In 2025, Russia saw a sharp decline in logging output. Total volumes of timber for sale fell to 176 million cubic meters, 10% lower than the previous year. This is the worst figure since the start of Russia’s full-scale aggression against Ukraine and 30% below levels from ten years ago.
The crisis in Russia’s forestry industry is systemic. On one hand, international sanctions hit the sector hard, significantly reducing demand for timber and forcing suppliers to alter their logistics chains. This led to higher timber prices and made harvesting unprofitable. Kremlin calculations and slogans about domestic demand have been ineffective—Russians do not need expensive firewood in such quantities. Nikolay Ivanov, vice president of the trading company Segezha Group, believes that the Chinese market will also not save Russian loggers.
“For China, the EU market is partially closed for many products; it has major trade difficulties with the U.S. and domestic construction problems. Therefore, export demand is falling and will continue to decline,” he said.
Another critical factor for Russia’s logging industry is the wear and tear of harvesting machinery. Specialists estimate that by 2028, 90% of imported harvesters and forwarders will stop working. Russian machinery manufacturers cannot offer replacements. Currently, Russia is producing only a few samples of such machines, while demand is expected to be 3,500–10,000 units over the next two to three years.
At the same time, the Kremlin, seeking funds for the war against Ukraine, plans to increase lease rates for forest plots by 40–50% in 2026, which further discourages forestry workers. As a result, the logging crisis is expected to deepen and spread to related sectors, including the pulp and paper industry and wood processing.
