08/15/2025
Industry pros seek lumber market stability
https://zurl.co/p3XdP
Summary
The article discusses growing concerns within the lumber industry over rising tariffs, shifting specifications, and long-term trade instability between the U.S. and Canada. In 2025, Canadian softwood lumber duties surged to 35.19%, more than doubling from earlier in the year. These increases—driven by anti-dumping and countervailing rulings—have led U.S. mills to raise prices in tandem, squeezing margins for dealers and threatening housing affordability.
A major issue compounding the pressure is the growing preference for Canadian SPF (spruce-pine-fir) in architectural and engineering specifications. Due to differences in grading rules, American SPFs are often excluded from project plans, forcing retailers to stock Canadian SPF exclusively. This trend has deepened U.S. reliance on Canadian lumber, which already accounts for nearly 70% of Canadian softwood exports.
The long-standing trade dispute has also reshaped supply chains, with Canadian sawmills relocating to the U.S. to avoid tariffs—creating domestic jobs but failing to ease price pressures. The American Building Materials Alliance (ABMA) advocates for a negotiated resolution to stabilize pricing and supply, reform grading standards, and promote fair trade practices. Without such measures, the industry faces continued volatility driven more by policy than market fundamentals.
Tariffs, duties and grading rules are ratcheting up pricing pressure.