Huge crisis in the Canadian lumber market

Huge crisis in the Canadian lumber market
Last week, Canfor Corp. announced that it temporarily curtailed operations at three of its sawmills in British Columbia, because of the market conditions. On January 14th, West Fraser Timber Co. Ltd. also announced further cuts in its operations.    According to BNN Bloomberg, this curtailments are the logical response to the high log costs and the low lumber prices.    Kevin Mason, managing director at ERA Forest Products Research, explained that “West Fraser has always been viewed as the – if not one of the – lowest-cost producers out there and yet, here they’re ...

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