Current Lumber Market Conditions
- Demand is currently trending above production in several parts of the lumber market.
- Recent weather conditions and rain have slowed production slightly.
- Housing permits and starts hit high ground at 1.3 million. Mortgage rates are attributed.
- Economists find current housing conditions favorable and provide positive outlooks for 2020 housing. Continued demand in housing is predicted to increase lumber demand and help to balance increased log costs and shipment duties for North American wood product companies to avoid future mill curtailments and closures.
- Mills introduce 3 day work weeks and holiday closures which limit production.
- Curtailment and delivery delays caused by the current strike could produce a bottleneck in the lumber flow. Most agree, the damage has been done and will affect rail shipments over the next few weeks. It will take a bit of time to get back ‘on track’.
As your lumber conductors, we will continue to look down the line to ensure you
are not railroaded by the lumber market.