Global lumber shipments in 2014 on pace to topple 2007 highs

VANCOUVER (Scrap Monster): The steady rise in consumption of lumber has accelerated the global lumber trade. According to the Wood Resources Quarterly, the worldwide shipment of lumber in 2014 is all set to surpass the 2007 highs. The higher wood demand in European and MENA region has led to increased lumber exports from the Nordic countries and Russia.

The US lumber prices which peake4d during summer this year, has fallen significantly during the fall. The November prices were almost 10% lower when compared to August prices. The biggest decline in prices was seen for southern yellow pine.

Lumber prices in Sweden and Finland were at the highest level in almost fourteen quarters during 3Q/14.The exports from Sweden have seen jump of 7% over the period from January to August this year. The total yearly lumber shipments from the country are projected to hit the highest levels since 2008. Lumber markets expanded in the UK, Denmark and Egypt.

The Russian exporters hiked export volumes to take full advantage of the weakening Ruble. The shipments during 3Q/14 have touched record highs. China was the largest export market for Russian lumber products. The Russian lumber exports to China went higher by 11% during the initial nine-month period of the year. However, the average export value witnessed a slight drop during 3Q.

Japan saw weakness in construction sector, which in turn affected the demand for lumber. As a result, domestic lumber production declined. The lumber imports by the country have declined almost 16% during the period from January to September this year.

Despite reduced house sales, China’s softwood lumber imports increased by 5% during the nine-month period in 2014.The average lumber import prices too touched record highs during 3Q/14.