Lumber Rebounds From September Lows

2026-01-09 20:44 By Felipe Alarcon 1 min. read

Lumber futures rose toward $535 per thousand board feet, rebounding from the September low of $528 reached on January 7th after a low liquidity holiday sell off unwound, improving seasonal demand expectations and longer term supply tightening.

Renewed engagement from market participants, signaled that forced selling and the thin trading conditions that pushed prices to multi month lows have faded.

Seasonal demand expectations have strengthened as builders begin positioning ahead of the spring construction period, when consumption typically improves following year end destocking.

Industry forecasts point to a modest pickup in US housing starts and repair and remodel activity in 2026 as interest rates ease and trade uncertainty recedes, supporting demand after a weak finish to 2025.

At the same time, longer term supply growth remains constrained by ongoing tariffs on Canadian softwood and slower capacity expansion across North American sawmills, limiting surplus.



News Stream
Lumber Rises to 8-Month High
Lumber climbed to $617 per thousand board feet, the highest level since October, as constrained supply outweighed subdued conditions in the housing market. The US lumber market remains tight, with domestic production failing to fully offset reduced imports from Canada following tariffs. Canada still supplies roughly 30% of US consumption, underscoring its continued importance despite trade barriers. The US Commerce Department has proposed lowering combined duties on Canadian lumber to 24.8% from 35.2%, but an additional 10% Section 232 tariff keeps the effective rate close to 35%. Supply pressures have been further intensified by wildfire damage and other production disruptions in Canada, prompting British Columbia to introduce emergency measures aimed at boosting timber availability after storms and fires threatened output.
2026-06-11
Lumber Hits 8-week High
Lumber increased to 598.00 USD/1000 board feet, the highest since April 2026. Over the past 4 weeks, Lumber gained 3.57%, and in the last 12 months, it increased 0.5%.
2026-06-03
Lumber Near Three-Month High
Lumber futures were near $609 per thousand board, the highest since March, as tight supply offset muted activity in the housing sector. The US lumber market remained in a tight supply backdrop as domestic production has not expanded fast enough to make up for the drop in Canadian imports following the tariffs on Canada. The latest data indicated that Canada still accounted for up to 30% of domestic supply. The US Commerce Department recently proposed reducing combined duties on Canadian lumber to 24.8% from 35.2%, but an additional 10% Section 232 tariff keeps the effective burden near 35%. On top of that, wildfires and production disruptions in Canada magnified an already tight availability of wood, as British Columbia recently introduced emergency measures to boost timber availability after wildfire and storm damage threatened output.
2026-05-20