The ongoing conflict in the Middle East is poised to reshape global supply chains, and the UK timber industry is no exception. As tensions rise following the US and Israel’s actions in Iran, key shipping lanes are increasingly threatened, which will have far-reaching consequences on the UK’s timber imports. The Persian Gulf, a critical maritime hub for global energy supplies, may handle only 2-3% of global trade volumes, but it carries the world’s vital oil and gas, making it crucial for global supply chains.
Shipping routes through this region are being disrupted, and as a result, shipping companies are being forced to reroute their vessels, leading to delays and increased shipping times. This disruption is already beginning to affect the UK timber industry, which has grown more reliant on timber imports from Asia following the reduction in Russian timber supplies after the 2022 Ukraine invasion.
The Aftermath of Past Global Shocks
Over the past few years, the timber sector has experienced unprecedented disruption. The COVID-19 pandemic rewrote the rulebook on global demand and port logistics. The war in Ukraine further severed the UK’s trade relationships with Russia, once a key supplier of softwood and birch plywood. The shift towards Asian timber alternatives seemed like a viable solution, but this new disruption presents a fresh challenge for an industry already on edge.
Now, in 2026, the Middle East crisis may be the third wave of disruptions to hit the global economy, and the ripple effects are being felt worldwide. While the Persian Gulf region itself may not account for a large share of global trade, the products carried through this area, such as oil and gas, are indispensable to the global economy. The increased risk of shipping threats and rising insurance premiums are starting to affect international shipping routes, adding new challenges for the UK timber supply chain.
Rising Shipping Costs and Delays
One of the most immediate impacts of the ongoing Middle Eastern conflict is the threat to key shipping routes. As shipping companies choose to reroute vessels from Asia away from the Suez Canal to avoid the region’s risks, journeys are becoming significantly longer. The detour around the Cape of Good Hope can add 10-14 days to shipping times, leading to delays in deliveries. This new bottleneck will directly impact the availability of timber imports to the UK.
The UK timber industry’s dependence on alternative suppliers, such as those in Asia, makes it more vulnerable to these disruptions. Before the Russian timber market was largely abandoned in favour of Asian timber, the UK was importing almost half a million cubic metres of timber from Russia. Now, the very sources that replaced Russian imports are facing the same vulnerabilities due to the escalating Middle East conflict.
Energy Costs and Domestic Sawmills
Another issue facing the UK timber industry is the energy-intensive process of kiln drying, which is essential for the production of quality timber. Despite the industry’s significant investments in sustainable sawmills and biomass energy, the cost of gas remains a key factor in the overall pricing of timber. Rising energy prices will impact both domestic sawmills and international partners, further complicating the timber supply chain.
Fuel costs, especially for lorries, will rise as the price of oil increases, adding an extra burden on timber deliveries throughout the UK. These factors are likely to lead to higher transportation costs, affecting both raw material imports and distribution within the UK. While the industry is more resilient than it was during the pandemic, this new wave of challenges is still a cause for concern.
Preparing for Ongoing Disruptions
The UK timber industry has faced numerous challenges in recent years, from the pandemic to the invasion of Ukraine, and is more resilient as a result. Industry members have adapted to fluctuating demand and port congestion, and they are better equipped to manage the ongoing shipping disruptions. However, as the current crisis unfolds, it remains vital for importers, merchants, and end-users to collaborate closely. Working together is essential for weathering the impacts of these disruptions and ensuring that timber supply chains continue to function smoothly.
Though the UK timber industry is more prepared than ever to navigate supply crises, the ripple effects of the Middle East conflict are unavoidable. The situation remains volatile, and the potential for further disruptions is high. As a result, businesses are urged to take proactive measures, adjust their strategies, and maintain strong relationships across the supply chain to mitigate the impact on the UK timber market.
Facing the Future of Timber Supply Chains
The Middle East crisis presents a fresh challenge for the UK timber industry, which must contend with shipping delays, rising energy prices, and a fragile global supply chain. With the increasing cost of shipping and the vulnerability of Asian timber imports, the industry’s resilience will be tested. However, by leveraging the lessons learned from past disruptions, UK timber traders are better prepared than before.
As the crisis unfolds, close collaboration between suppliers and stakeholders will be essential for maintaining stability in the timber trade. The UK timber industry is no stranger to disruption, and its ability to adapt and weather these storms will determine how well it can navigate the impact of the Middle East conflict on its supply chains.
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