---
title: US Wood Pellets Gain Market Share in Europe as Russian Presence Drops
description: The costs of industrial wood pellets imported to multiple key European markets increased in 2022 with Russia imports ceasing due to the war.
---

[ResourceWise Blog ](https://www.resourcewise.com/blog)

# [US Wood Pellets Gain Market Share in Europe as Russian Presence Drops](https://www.resourcewise.com/blog/forest-products-blog/us-wood-pellets-gain-market-share-in-europe-as-russian-presence-drops)

 Written by [Håkan Ekström](https://www.resourcewise.com/blog/author/håkan-ekström) | Feb 9, 2023 5:00:00 AM

The costs of industrial wood pellets imported to multiple key European markets increased in 2022. Russia's current crisis has positioned the US in a highly strategic spot for imports.

The increase reflects several factors at play. And the lower spike in industrial prices reflects some optimism within the market.

## Import Volume and Pricing Shows US Picking Up Russia’s Slack

70% of the total European industrial wood pellets import volume shipped to just four countries:

1. The United Kingdom
2. The Netherlands
3. Denmark
4. Belgium

From a pricing point of view, imports saw cost jumps in most major reporting areas. The greatest price hikes occurred in Denmark and Belgium, with a 64% and 46% increase year-over-year, respectively (see table).

A few significant factors are contributing to these rises in prices:

- **Boycott of Russian Imports**

Russia historically has the lowest-priced pellets supplying European nations. The boycott comes on the heels of the Russia-Ukraine war. The Russian market share fell from 74% of total import supply in 3Q 2021 to 0% a year later in 3Q 2022.

Without this lower-cost source, prices inevitably rose.

- **US-Based Agreements**

Much of the rise comes from longer-term supply agreements with US pellet producers coming to harvest. This, combined with the removal of Russia as a source, drove the US share from 32% to 50% between 3Q 2021 and 3Q 2022. 

## Russian War Continues to Impact Global Wood Markets

Russia's invasion of Ukraine has resulted in a sharp decline in shipments of pellets from Belarus, Russia, and Ukraine. As a result, the total volume from the three countries is likely to fall an estimated 35% in 2022 year-over-year.

Simultaneously, US pellet producers have increased their shipments to Europe. 2022 volumes are estimated at a record 8.6 million tons, up from 7.4 million tons in 2021.

## WoodMarket Prices: Global Pricing Data You Can Trust

*This Market Insights report is an excerpt from [Wood Resources International](https://www.resourcewise.com/about-wood-resources-international), a ResourceWise company. *

*Our data and insights are now available as an interactive online business intelligence platform, [WoodMarket Prices (WMP)](https://www.resourcewise.com/woodmarket-prices). The pricing data service, established in 1988, has subscribers in over 30 countries. *

*WMP tracks prices for sawlog, pulpwood, lumber & pellets and reports on trade and wood market developments in most key regions worldwide. *

*WoodMarket Prices provides users with a highly valuable tool for all businesses seeking insights across the global forest industry. Schedule a demo today to see how WMP can work for you.*

* *

[View full post](https://www.resourcewise.com/blog/forest-products-blog/us-wood-pellets-gain-market-share-in-europe-as-russian-presence-drops)

```json
{
  "@context" : "http://schema.org",
  "@type" : "BlogPosting",
  "author" : {
    "@type" : "Person",
    "name" : "Håkan Ekström"
  },
  "dateModified" : "2025-03-24T17:27:12.192Z",
  "datePublished" : "2023-02-09T05:00:00Z",
  "headline" : "US Wood Pellets Gain Market Share in Europe as Russian Presence Drops",
  "image" : {
    "@type" : "ImageObject",
    "height" : 355,
    "url" : "https://www.resourcewise.com/hubfs/zArchive/Imported_Blog_Media/wood-pellet-imports-europe-3Q2021-to-3Q2022.png",
    "width" : 811
  },
  "mainEntityOfPage" : "https://www.resourcewise.com/blog/forest-products-blog/us-wood-pellets-gain-market-share-in-europe-as-russian-presence-drops",
  "publisher" : {
    "@type" : "Organization",
    "logo" : {
      "@type" : "ImageObject",
      "height" : 60,
      "url" : "/hs/hsstatic/content_shared_assets/static-1.4092/img/default-amp-logo.png",
      "width" : 60
    },
    "name" : "ResourceWise Blog"
  }
}
```