Indonesian Plywood Industry: Navigating Geopolitical Storms and Global Regulations

• 27 May 2025, 12:10

May 27, 2025

Jakarta, APKINDO News-Indonesia's plywood industry, a vital pillar of the nation's non-oil and gas exports, stands at a crossroads. Amid global economic turbulence and an increasingly stringent trade regulatory landscape, the industry's ability to adapt and innovate will be key to its sustainability and competitiveness. This opinion piece will delve into the overall export performance, raw material and production situation, dynamics in various key markets, and a series of looming regulatory challenges and trade issues, concluding with crucial anticipatory measures for industry players and the government.

Indonesian Plywood Export Performance: Proven Resilience Amid Fluctuations

Macroeconomically, Indonesia's plywood export performance (HS Code 4412) demonstrates commendable resilience, albeit not immune to global market dynamics. In the January-March 2025 period, total export volume reached 925,054 M3 valued at USD 441,527,151. This figure reflects a modest but meaningful year-on-year (YoY) increase of 2.3% in volume and 2.4% in value, compared to the same period in 2024. This increase, while moderate, indicates positive momentum at the start of the year, but caution is still warranted given the frequent monthly fluctuations.

Monthly data, however, shows a slight contraction. Export volume in March 2025 was recorded at 320,389 M3, a 3% decrease compared to February 2025 (326,601 M3). Furthermore, compared to March 2024, March 2025 export volume also showed a more significant decline of 9%. These fluctuations, observed across most market regions, such as a 7% decrease in ASEAN and a 19% decrease in Korea in March 2025 compared to February 2025, underscore market sensitivity to various external factors. However, amidst this downward trend, some markets like Taiwan and Australia actually showed an increase in export volume of 12% and 13% respectively, offering a glimmer of hope for potential market diversification.

Raw Material and Production Situation: A Crucial Balance Between Availability and Efficiency

The availability and stability of raw material supply are vital foundations for the sustainability of the primary plywood industry. Data shows that during the January-December 2024 period, total raw material absorption reached 63,693,399 M3 out of a planned 88,510,235 M3, achieving 71.96% of the target. The main source of raw materials is still dominated by IUPHHK-HT (Industrial Timber Plantation Forest) with an absorption of 50,205,480 M3 (87.73% of the plan), followed by IUPHHK-HA (Natural Forest) at 2,993,744 M3 (73.07% of the plan). The contribution of wood from community forests is also significant, accounting for 8,553,276 M3 (41.64% of the plan), while roundwood imports were only 202,815 M3 (94.92% of the plan). This data confirms the industry's dependence on domestic supply, particularly from plantation forests.

However, entering the January-April 2025 period (tentative), there is a significant downward trend in raw material absorption. Total absorption only reached 16,330,703 M3 out of a planned 71,519,072 M3, with a much lower achievement rate of 22.83%. This sharp decline indicates serious challenges in supply or industry absorption at the beginning of the year. In addition to volume, pricing issues are also a concern. The price of Meranti logs in Java is currently around IDR 3 million per M3, an increase of about 10-15% from one or two months prior. A similar situation is occurring with Sengon logs in East and Central Java, where stocks are scarce, forcing factories to seek supplies as far as West Java, and this difficulty is expected to persist until June. This situation naturally squeezes profit margins and production efficiency.

From the perspective of plywood and LVL production, the data also reflects dynamics that need careful consideration. In the January-December 2024 period, total production reached 3,500,255 M3 from 186 factories, with an average monthly realization of 291,688 M3. Java + Bali was the largest production center, contributing 2,574,994 M3 (73.57% of total production), followed by Kalimantan with 668,877 M3 (19.11%). However, in January-April 2025 (tentative), total production decreased to 900,475 M3 from 143 factories, with an average monthly realization of 225,119 M3. This 22.82% decrease in average monthly realization occurred in most regions, with Sumatra experiencing the most drastic decline (-34.98%), followed by Kalimantan (-25.23%) and Java + Bali (-22.97%). Interestingly, Eastern Indonesia showed a production increase of 37.04% in 2025 compared to 2024, although its overall contribution remains small (3.61% in 2025). The decline in production in these major centers indicates problems that need to be addressed immediately, both in terms of raw material supply and operational efficiency.

Global Market Dynamics: Opportunities and Obstacles in Various Parts of the World 

US, Canada & Mexico Markets: Between Dominance and Pricing Challenges

The United States remains a key and strategic market for Indonesian plywood exports. Data shows significant fluctuations in both volume and value of exports during the 2020-2024 period. Export volume started at 859,964.30 M3 in 2020, surged to a peak of 1,327,345.15 M3 in 2021, then declined to 748,108.16 M3 in 2023, before recovering to 951,496.17 M3 in 2024. Similar fluctuations were observed in export value, which peaked at USD 676,893,805.43 in 2021, corrected to USD 387,582,590.07 in 2023, and rebounded to USD 492,246,796.39 in 2024. The average price also showed interesting movements; from USD 401 per M3 in 2020, it jumped to USD 736 per M3 in 2022, then slightly corrected to USD 518 in 2023 and USD 517 in 2024. For the January-March 2025 period, export volume was recorded at 269,359.66 M3 valued at USD 138,841,030.11, with an average price of USD 515 per M3. Although there was a month-on-month (MoM) decrease from February to March 2025 (volume -8%, value -7%), quarterly (Q1 2025 compared to Q1 2024), there was a 25% increase in both volume and value, indicating a significant recovery at the beginning of the year.

Indonesia successfully became the largest supplier of plywood to the United States in January-March 2025 with a total volume of 285,586 M3, accounting for 21.56% of total US imports. This position surpasses Vietnam (239,544 M3, 18.08%), Brazil (163,799 M3, 12.36%), Canada (136,257 M3, 10.28%), and Russia (63,896 M3, 4.82%). This dominance indicates that Indonesian products have strong competitiveness in the US market, although the average export price from Indonesia to the US (USD 480/M3) is still below some competitors like Vietnam (USD 656/M3) and Canada (USD 829/M3). The positive growth in RV sales in the United States, with April 2025 shipments reaching 35,375 units (+3.4% YoY) and a total of 133,223 units (+10.9% YTD), is also a positive indicator for plywood demand, considering plywood's use in the RV industry.

Meanwhile, the Canadian market showed mixed performance. Indonesian plywood exports to Canada in Q1 2025 were recorded at 1,716 M3 with a value of USD 1.25 million, showing a 17% increase in volume and a 10% increase in value compared to Q1 2024. However, the average price decreased from USD 776/M3 to USD 728/M3 (-6%), reflecting pricing pressure in the market. On a monthly basis (February to March 2025), volume decreased by 17% and value by 23%, with prices falling from USD 771 to USD 714/M3. In terms of domestic demand, Canada showed high housing completion performance: total units in March 2025 reached 1.549 million, relatively stable compared to the 2024 trend, indicating a continuous need for building materials, including wood panel products. In contrast, the Mexican market experienced a drastic weakening in export performance. In Q1 2025, Indonesian exports only reached 7,894 M3 valued at USD 2.71 million, a decrease of 55% in volume and 63% in value compared to Q1 2024. The average price also plummeted from USD 412/M3 to USD 344/M3 (-16%). This decline indicates a decrease in demand or erosion of competitiveness by exporters from other countries such as Brazil and Vietnam, amidst global inflation and the weakening of the local currency in Mexico.

Europe & UK Markets: Regulatory Pressure and Declining Demand

Indonesian plywood exports to the European Union and the United Kingdom have shown a consistent downward trend over the past five years, a worrying sign for the industry. For the UK market, Indonesian plywood exports in Q1 2025 amounted to only 10,829 M3 valued at USD 7.34 million. This figure represents a significant decrease of 18.8% in volume and 15.3% in value compared to Q1 2024 (13,334 M3 and USD 8.66 million). This downward trend becomes even clearer when compared to 2018, when exports to the UK reached 22,260 M3. In terms of price, although the average price briefly rose from USD 619/M3 to USD 704/M3 in early 2025 (+13.7%), it then weakened again to USD 675/M3 in March (-4.1%), reflecting unstable demand and pressure from the UK's domestic market, which has not fully recovered post-Brexit and global economic turmoil.

Meanwhile, Indonesian plywood exports to the European Union (EU-28 minus UK) tended to be more stable in the short term, with Q1 2025 volume at 19,277 M3 valued at USD 12.58 million, a slight increase from 18,724 M3 in 2024. However, a long-term perspective shows a drastic decline of almost 45% in volume when compared to five years ago (2018: 34,884 M3). Export prices also decreased, from USD 756/M3 at the beginning of the year to USD 619/M3 in March 2025, a drop of nearly 14.9%. These price fluctuations are caused by persistently weak market demand and pressure from the increasingly stringent regulatory environment within the European Union, particularly concerning environmental and sustainability issues.

In terms of regulation, the European market will increasingly be characterized by technical challenges and tariff policies that Indonesian exporters need to anticipate. Firstly, Shorea spp. (Meranti) has been proposed for inclusion in CITES Appendix II, and although it was not discussed at COP 2025, the potential for discussion in 2026 remains open. Secondly, the European Union will implement anti-dumping duties starting June 6, 2025, with rates reaching 25.1% for Pitzhou Jiangshan Wood Co., Ltd, and 65.4% for other exporters, which could set a precedent for products from other countries. Lastly, revisions to the EUDR (EU Regulation 2023/1115) are currently being discussed, including technical clarifications in Annex I. Indonesia and Malaysia have been categorized as "standard risk" by the EU, while China and the USA are classified as "low risk," which we believe is highly unfair, given that Indonesia already possesses robust timber legality systems such as SVLK and FLEGT License.

Middle East Market: Geopolitical Dynamics and Mega Projects

The plywood market in the Middle East and Africa region exhibits complex dynamics, heavily influenced by global economic uncertainty and ongoing geopolitical situations. In the January–March 2025 period, Indonesian plywood exports to this region showed an upward trend compared to early 2024. However, on a year-on-year (YoY) basis, export volume in March 2025 actually decreased by 18.8% compared to March 2024. Nevertheless, in terms of export value, there was an increase of 18.56%, indicating that the average unit export price tended to rise. These fluctuations are significantly influenced by ongoing geopolitical tensions in Gaza, Syria, and Ukraine-Russia, as well as the indirect impact of the trade war between the US and China, which also puts pressure on the flow of goods and investment in the region.

In March 2025, Indonesian plywood export volume to the Middle East increased significantly month-to-month (MtM) by 27.87%, while export value nearly doubled (+99.52%) compared to February 2025. However, most major destination countries such as Saudi Arabia, United Arab Emirates (UAE), Jordan, Iraq, and Kuwait experienced a decrease in export volume, although their export values continued to increase, indicating a rise in average selling prices. Two countries that showed the most positive trends were Iraq and Yemen, where exports increased in both volume and value, on both a monthly and annual scale. This indicates specific pockets of demand that need to be optimized.

Saudi Arabia itself is expected to remain a regional growth hub, with the plywood and laminate market valued at USD 2.2 billion in 2023, projected to grow at a CAGR of 3.5% until 2029. Massive developments in Riyadh as part of the Vision 2030 program have driven demand for engineered wood products such as MDF, HPL, and LPL, which could be an opportunity for the Indonesian plywood industry to diversify its products. On the other hand, global oil prices, which briefly fell below USD 70 per barrel, as well as high inflation rates in countries like Turkey (37.86%) and Lebanon (14.2%), put additional pressure on purchasing power and regional economic stability, indirectly affecting plywood demand from Indonesia.

Asia-Oceania Markets (Korea, Taiwan, India, Australia): Untapped Potential

In the Asia-Oceania region, markets show diverse dynamics and opportunities that have not been fully exploited. In January 2025, Korea imported a total of 156,175 M3 of plywood with a total value of USD 73,121,687, at an average price of USD 468.20/M3. Indonesia was the largest supplier with a volume of 36,573 M3 and a value of USD 19,399,148, at an average price of USD 530.43/M3. Historically, Korea's average monthly import volume from Indonesia in 2024 was 34,389 M3 at USD 531.75/M3, and in 2023 was 32,792 M3 at USD 558.18/M3. In May 2025, the demand for plywood in the Korean market remained stable, but prices decreased by 7%. For floor base requirements, Korea still largely uses Meranti wood, which underlines the importance of maintaining the supply and legality of this wood species.

In Taiwan, total plywood imports in January-February 2025 reached 127,203 M3 with a value of USD 49,232,980, and an average price of USD 387.04/M3. Indonesia was one of the main suppliers with a volume of 32,680 M3 and a value of USD 16,333,118, at an average price of USD 499.79/M3 for the same period. Taiwan's average monthly imports from Indonesia in 2024 were 13,192 M3 at USD 501.98/M3, and in 2023 were 12,170 M3 at USD 523/M3. The Taiwan plywood market in May 2025 was observed to be stable with no changes compared to April 2025, indicating reliable demand stability.

However, the Indian market remains a major challenge. India imported 15,578.84 tons of Indonesian plywood valued at USD 8.60 million from January to April 2025. This figure only accounts for 1% of Indonesia's total plywood exports, a very small percentage given India's massive market potential. The main problem is the lack of clarity regarding the implementation of Bureau of Indian Standards (BIS) certification for plywood products from Indonesia. This regulatory uncertainty creates a serious non-tariff barrier, preventing Indonesian products from competing optimally in the Indian market. Meanwhile, the Australian market shows a positive trend, with a 13% increase in export volume in March 2025 compared to February 2025, indicating potential growth that needs to be continuously explored.

Japanese Market: A Traditional Partner Demanding Adaptation

Japan is one of the main export destinations and a traditional partner for the Indonesian plywood industry. In 2024, Indonesia exported a total of 634,088 M3 of plywood to Japan, with an average monthly volume of 52,841 M3. This figure shows an increase from 2023, which recorded total exports of 634,088 M3 with a monthly average of 52,841 M3. However, compared to 2022, there was a slight decrease from total exports of 634,088 M3 with a monthly average of 52,841 M3. Japan as a whole imported 1,984,395 M3 of plywood in 2024, with a monthly average of 165,366 M3.

The trend of Japanese plywood imports from Indonesia in January-March 2025 shows a volume of 168,572 M3. Indonesian export volumes in January 2025 were 68,377 M3, in February 2025 were 52,310 M3, and in March 2025 were 58,326 M3. Compared to the same period in 2024, import volumes from Indonesia experienced a slight decrease of -0.5%. Historically, Indonesia has been one of the main suppliers of plywood to Japan over the last decade (2015-2024), with the highest import volume occurring in 2016 at 903,319 M3.

Overall, total Japanese plywood imports in January-March 2025 were 505,628 M3. Fluctuations in import volume are clearly visible in the monthly chart, where Indonesia and Malaysia consistently remain major contributors. The Japanese market is known for its high quality standards and preference for specific products, so the Indonesian industry needs to continuously adapt to these specific needs, including in terms of product specifications and relevant certifications.

Indonesian Domestic Market: A Buffer Amidst Global Uncertainty

The Indonesian domestic market plays a crucial role as a primary buffer for the national plywood industry, especially amidst global export market uncertainties. The Indonesian economy showed significant resilience in Q1 2025, growing 4.87% (year-on-year) amid global turmoil. Household consumption was the main driver of growth, increasing by 4.89%, supported by increased mobility, religious holidays, and various government stimuli. These stimuli include holiday allowances (THR), electricity and toll tariff discounts, government-borne VAT (PPN DTP) for property, and PPh 21 DTP in labor-intensive sectors, which collectively boosted public purchasing power and economic activity.

The Manufacturing Industry sector, which includes the plywood industry, grew by 4.55%, while the Wholesale and Retail Trade sector grew by 5.03%, indicating healthy economic activity domestically. The unemployment rate also showed a positive trend, decreasing from 4.82% to 4.76%, with the creation of 3.59 million new jobs. This stable macroeconomic condition creates a conducive environment for plywood demand in the domestic market.

The domestic market relatively improved after the Eid holiday, with lower supply than demand driving prices up. This provides some relief for producers amidst export market pressures. However, one of the biggest problems still haunting the domestic market is the large number of small factories in Java that still sell products without VAT. This practice creates unhealthy competition and disadvantages large, tax-compliant factories, thus requiring stricter law enforcement to create a fair and transparent business climate.

Regulatory Challenges and Trade Issues: Storms on the Horizon for the Plywood Industry

The Indonesian plywood industry now faces a series of regulatory challenges and trade issues that could become a major storm, threatening export performance and industry sustainability. A deep understanding and rapid response are key to navigating this complexity.

1. BIS (Bureau of Indian Standards) Certification in India: Uncertainty Hindering Market Access

One of the serious unresolved obstacles is the lack of clarity regarding the implementation of Bureau of Indian Standards (BIS) certification for plywood products from Indonesia. India, as a market with enormous growth potential due to its massive population and developing infrastructure projects, should be a promising export destination. However, this regulatory uncertainty creates a significant non-tariff barrier. Without clear and affordable BIS certification, Indonesian plywood products struggle to meet Indian import requirements, thereby hindering our products' ability to compete optimally in that market. This is reflected in Indonesia's plywood export contribution to India, which is only about 1% of our total exports, a very small figure compared to the potential. The government and industry associations need to continue intensive bilateral negotiations to find solutions, including the possibility of recognizing existing Indonesian certifications or facilitating easier and more efficient certification processes for exporters.

2. EU Deforestation Regulation (EUDR): Threat of Discrimination and Export Decline

The EU Deforestation Regulation (EUDR), which will come into effect in December 2025, is one of the most significant regulatory challenges. This regulation strictly prohibits the import of commodities, including timber, associated with deforestation or forest degradation into the European Union market. Companies are required to trace timber back to its specific harvesting location, ensuring verifiable legality and sustainability. The crucial problem is the coalition's decision to categorize Indonesia as "standard risk" while the United States and China are categorized as "low risk." This is a highly unfair and discriminatory assessment, considering that Indonesia already has robust timber legality verification systems such as SVLK (Timber Legality Verification System) and FLEGT License, which are internationally recognized as strong instruments to ensure the legality and sustainability of timber sources.

The implications of this "standard risk" classification are substantial. Projections indicate that EUDR could significantly reduce timber imports from high-deforestation risk countries like Indonesia, with a potential decline of 25-38% by 2050. This regulation also poses socio-economic risks for small farmers and indigenous communities who may lack the resources or capacity to comply with strict traceability requirements. The government needs to intensify dialogue with the European Union to reconsider this classification. Emphasis should be placed on the successful implementation of SVLK and FLEGT License as proof of Indonesia's commitment to legality and sustainability, and proactively propose that Indonesia be reclassified as "low risk" based on existing evidence.

3. Meranti CITES Appendix II Issue: Threat of Trade Restrictions on Key Species

The issue regarding the European Union's proposal to include Shorea spp. (Meranti) in CITES Appendix II is a latent threat that needs to be watched. Although it has been confirmed that this issue will not be discussed at COP 2025, the potential for discussion in 2026 remains open. If this proposal is approved in the future, it would severely restrict the trade of Meranti, which is one of the main and vital timber species for Indonesia's plywood industry. This restriction would not only impact export volumes but also domestic raw material availability, given that Meranti is a crucial component in plywood production.

The government and industry associations must continue to closely monitor developments regarding this CITES proposal. A crucial anticipatory step is to prepare strong and comprehensive scientific data to refute unsubstantiated claims regarding Meranti's conservation status. Furthermore, active campaigns on sustainable forest management practices already implemented in Indonesia, including conservation and rehabilitation efforts, need to be continuously promoted in international forums to demonstrate Indonesia's commitment to the sustainability of forest resources.

4. US Anti-Dumping and Countervailing Duty Allegations: Threat of Damaging Additional Tariffs

The most urgent and potentially damaging threat currently comes from the United States. On May 22, 2025, new anti-dumping (AD) and countervailing duty (CVD) petitions were formally filed by the Coalition for Fair Trade in Hardwood Plywood, a group of US producers, against imports of hardwood and decorative plywood from China, Indonesia, and Vietnam. This is a very serious development that requires a rapid and coordinated response.

The petition alleges extremely high dumping margins, with Indonesia accused of dumping at 202.8%. This figure far exceeds the allegations against Vietnam (112.33% to 133.72%) and even China (474.2%). The core argument of the petition is that imports from the targeted countries benefit from various government subsidy programs, including grants, subsidized inputs, tax breaks, and preferential loans. These alleged subsidies, coupled with sales at below "normal value," are claimed to have caused "material injury" to the US domestic industry, manifesting as declines in production, shipments, profits, and employment.

The investigation process will begin with the US Department of Commerce (DOC) on June 11, 2025, followed by a preliminary conference by the International Trade Commission (ITC) on June 12, 2025. It is important to note that importers of the disputed goods are legally responsible for any potential AD/CVD duties that may be imposed. Past experience, such as the DOC's July 2023 ruling that plywood exported from Vietnam, if produced using Chinese core veneers, was circumventing existing trade remedies, resulted in the imposition of 183% anti-dumping duties and 23% countervailing duties on non-cooperative Vietnamese companies. This is a highly alarming precedent and should serve as a stark warning to the Indonesian plywood industry. The scope of this investigation is broad, covering hardwood and decorative plywood, defined as multi-layered panels consisting of two or more wood veneers, with or without a core. The face and/or back veneers must consist of hardwood, softwood, or bamboo, covering products that meet the American National Standard for Hardwood and Decorative Plywood, ANSI/HPVA HP-1-2024, regardless of surface coatings, coverings, or minor processing.

Anticipatory Measures: Strategies Towards Sustainability and Competitiveness Amidst the Storm

To face this storm of complex regulatory challenges and trade issues, Indonesian plywood entrepreneurs/industry and the government must take coordinated, comprehensive, and strategic anticipatory steps. This is no longer just a response, but a transformation towards sustainable global competitiveness.

1. Intensive Diplomacy and Advocacy: Building a Strong Narrative

The government must intensify diplomatic and advocacy efforts in various international forums. For the BIS India certification issue, bilateral negotiations must continue to find practical solutions, including the possibility of recognizing Indonesian standards or facilitating more efficient certification processes for exporters. Regarding EUDR, the government needs to aggressively advocate for a review of Indonesia's "standard risk" classification. A strong narrative must be built based on the successful implementation of SVLK and FLEGT License, which are internationally recognized as proof of Indonesia's commitment to legality and sustainability. Indonesia must proactively propose to be reclassified as "low risk" by presenting undeniable data and evidence.

For the Meranti CITES issue, the government and industry associations must continue to closely monitor all developments and prepare strong and comprehensive scientific data to refute unsubstantiated claims regarding Meranti's conservation status. Campaigns on sustainable forest management practices already implemented in Indonesia, including conservation and rehabilitation efforts, need to be continuously promoted. The most urgent is to address the US anti-dumping and countervailing duty allegations. The government, through the Ministry of Trade and the Ministry of Foreign Affairs, must immediately form a rapid response team consisting of international trade law experts, economists, and industry representatives. This team must prepare complete and accurate data on production costs, selling prices, and prove the absence of harmful subsidies. The Vietnamese experience must serve as a valuable lesson; the industry must ensure that no practices can be categorized as "circumvention" of duties in the future.

2. Market and Product Diversification: Reducing Dependence and Increasing Value

While the US and Japan are key markets, the industry needs to seriously consider and strengthen market diversification. Exploring and strengthening alternative markets such as the Middle East, Australia, and countries in Asia-Oceania that show growth potential can reduce the risk of over-reliance on one or two major markets. In addition to geographical diversification, the development of high-value-added products is imperative. This includes the production of plywood with special certifications (e.g., for specific applications or higher environmental standards), advanced processed products (such as furniture components or finished panels), or other environmentally friendly products. This strategy will not only reduce dependence on commodity products but also increase competitiveness and profit margins in an increasingly stringent and demanding market.

3. Improving Internal Efficiency and Competitiveness: The Foundation of Competitive Advantage

Industry competitiveness is highly determined by internal efficiency. The industry must invest in more modern and efficient production technologies to reduce operational costs and improve product quality. The government needs to ensure a stable and affordable supply of raw materials, including addressing the scarcity of Sengon logs and the rising price of Meranti, which puts pressure on producers. Stricter law enforcement against the practice of selling products without VAT in the domestic market is also crucial to create fair and healthy competition. Furthermore, the government needs to facilitate access to funding and provide incentives for the industry to increase production capacity, adopt green technologies, and ensure compliance with evolving international standards.

4. Strengthening Supply Chain and Traceability: Meeting Global Demands

Given regulatory demands such as EUDR, the industry must build and ensure robust and transparent raw material traceability systems, from forest to finished product. This includes close cooperation with raw material suppliers, especially from community forests, to ensure the legality and sustainability of timber sources. The development of integrated information systems to monitor the movement of timber and timber products along the supply chain can be a significant competitive advantage. These systems will not only help with regulatory compliance but also improve operational efficiency and consumer trust.

5. Multi-Stakeholder Collaboration: Collective Strength in Facing Challenges

Synergy between the government, industry associations (such as APKINDO), academia, and non-governmental organizations is essential to face these complex global challenges. This collaboration can include joint research to develop product and process innovations, the development of higher industry standards, and joint advocacy campaigns at both national and international levels. A united front supported by strong data and arguments will be more effective in responding to unfair trade allegations and ensuring that Indonesia's position as a responsible plywood producer is recognized globally.

Conclusion: Looking Towards the Future with Realistic Optimism

The Indonesian plywood industry stands at a crossroads full of challenges. However, with a long history and abundant resource potential, this industry has the capacity to not only survive but also thrive. With the right strategy, strong execution, and close collaboration among all stakeholders, Indonesia can turn every challenge into an opportunity. This is a crucial moment for the Indonesian plywood industry to demonstrate its resilience, adaptability, and commitment to sustainability, ensuring its position as a key player in the ever-changing global market.