KUCHING: Malaysia is a key supplier of wooden office furniture and wooden furniture parts to Japan. In October 2023, Malaysia exported 21,819 units of wooden office furniture (HS 940330) worth RM703,445 to Japan and was the second largest supplier of the product after China.
China’s shipments of wooden office furniture totalled 127,105 units valued at RM4.1 million, out of the total 195,645 units worth RM6.31 million imported by Japan for the month under review, according to Japan Finance Ministry data published by International Tropical Timber Organisation (ITTO) Tropical Timber Report (January 1-15, 2024). Other main suppliers to Japan are United Kingdom (UK) and United States of America (US).
“In October, shippers in China and Malaysia were, once again, the top shippers of wooden office furniture (HS 940330) to Japan respectively, accounting for 66 per cent (77 per cent in September) and 11 per cent (19 per cent in September) of the total value of imports.
“Shippers in China, Malaysia along with shippers in the UK accounted for around 90 per cent of the value of imports of wooden office furniture by Japan in October.
“The value of October arrivals from China was down compared to September as were arrivals from Malaysia. Year on year, the value of October 2023 imports of wooden office furniture was down 20 per cent and there was also a decline in the value of imports compared to the level reported for September. In October, the number of shippers supplying wooden office furniture to Japan was below that in September,” said the report.
On Japan’s imports of wooden furniture parts (HS 940391), statistics for October showed that Malaysia ranked fourth as the main supplier, with shipment of 226,012 units worth RM728,889. The No 1 supplier China exported 857,091 units (RM27.6 million), followed by Indonesia’s 402,953 units (RM13 million) and Vietnam’s 232,625 units (RM750,215). For the same month, Japan imported the furniture parts worth about RM62.5 million from 23 countries.
“After the July and August declines, the value of Japan’s imports of wooden furniture parts rose 15 per cent in September, but in October, there was a 6 per cent month on month fall in the value of imports and year on year, October imports were down 17 per cent. “The top suppliers of wooden furniture parts in October were China (44 per cent), Indonesia (21 per cent), Malaysia (11 per cent) and Vietnam (12 per cent).
The top three shippers saw the value of arrivals fall. It was only for Vietnam that the Japanese Ministry of Finance reported a rise in the value of imports,” said ITTO report.
For October, Malaysia is the third largest supplier of wooden bedroom furniture (HS 940350) to Japan, although the shipment was merely 60,567 units valued at RM1.95 million as compared to top supplier China, which exported 1,595,795 units for RM51.5 million. Vietnam, the second largest supplier to Japan, shipped 934,242 units worth RM30.1 million for the month under review, and was unchanged month on month. China and Vietnam together accounted for more than 90 per cent of Japan’s import bill. Other minor suppliers were from India, Thailand and Poland. For October, Japan import bill on wooden bedroom furniture amounted to RM86.2 million.
“After a good start to 2023, the value of imports of wooden bedroom furniture began to decline and fell steadily for most of the second and third quarters of 2023.
“The downtrend reversed in September and there was a further increase in the value of imports in October. With most trading being conducted in US dollars, the impact of the weak yen clouds the actual trend direction,” said the report. In the last days of 2023, the yen drifted lower as traders unwound expectations that the Bank of Japan will alter course on its monetary policy.
The USD/Yen rate moved to a two-week high of around 145 yen to the dollar as the New Year. On kitchen furniture (HS 940340), the report said Japan paid RM55.7 million for the imports in October 2023. As in previous months, shippers in the Philippines and Vietnam together accounted for the bulk of Japan’s import value at 44 per cent (RM24.3 million) and 37 per cent (RM20.5 million) respectively. Malaysia is a minor supplier of 12,816 units worth RM413,188 for the month. The report said Japan’s October import value expanded by 11 per cent from September and year on year, the value of imports rose 14 per cent.
