Due To Ongoing Soft Demand, North American Lumber Suppliers Cut Prices
Further To Spur Sales.
Customers responded by placing some orders, suggesting they agreed that
current price levels were likely the bottom. The collision of ongoing weak
demand and arrival of spring building season did little to prompt any real
increase in sales volumes.
It seemed like everyone was waiting for someone else to make a move.
Continued lack of clarity from political leaders and many unknowns in
macroeconomic conditions made for still more feeling of uncertainty.
Sawmills looked forward to an increase in demand now that price levels
dropped steadily over the past few weeks.
In the week ending May 9, 2025 the price of Western Spruce-Pine-Fir 2×4 #2&Btr
KD (RL) was US$430 mfbm, which is down -$30, or -7%, from the previous week
when it was $460, said weekly forest products industry price guide
newsletter Madison’s Lumber Reporter.
That week’s price is down -$68, or -14%, from one month ago when it was
$498.
Compared To The Same Week Last Year, When It Was Us$383 Mfbm, The Price Of
Western Spruce-Pine-Fir 2×4 #2&Btr Kd (Rl) For The Week Ending May 9, 2025
Was Up +$47, Or +12%.
Compared To Two Years Ago When It Was $360, That Week’S Price Was Up +$70,
Or +19%.
KEY TAKE-AWAYS:
Builder sentiment remained negative amid ongoing turbulence in the broader
economy.
Oversupply reduced the pressure on buyers to take long positions and kept
the flow of wood to end users inconsistent.
Wide disparity between suppliers’ quoted prices persisted, contributing to
buyer apathy.
In the highly-populated areas of US Northeast construction activity was a
step behind typical spring levels.
Vendors in the tri-state area had begun selling product at below replacement
cost.
In the US south, freight was an ongoing sore point, with players advising to
book early and budget accordingly.
MADISON’S BENCHMARK TOP-SIX SOFTWOOD LUMBER AND PANEL PRICES: MONTHLY
AVERAGES
Source:
madisonsreport.com
More Reports:
