{"id":88144,"date":"2024-10-15T09:13:57","date_gmt":"2024-10-15T09:13:57","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/global-wood-markets-face-continued-struggles-with-rising-costs-and-trade-disruptions\/"},"modified":"2025-09-19T09:02:56","modified_gmt":"2025-09-19T09:02:56","slug":"global-wood-markets-face-continued-struggles-with-rising-costs-and-trade-disruptions","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/global-wood-markets-face-continued-struggles-with-rising-costs-and-trade-disruptions\/","title":{"rendered":"Global wood markets face continued struggles with rising costs and trade disruptions"},"content":{"rendered":"<p>As August came to a close, the global wood products sector remained under pressure. In Europe, many countries are facing the dual challenge of rising log costs and stagnating or falling lumber prices. <span id=\"more-36464\"><\/span>Meanwhile, China\u2019s market is oversupplied, with both imported log and lumber prices remaining generally low. Japan\u2019s market also shows weakness, and European exporters are now facing increased costs due to the need to ship around Africa, avoiding the Red Sea as a result of ongoing shipping disruptions. For now, North America holds a temporary advantage.<\/p>\n<p><strong>US market outlook improving<\/strong><\/p>\n<p>In the U.S., the Federal Reserve has yet to implement any anticipated prime rate reductions this year, despite earlier forecasts suggesting three or four cuts. However, many now expect the first rate reduction to occur in mid-September, with potential for two more cuts by year-end. This is likely to lower interest rates for homebuyers and renovators, with further relief expected in 2025. In Canada, the Bank of Canada has already introduced three rate cuts of 25 basis points each since June, and more reductions are anticipated in 2024. These changes could boost the lumber and panel industry, as residential construction and home renovation account for the majority of lumber consumption in North America.<\/p>\n<p>In July, lumber prices in the US hit a low point due to a combination of declining demand and overproduction, with prices falling below sawmill costs. By early September, prices had begun to recover, with W-SPF 2\u00d74 #2&amp;Better rising from a July low of US$325\/Mbf to US$392\/Mbf. Southern Yellow Pine (West) also saw price increases, climbing from US$285\/Mbf in the spring to US$334\/Mbf by September. However, these prices remain near or below break-even levels for many mills.<\/p>\n<p><strong>Sawmill profitability struggles<\/strong><\/p>\n<p>An\u00a0 analysis of lumber production costs versus revenue in key regions across North America and Central Europe highlights significant challenges. Lumber prices from late August 2024 were compared to the costs of production at top-tier mills in British Columbia, the US Pacific Northwest, US Inland, the US South, and Central Europe. Results showed negative earnings in all regions except the US Inland, with the latter benefitting from higher average lumber prices\u2014US$80\/Mbf more than W-SPF and US$130\/Mbf more than Southern Yellow Pine (West).<\/p>\n<p>German exporters to the US fared the worst, with estimated margins ranging from -20 to -30%. This financial strain has contributed to sawmill curtailments and permanent closures, particularly in British Columbia, the US Pacific Northwest, and the US South. More curtailments and reduced European exports to the US are likely needed to support price increases, but the pace of this adjustment remains slow.<\/p>","protected":false},"excerpt":{"rendered":"<p>As August came to a close, the global wood products sector remained under pressure. In Europe, many countries are facing the dual challenge of rising log costs and stagnating or falling lumber prices. Meanwhile, China\u2019s market is oversupplied, with both &hellip; <a href=\"https:\/\/www.timberindustrynews.com\/ro\/global-wood-markets-face-continued-struggles-with-rising-costs-and-trade-disruptions\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":83482,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-88144","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Global wood markets face continued struggles with rising costs and trade disruptions - 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\/global-wood-markets-face-continued-struggles-with-rising-costs-and-trade-disruptions\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Global wood markets face continued struggles with rising costs and trade disruptions - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"As August came to a close, the global wood products sector remained under pressure. In Europe, many countries are facing the dual challenge of rising log costs and stagnating or falling lumber prices. 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