Northeast Business Trends – March 2024

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Throughout the Northeast region lumber contacts were varied in their response to whether or not the market was doing better than it was six months ago, but they all agreed that, at the time of this writing, their sales are depressed.

In Maine, a lumber spokesperson said that while his sales are currently doing worse than they were six months ago he doesn’t believe that this is a static trend, noting that he is currently getting more for Ash and Hard Maple than he is able to saw. “Six months ago, I had more logs in the yard, now I’ve got enough to saw in about a day. The mud season started last March and it hasn’t stopped,” he continued.

His company offers Hard and Soft Maple, White Ash and Red Oak, as well as Cherry, on occasion, in grades No. 3A and Better and in 4/4 and 5/4 thicknesses. “Maple continues to be our best seller with it making up 50 to 60 percent of our production,” he said.

He sells to end users, concentration yards and brokers.

A lumberman from New Hampshire noted that his kiln-dried markets are depressed. “The demand is low and pricing is challenging, for kiln-dried lumber. The green markets are aggressive with there being very little logs and green lumber is probably overpriced compared to what kiln-dried lumber is currently,” he said. “For companies that depend on green lumber it’s kind of a catch 22, they either buy green lumber at higher prices or they send their people home.”

He believes that his sales are doing better than they were six months ago but mentioned that he doesn’t have any reason to be optimistic in the near future.

His company offers Ash, Basswood, Beech, Birch, Cherry, Hard and Soft Maple, Red and White Oak, Hickory and Yellow Birch in grades No. 2 Common and Better and in 4/4 and 5/4 thicknesses. “White Oak is still the prevailing specie to be dealing with if you are able to buy it correctly. The Maples are showing some signs of life after a long period of hibernation,” he said.

He noted that 50 percent of his companies sales are sold overseas, while what is sold domestically is sold to distribution yards, cabinet, furniture and flooring manufacturers. “The only customers that seem to be doing well right now are the small distribution yards that have been able to hold their own.”

He said that he would love to be able to find some more optimism in the marketplace, but he isn’t seeing a huge demand for Hardwoods in the general marketplace.

A New York lumber representative said that his marketplace and sales have been quite slow. “There is no question that China isn’t interested in buying our lumber, which has led to the market being oversupplied with solid Hardwoods while there is an increased usage in panel products.”

He mentioned that he believes that the sales are worse than six months ago. “I thought that things were settling, and that everyone would be done adjusting their inventories and that they would be straightened out by now and that companies would be able to purchase lumber in a meaningful way, but I feel like sales have taken another dive.”

His company sells to exporters, distribution yards and large wholesalers and sawmills that have secondary manufacturing capabilities. He noted that many of his customers have said that their sales have slowed and that they have stocked up too much inventory that they are having issues moving.

His company offers Red and White Oak, Cherry, Poplar, Hard and Soft Maple, and occasionally Walnut. “I would say that 50 percent of my product is going to upper grades, while I find a balancing act for the Nos. 1 and 2 Common that are being soaked up by the railroad ties.” He also mentioned that White Oak is his best seller and that he continues to get phone calls from people offering to sell it to him. “It’s moving along pretty steadily but I’m not sure that the price is going up on it.”

By Miller Wood Trade Publications

The premier online information source for the forest products industry since 1927.

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