The latest market update from Wood resource Quarterly charted the upward trend of global softwood lumber prices.
In the first half of 2016, the global softwood lumber prices saw higher prices due to higher demand and a weaker dollar. According to the report, the major importing countries have imported more lumber during the first six months, with few exceptions.
Demand for softwood lumber in the U.S. has continuously expanded this year. During the first five months, lumber consumption was 14.2% higher compared to the same period in 2015. The increased demand was predominantly met with higher production by sawmills in the U.S. South, a substantial rise in import volumes from Canada (up 40%) and incrementally more shipments from Europe, Wood Resource Quarterly reported.
Prices in the U.S. reached their highest levels in August since early 2015.
In northern Europe, weaker currencies in the Nordic countries have resulted in more competitive prices for lumber in 2015 and 2016. Prices in 2016 are among the lowest they have been since 2005.
This year, Finland is on pace to increase export volumes for the seventh consecutive year. During the first five months, the export shipments were up almost 15% compared to the same period in 2015.
The biggest increases have been to non-European countries including Egypt, Japan, China and Saudi Arabia.
Source: Timber Trade Journal