According to the NAHB, the framing lumber composite price increased 0.5% for the week ending on Oct. 4 compared to the previous week. Lumber prices are currently 3.6% lower than they were one year ago.
NAHB continually tracks the latest lumber prices and futures prices, and provides an overview of the behaviors within the U.S. framing lumber market. The information is sourced each week using the Random Lengths framing lumber composite price which is comprised using prices from the highest volume-producing regions of the U.S. and Canada. A summary of other wood prices, including plywood prices, is included below.
Prices and Trends in the U.S. Framing Lumber Market
Summary of the week-to-week lumber prices and plywood prices for the week ending Oct. 4, 2024:
- The Random Lengths framing lumber composite price dropped 0.5%.
- Prices are flat over the past month, and 3.6% lower than one year ago.
- The price of lumber futures fell 1.1%.
- Prices are up 8.3% from a month ago and 7.2% higher than they were one year ago.
- The structural panel composite price did not change from the previous week.
Notable Canadian Sawmill Curtailment
Western Forest Products Inc. recently announced plans to curtail production in its British Columbia sawmills by approximately 30 million board feet during the period of October to December, 2024. The company sited market challenges of weak lumber demand and higher U.S. softwood lumber duty rates.
Western’s President and CEO Steven Hofer: “With the potential for the combined U.S. Softwood lumber duties rate to more than double in the second half of 2025, all levels of government need to be focused on creating a policy environment that supports the forestry industry and encourages domestic investment.”
In 2024, Fastmarkets/RISI estimate that sawmill curtailments have reduced North American softwood lumber production capacity by 3.1 billion board feet. Many of these curtailments have taken place in Western Canada.
Key Factors Influencing Lumber Prices
Softwood lumber prices have been especially volatile in recent years largely because of increased demand, rising tariffs, supply-chain bottlenecks and insufficient domestic production. To address the high prices for lumber, NAHB has advocated for the following actions:
- Negotiate a long-term deal with Canada to reduce tariffs and boost imported lumber.
- Increase domestic production by seeking higher targets for timber sales from publicly-owned lands and opening up additional federal forest lands for logging.
- Reduce U.S. lumber exports to China and other international clients.
- Seek out new markets to reduce our nation’s reliance on Canadian lumber imports and make up for our domestic shortfall.
Identify new markets (besides Canada) and work with countries already exporting softwood lumber to the United States to increase their exports here.
