Prices drove higher on all items in the lumber market last week. Mudslides out west along with an expected increase in tariffs on Canadian shipments to the U.S. were the main reasons. The week started with several mills increasing their prices to account for the increased tariffs. The news on the mudslides shutting down transportation and impacting mill production was the added impetus that had buyers scrambling for product and looking for coverage out east. The added orders garnered by the eastern mills pushed their order files well into mid-December.
@william_giguere did the BC mudslides have an effect on eastern mill production?
it put pressure on the eastern mills to pick up the slack which is problematic since the eastern mills have orders ahead them already…there is panic being seen this morning in finding and procuring material…it is difficult getting mills on the phone
@william_giguere it’s crazy seeing the national market react to this regional event! With the Eastern Mills picking up demand and orders backlogged, do you think our rail and general infrastructure will be able to handle the increased shipments out west. Prices also seem to be rising over the past few days, do you think these market events will increase the volatility in the market?
Eastern mills are unable to pick up the slack. prices will remain volatile as supply is less. logistics in general is an issue