Where are lumber prices headed in 2022? Many industry insiders tell Fortune prices could remain elevated—or go even higher next year. But there are two wild cards. For starters, if supply chain issues and shortages don’t let up soon it could slow down homebuilding next year. Additionally, the U.S. Department of Commerce plan to double duties on Canadian softwood lumber next year is already shaking up the market.
“The industry is digesting some new developments, such as additional cutbacks in harvesting in British Columbia, and an expected doubling of duties later this month on Canadian mills’ exports to the U.S… The former is another longer-term supply-side worry, while the latter represents a near-term oversupply concern, as Canadian mills rush shipments into the U.S. market ahead of the duty increase,” Shawn Church, editor at Fastmarkets Random Lengths, told Fortune.