An eagle-eyed resident has spotted 200 of the trees that had been reported stolen.
Thousands of trees have been taken across Mid Wales and the latest raid involved hundreds of saplings being stolen from Forestry Commission Wales land near Meifod.
But police have confirmed that 200 have now been recovered with the Forestry Commission praising the Newtown woman who called the police after spotting them on an estate in the town.
The Forestry Commission's Neil Muir said: “We're extremely grateful to the member of the public for her help in tracing these trees.”
The commission said while it was relatively common for a few trees to be taken, it was rare for so many to have disappeared.