Lumber prices have reversed their downward course over the past three weeks, edging up from a recent low of $550 per thousand board feet to roughly $600 per thousand board feet. Prices had previously rocketed to an all-time high of $950 per thousand board feet in September, then gradually fallen over the course of October and November.
Indications are that lumber producers are reducing production heading into the slower winter building season, even as new residential construction continues to outpace seasonal norms.
However, there is some good news on the lumber front regarding tariffs on Canadian softwood lumber… duties on shipments of Canadian lumber into the United States, which currently stand at 20%, will be reduced by more than half, to roughly 9%. The tariff reductions are expected to go into effect in mid-December.
