North American lumber producers are offering more concessions to secure orders, but lower prices have yet to persuade buyers to build inventories, according to market feedback received by GWMI. Customers continue to purchase against immediate requirements, leaving mills to compete for business as the construction season slows.

The weakness is also spreading into lumber used for pallets, crates and other industrial products. More material is becoming available, while falling construction-grade prices are giving industrial buyers alternatives to their usual purchases. Freight costs, however, continue to absorb part of the savings available at the mill.