The reduction in manufacturing volumes of North American lumber for the first half of this year achieved a level of supply-demand balance at the beginning of June.
Enough to stop most construction framing dimension softwood lumber prices from falling further. While demand can only be described as soft for what is usually an active home building season, suppliers were able to slightly increase prices on some lumber commodity items.
Indeed, several large operators in the West booked enough sales to push order files out further than the two-weeks it has been for the past several months. Regardless, customers remained cautious. The now long-time habit of not stocking
inventory continued as several factors for industry remained uncertain.
In the week ending June 6, 2025, the price of benchmark softwood lumber item Western Spruce-Pine-Fir 2×4 #2&Btr KD (RL) was US$456 mfbm. This is up +$6, or +1%, from the previous week when it was $450, said weekly forest products industry price guide newsletter Madison’s Lumber Reporter.
That week’s price is up +$10, or +2%, from one month ago when it was $446.
Demand for Spruce-Pine-Fir showed some encouraging signs while Southern Yellow Pine prices continued to search for a bottom.
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KEY TAKE-AWAYS:
- The demand side remained stuck; there were plenty of options for buyers to find fill-in trucks whenever they needed.
- Actual prices between primary and secondary suppliers varied considerably, this generated hesitation among buyers.
- Producers continued with manufactured volume reductions and curtailments.
- Buyers were unwilling to commit to volume in any serious way.
- Construction markets remained hesitant in many cases.
- In the West, several sawmills reported modest improvements in the pace of sales.
- Larger mills were able to push order files out to mid- or late-June on a few undersupplied items.
- Marginal boosts to business were more related to quiet reductions in supply than increasing spring demand.
- In the East there was a better sense of what mills had to offer; inquiry steadily improved.
Madison’s Benchmark Top-Six Softwood Lumber and Panel Prices: Monthly Averages
