Global Wood Markets Info reviewed recent discussions with sawmill operators, lumber traders, distributors and industry executives across Europe and North America. The September picture is not one of recovery, but it is no longer defined by weak demand alone.

European construction remains subdued, purchasing is still concentrated on immediate requirements and overseas markets are absorbing less volume. At the same time, inventories are low, mills are restricting output and permanent closures are gradually reducing available capacity. In North America, lumber and panel prices are showing that supply reductions and trade measures can move prices even when housing activity remains weak.

The market is entering autumn in an awkward position. Demand is not strong enough to produce a sustained rise in European softwood lumber prices, but the supply side is becoming less flexible.