Even as true spring arrived across the continent, lumber sales remained slow for the time of year as confusion on trade issues remained.
Prices on some lumber commodities softened slightly. Strategies varied among players; with some having already ordered wood for immediate needs to cross the border before the beginning of April, and others holding off buying completely until there was clarity about tariffs. Better weather brought construction projects to life, especially in the densely-populated US eastern seaboard.
Some severe storm activity in the south-central US over the weekend caused significant damage to property and structures. The scale of rebuilding is not yet known, however at a minimum there will be a large number of homes which
need new roofs. This reconstruction activity will coincide with the usual increase in new home building during spring.
In the week ending March 21, 2025, the price of benchmark softwood lumber item Western Spruce-Pine-Fir 2×4 #2&Btr KD (RL) was US$535 mfbm.
This is down -$15, or -3%, from the previous week when it was $550, said weekly forest products industry price guide newsletter Madison’s Lumber Reporter.
That week’s price is up by +$53, or +11%, from one month ago when it was $483.
Uncertainty continued to plague lumber trading as April 2nd approached. Several players mentioned that the market’s current state of confusion and frustration reminded them eerily of the beginning of Covid.
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KEY TAKE-AWAYS:
- Western S-P-F price levels in the US varied considerably depending on the source and destination.
- In Canada some downward pressure might be building in Western S-P-F standard and high grades.
- Players adopted cautious strategies after covering their near-term spring needs.
- In the east a prominent throughline was the concerning lack of overall supply.
- Canadian Eastern S-P-F sawmills showed thin offer lists.
- Demand for Southern Yellow Pine commodities was stable, indeed trending to the positive.
- Sawmill order files in the US south were at approximately two weeks.
- Overall, players didn’t see price downside coming, since overall supply was limited and field inventories were nearly bare.
Madison’s Benchmark Top-Six Softwood Lumber and Panel Prices: Monthly Averages
