{"id":85521,"date":"2023-05-24T08:33:58","date_gmt":"2023-05-24T08:33:58","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/us-timber-producers-expect-stronger-demand-for-lumber\/"},"modified":"2025-09-19T09:00:06","modified_gmt":"2025-09-19T09:00:06","slug":"us-timber-producers-expect-stronger-demand-for-lumber","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/us-timber-producers-expect-stronger-demand-for-lumber\/","title":{"rendered":"US timber producers expect stronger demand for lumber"},"content":{"rendered":"

\"\"<\/p>\n

US timber and forest products sector leaders and market analysts say warmer temperatures mean a return to a more typical seasonal demand as construction and home improvement projects resume after the winter slowdown.<\/span><\/p>\n

They say the timber market should fare reasonably well this year, despite rising interest rates affecting new home purchases.<\/p>\n

Dennis Webb, chief forester of Davenport-based Big Creek Lumber, a family-owned wood products company that produces mostly redwood and operates a sawmill and six retail locations, said higher interest rates have led to a modest decline in prices for most species of timber.<\/p>\n

But he said, \u201cOn the flip side, consumer spending is still fairly strong. Timber markets have been a little more resilient than you\u2019d expect given the rapid rise in interest rates.\u201d<\/p>\n

John Andersen, forest policy director and registered professional forester for Humboldt Redwood Co. and Mendocino Redwood Co., both of which specialize in redwood and Douglas fir products sold at home improvement retailers, said he expects demand to increase soon.<\/p>\n

\u201cOnce things warm up, people start thinking about projects that use wood products, and we will have maybe somewhat of a normal year,\u201d Andersen said.<\/p>\n

During the pandemic in 2020 through 2022, California timber operators said there was strength and optimism in the market as demand skyrocketed for harvested logs and lumber products.<\/p>\n

With people sheltering in place during the pandemic and timber and forest products declared as an essential business, the sector experienced a doubling\u2014and in some cases a tripling\u2014of lumber prices as inventories were depleted.<\/p>\n

People turned to neglected home repair and remodeling projects, and customers waited in long lines outside improvement stores to purchase lumber for decks, fencing and other home needs.<\/p>\n

At the same time, demand for new housing construction, which represents a major indicator in domestic lumber prices, increased.<\/p>\n

A single unit of housing requires an average 15,000 board-feet of lumber. In late-2019 to early 2020, housing starts in the U.S. peaked at 1.6 million units.<\/p>\n

Some analysts note that interest in timber has returned to pre-pandemic levels with improved demand for harvested logs and lumber in the spring and summer. Although he predicts a late 2023 recession for the U.S. economy, he believes that the timber sector may fare better due to strong fundamentals and sustained demand driven by the housing needs of the younger population.<\/p>\n

Despite the positive outlook, rising costs and regulations pose challenges for timber operators. Increased expenses for diesel and the need to transition to electric forklifts add to the bottom line.<\/p>\n

The influx of wildfire-salvaged logs, which take priority over green timber, is gradually decreasing, relieving the market. Timber operators highlight the importance of maintaining a balance to prevent a decline in prices.<\/p>\n

As a large segment of the U.S. population\u2014those in their early to mid-30s\u2014drives demand for housing, he said he expects demand for timber to continue. He noted low housing inventory for buyers will increase demand for new construction.<\/p>\n

The U.S. is expected to consume about 50 billion board-feet of lumber this year. The figure includes end-use markets, from housing starts to residential improvements, nonresidential construction and industry markets. California consumption represents 9% of the U.S. supply, about 4.5 billion board-feet.<\/p>\n

Rising costs and added regulations, Andersen said, affect the bottom line of timber operators.<\/p>\n

\u201cDue to the cost of diesel, our loggers are coming in with higher hourly rates,\u201d he said. \u201cAnd with the air resources board looking at zero-emission forklifts, we\u2019ve got 60 or 70 forklifts we\u2019re going to have to turn over to electric, and that\u2019s going to be a very significant cost to us.\u201d<\/p>\n

California timber operators said the influx of wildfire-salvaged logs, which take priority over green timber because they must be harvested within a year to maximize their value, is easing. Too many salvaged logs can depress prices for the rest of the market, Webb said.<\/p>\n

After three years of drought and devastating wildfires, Steven Brink, California Forestry Association vice president of public resources, said snow and rain this winter is positive for improved forest health.<\/p>\n

\u201cObviously, the ground is saturated, which is great for the forest, so the forests will do well this summer,\u201d Brink said. \u201cThere\u2019s still (tree) mortality occurring, but it is nothing like it was.\u201d<\/p>\n

An estimated 36.3 million trees died in California in 2022, primarily because of drought, high temperatures, insects, disease and overcrowded forests, according to a report from the U.S. Forest Service.<\/p>\n

During the drought of 2011-2016, the agency reported that 66 million trees\u2014mostly pine species\u2014died in the southern Sierra due to bark beetle infestations, drought, wildfire and climate change.<\/p>\n

Looking to the future, timber sector leaders say there is increased interest in mass timber construction, which uses engineered wood products made of solid wood panels, columns or beams.<\/p>\n

\u201cThroughout the U.S., there\u2019s been a big push for mass timber, and that is building multi-story structures out of wood because you are using a product that stores carbon versus concrete or steel that has a large carbon footprint,\u201d Andersen said. \u201cEverybody is always looking for more customers, and we\u2019re busy trying to enter new markets, and mass timber is part of that.\u201d<\/p>","protected":false},"excerpt":{"rendered":"

US timber and forest products sector leaders and market analysts say warmer temperatures mean a return to a more typical seasonal demand as construction and home improvement projects resume after the winter slowdown. They say the timber market should fare … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":85522,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716],"tags":[],"class_list":["post-85521","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends"],"acf":[],"yoast_head":"\nUS timber producers expect stronger demand for lumber - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/us-timber-producers-expect-stronger-demand-for-lumber\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"US timber producers expect stronger demand for lumber - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"US timber and forest products sector leaders and market analysts say warmer temperatures mean a return to a more typical seasonal demand as construction and home improvement projects resume after the winter slowdown. 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