EU Wood Pellet Imports Up 16.4%; Vietnam, Thailand Boost Supply
The European Union's extra-bloc wood pellet imports increased by 16.4% in the first seven months of 2026, with the total cost rising by nearly 24%. Asian suppliers, notably Vietnam and Thailand, significantly expanded their market share.
EU Wood Pellet Imports Accelerate
The European Union's imports of wood pellets from outside its customs bloc increased by 16.4% during the first seven months of 2026. This surge in volume was accompanied by a nearly 24% rise in the total import bill. The increased demand comes as Europe approaches its winter heating season, facing tight domestic feedstock supplies and elevated residential energy prices.
This recovery gained momentum in late spring, with extra-EU arrivals reaching 461,622 tonnes in May 2026, indicating a strong return of import growth before the primary heating period.
Asian Suppliers Gain Market Share
While the United States remains the primary external supplier of wood pellets to the European Union, a notable shift in supply geography is emerging from Asian nations. Vietnam and Thailand collectively delivered more than 627,000 tonnes of wood pellets to the EU between January and July 2026.
This significant volume from Southeast Asia is redrawing established trade routes for wood energy products, particularly as European markets seek diverse sourcing options amidst global supply chain adjustments and heightened demand.
Opportunities for Southeast Asian Exporters
The escalating demand and shifting supply patterns present concrete opportunities for wood pellet manufacturers and exporters in Southeast Asia, particularly in Vietnam and Thailand. As European buyers seek to diversify their supply chains and secure feedstock ahead of winter, these countries are positioned to increase their export volumes and potentially command better prices.
Manufacturers should prepare for sustained demand by focusing on production capacity and optimizing logistics to meet European market requirements. This trend could encourage further investment in wood pellet production facilities and export infrastructure across the region, enhancing Asia's role in global wood energy supply.
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