Although Canada’s lumber industry has suffered a number of blows this year in the form of countervailing duties, rising prices for softwood lumber are allowing them to continue business as usual.
In the United States (U.S.), the price of lumber has increased as well.
“Prices have increased since the beginning of last year by 30 per cent,” Joel MacLaggan, the sales manager at lumber broker Eacan Timber, based in Waverly, Nova Scotia, Canada, explained.
“It’s all being sold,” Robin Wilber, owner of Elmsdale Lumber Company in Nova Scotia, added. He also noted in an interview with The Chronicle Herald that his company was producing the usual amount of lumber. “The market is strong. We’re mostly local but we also sell to the U.S.…and we’re affected by the United States because our competitors are.”
After all, the healthy homebuilding arena in the U.S. as well as the country’s limited ability to produce its own lumber is driving prices higher.
“The U.S. doesn’t produce any more lumber now than they did before the countervailing duties took effect,” MacLaggan added. “They don’t have any more capacity and Canada is about 30 per cent of their market… They can’t be self-supported right now.”
Source: The Chronicle Herald