A Maori-owned forestry firm says China's demand for trees is slowing, but the long-term loutlook for log export is 'spectacular'.
KFL of Kawerau says China's currently oversupplied because Canada and the United States have now entered the market.
About a third of New Zealand's timber harvest is shipped to China to be processed into lumber - according to the industry.
KFL managing director Jacob Kajavala says the company is confident there will be a resurgence in exports.
He says market forecasts show that long-term prospects - between two and 10 years - are spectacular.
Mr Kajavala says China likes New Zealand wood because it's stable, easy to work with, and is priced right.
KFL - whose workforce is 80% Maori - also says Chinese sawlog agents find that New Zealanders are honest.