Since 2021, the import of teak has been banned in the United States, United Kingdom, and European Union due to environmental concerns and its links to the military junta in Myanmar. This prohibition aims to combat deforestation and cut funding to the regime, which has been accused of committing atrocities against the Rohingya people. However, many yacht manufacturers have continued to source teak despite these restrictions, leading to significant fines.
In 2024, UK-based Sunseeker faced penalties for using Myanmar teak, while Dutch shipbuilder Oceanco also incurred fines for the same reason when constructing a yacht for Amazon founder Jeff Bezos. Notably, the cost of the teak-related fines is minimal compared to the overall expenses of luxury yachts, as evidenced by Bezos’s vessel, which totaled $500 million.
Recent reports indicate a shift in the industry, with some companies beginning to abandon teak. Sunreef Yachts, operating out of Poland and Dubai, has announced plans to replace teak with alternative woods and materials. High-profile clients like Google co-founder Sergey Brin are reportedly opting for more sustainable choices in their yacht designs.