Speaker 2: Building Materials Alliance. They're lobbying White House hard to make

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Speaker 2: sure that imported some of that can still come into

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Speaker 2: America as a means of keeping house prices done.

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Speaker 1: This is our third light. I mean, should we need

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Speaker 1: to pay a tariff? Well, actually, if they do put

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Speaker 1: the tariffs back on and they take away this exemption,

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Speaker 1: presumably we would be in a better position than others

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Speaker 1: because our tariff rates only ten percent.

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Speaker 2: Yeah, I'd hopes so too. In the products we supply

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Speaker 2: the actually need. Look, there's no ponustrating out processing in

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Speaker 2: men in America, so we supply products that go straight

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Speaker 2: into do it yourself from the home market. And the

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Speaker 2: high quality products are the durable and the appearance grade products,

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Speaker 2: and they love them and they really want us to

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Speaker 2: keep exporting those. So so, yeah, just staying the market's

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Speaker 2: going thirty percent in the last five years, so we're

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Speaker 2: really hoping that, you know, we're not the target the

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Speaker 2: Canadians and Mexico eighty percent of the US imported kimber market.

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Speaker 2: It's sort of the targets and we're hoping we make it.

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Speaker 2: You can slip by, but it's a long shot that

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Speaker 2: for now here.

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Speaker 1: Yeah, would that be your main competitor would be the

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Speaker 1: Canadians going into the US?

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Speaker 2: Oh, I know that not on the products that we export,

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Speaker 2: but just generally. You know, they export a lot of

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Speaker 2: lumber into the US, and you know, Chump's having a

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Speaker 2: bit of a go of late.

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Speaker 1: Yeah, it doesn't like Canada. I don't know what they've

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Speaker 1: done wrong, but something pretty bad. All right, So this

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Speaker 1: is all kind of fine for you guys at the moment.

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Speaker 1: You'll you'll watch and see how it goes. What about

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Speaker 1: the six percent that we do export there? If you

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Speaker 1: needed to read direct it would that be relatively easy

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Speaker 1: to do because I know number one is trying to

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Speaker 1: write Number two is Australia and then number three is

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Speaker 1: the US.

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Speaker 2: Yeah, and it'd be pretty hard. The companies that export

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Speaker 2: there is about fifteen to eighteen New Zealand businesses. They've

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Speaker 2: worked really hard to get those markets and they've actually

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Speaker 2: spent a lot of time on the ground building them up,

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Speaker 2: and some of them are actually sort of unique to

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Speaker 2: the US, so it'd be really hard to substitute those markets.

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Speaker 2: You know, we're doing a lot more to Asia now,

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Speaker 2: to parts of Vietnam and Philippines for example, But yeah, yeah,

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Speaker 2: we'd love to retain it the US market, and if

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Speaker 2: we can main tariff exempt, it'll be great.

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Speaker 1: And what sort of stuff are we actually sending you

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Speaker 1: mentioned like, is it home DIY stores that kind of thing.

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Speaker 2: Yeah, yes, it's like a parents grade timber. It's for example,

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Speaker 2: there's products going in like prime treated, terrible pain sightings

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Speaker 2: and tromboard, so it's quite specialist construction products. And you

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Speaker 2: know durability when they've been treated as thairty as clusters

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Speaker 2: us as the local cedar and redward products which are

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Speaker 2: so durable and don't take the treatment so well. So

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Speaker 2: and also we do long clear board, so we prone

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Speaker 2: our pine trees. We got a great story to tell

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Speaker 2: about a sustainable pine plantations, but that's another story. But

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Speaker 2: you leave it and you get long clear timber, so

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Speaker 2: they don't have any knots in their parents' grade and

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Speaker 2: they look great on the houses and that you can

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Speaker 2: see that around your celland as well. Yeah, we've just

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Speaker 2: got a real niche market there.

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Speaker 1: Brilliant long mate. Last Mark, thanks for coming on the show.

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Speaker 1: That's Mark Ross, CEO of the Wood Processes and Manufacturers

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Speaker 1: Association New Zealanders. For more from Hither Duplessy Allen Drive,

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Speaker 1: listen live to news talks it'd be from four pm weekdays,

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Speaker 1: or follow the podcast on iHeartRadio