Northeast Business Trends August 2026 – Quiet Market Causing Slow Movement In The Northeast
Hardwood markets across the Northeast are quiet and movement is slow, although some lumber contacts are seeing a slight increase in activity. The main concern, however, is the falling price of lumber. Red Oak remains a dominant best seller in the region, while one contact is seeing a renewed demand for Cherry, increasing its price in a market where decreasing prices have been the trend.
A Vermont lumber source described the market as “flat” but moving okay.
He reported that the market has been better than it was six months ago.
“Just seemingly there’s a little more activity,” he explained. “In December and January in our region, there was just not much happening at all, very quiet. So, it’s picked up a little bit.”
The lumber source offers 4/4, 5/4, 6/4 and 8/4 thicknesses in upper grade domestic hardwoods and said, “Red Oak would be No. 1, next would be Hard and Soft Maple, followed by Ash. Grades, we certainly do a good volume of No. 1 Common and Better, but we also do the residuals of pallet wood and railroad ties.”
While he said Red Oak has been his bestseller, lower grade pallet wood seems to have picked up.
“That’s the one item that has improved,” he said. “It appears there’s a little more demand for pallet lumber.”
He mainly sells to wholesalers and stocking distributors, who have also commented on the flat market.
“It’s just a little quiet everywhere, but we do seem to be moving what we’re making,” he said.
Ongoing challenges, such as high fuel prices and labor issues, have continued to cause some hurdles to get past.
“Transportation costs have had a real negative impact,” he said. “Labor continues to be a challenge. It has been for the last several years. It’s probably a little better than it has been, but it’s not solved at this point.”
In more recent developments, a new issue has popped up.
“The one newer challenge that we have is the volume of log exports that we compete against in the log-buying arena,” he said. “We don’t export logs, but an awful lot of people export logs around us. They are making log purchasing very competitive. It has increased log pricing quite a bit.”
A lumber representative in Connecticut said she has been experiencing market challenges. It’s “slow, very slow,” she explained.
She said that the market has been worse than it was six months ago.
“It’s just quieter. There’s much more instability causing less demand,” she said.
Her company predominately handles upper grade domestic Red and White Oak in 4/4, 5/4 and 6/4 as well as some Hickory and Hard and Soft Maple in 4/4.
The dominant seller is Red Oak, she stated.
Her customers include exporters, end users and a few distributors, who have been expressing concerns about the market.
The source recently attended an association meeting where the market’s pace was discussed.
“The sentiment is the same,” she said. “It’s non-stable and slow.”
Transportation has been an ongoing issue that seems to be subsiding.
“Transportation was crazy, but it seems to be a little more stable now,” she said. “It was fuel-related, but it was also a lack of drivers. The whole ICE thing has been a little difficult.”
High fuel prices remain a challenge, although that may be leveling off since “we haven’t seen any huge spikes” in recent weeks, she said at the time of this writing.
In New York, the market has been slightly slower than it was six months ago.
“I would say most everything is moving, but the prices are coming down,” said a lumber supplier.
He attributed the decrease to it typically being easier to move lumber in the wintertime.
“For us, going into winter, prices usually go up,” he explained. “It’s easier to move lumber in the winter, green lumber. When you go into summer, there’s more degrade from stain, and prices generally contract a little bit.”
The source handles all domestic hardwoods, offering 4/4 to 16/4.
Although Hard Maple is the most cut at his operation, he said, “I wouldn’t say it’s the most desired right now because of the warm temperatures.”
However, there has been a higher demand for Ash because of a limited supply.
“We’re seeing some demand for Cherry, which has caused the price to go up some but not to where it was,” he added.
With a customer base of mostly brokers, some have made remarks about the current condition of the market.
“They are all saying the prices are going down,” he said. “I think it’s because of various reasons, but ultimately it’s just a lack of demand, whether it’s in China or the Middle East, and some of it is domestic.”
He said there have been some challenges with high fuel prices, which have forced shipping costs to increase.
Another challenge at times has been labor, but he described his workforce at the time of this writing as being “in good shape.”
Even though the market has remained quiet for the most part, slight improvements among different facets of the industry may show signs of a slow upward trajectory.
