Wednesday, February 28, 2018
With many projects being quoted this time of year, a question we often get is what Lumber prices have been doing. During the last year lumber prices have risen substantially. And while the winter season typically brings uneventful, sideways lumber trading, this season has seen prices remain very strong with increases continuing week after week. Almost all lumber species are at, or above record high prices right now. The reasons are many and the run-up is a combination of most of them. Higher import duties on Canadian lumber is one commonly supplied response and undoubtedly in the last year it’s a real reason why prices are higher. Supply issues are real too and are due to limited high quality log supply which stems from recent wild fires in the North. And now transportation issues with the railroad and trucking firms are found regularly. When you consider all those variables and a good overall national demand it creates an environment which allows for continued take-away at these higher prices.
The short-term outlook remains strong with the long-term outlook having a correction to more normal levels. When and how fast that happens has everyone guessing.
If you have any specific questions about lumber prices and how it could affect your project, give us a call!