{"id":99381,"date":"2026-07-22T04:56:31","date_gmt":"2026-07-22T04:56:31","guid":{"rendered":"https:\/\/www.timberindustrynews.com\/?p=99381"},"modified":"2026-07-22T12:20:00","modified_gmt":"2026-07-22T12:20:00","slug":"lumber-hits-a-one-year-figh-as-fires-rage-in-canada","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/lumber-hits-a-one-year-figh-as-fires-rage-in-canada\/","title":{"rendered":"Lumber hits a one-year figh as fires rage in Canada"},"content":{"rendered":"

Lumber prices pushed past $640 per thousand board feet this week, the highest level in a year, as wildfire activity in Western Canada put fresh pressure on an already tight softwood market. With over 900 fires reported across the region over the weekend \u2014 many concentrated in British Columbia, the country's biggest lumber-exporting province \u2014 mills are facing evacuation orders on top of a tariff regime that already runs close to 35%, after Trump floated folding fire-related costs into that rate. The result is a supply picture squeezed from several directions at once, even as US housing demand tells a more mixed story underneath the headline number.<\/p>\n

Fire risk meets an already stretched supply chain<\/strong><\/p>\n

The wildfire count itself is unusually high for this point in the season, and British Columbia's exposure matters more than most: the province ships more softwood lumber into the US than any other part of Canada, so evacuation orders there have an outsized effect on how much wood can actually get cut and moved, independent of how much standing timber exists. Traders reading the fire maps aren't just pricing in lost volume \u2014 they're pricing in the risk that logistics, not just log supply, become the bottleneck if evacuations drag on.<\/p>\n

A tariff threat adds another layer of uncertainty<\/strong><\/p>\n

Into that backdrop, Trump raised the prospect of folding wildfire-related costs directly into the tariff rate Canadian lumber already carries, a rate sitting close to 35%. Nothing has been formalized, but the mere suggestion changes the calculus for anyone trying to price Canadian wood forward \u2014 it signals that fire losses could translate into a policy cost on top of a market one, which is a harder risk to hedge than weather alone.<\/p>\n

Mill capacity was already under strain before the fires<\/strong><\/p>\n

Even without the wildfires, Canadian sawmill output has been shrinking. Existing duties have pushed a number of mills into production cuts or outright closures, trimming the volume of finished lumber available regardless of how much timber is sitting in the forest. At the same time, more raw logs are being shipped from the US directly to China rather than processed domestically, pulling supply away from North American mills and adding a second drag on the lumber pipeline that has nothing to do with fire season at all.<\/p>\n

Demand isn't fully cooperating either<\/strong><\/p>\n

The demand side complicates any simple \"tight supply, higher prices\" story. US housing starts jumped 19%, a number that looks bullish for lumber at first glance \u2014 but most of that increase came from multifamily construction, which uses far less lumber per unit than single-family homes. Single-family building, the segment that actually drives lumber demand, didn't see anywhere near the same lift, meaning the headline housing number overstates how much extra wood builders are about to need.<\/p>\n

<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Lumber prices pushed past $640 per thousand board feet this week, the highest level in a year, as wildfire activity in Western Canada put fresh pressure on an already tight softwood market. 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