West Coast Business Trends

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On the West Coast, the market for lumber is average or better. A lumber provider in California observed that the market for his company is “pretty average, which is not bad and not good.” Then, he added, “It’s better than you would think.” He said six months ago was “actually the same” as when he was interviewed. “People are going order-to-order, but we’re still busy.” He carries Walnut, White Oak and Hickory in uppers and No. 1 and No. 2, all in 4/4. “White Oak is very hot,” he observed. He sells to distributors and flooring companies. “They say they have a lot of quotes out and are just trying to close the deal,” the lumber provider remarked. “They have a lot of quotes for this time of year.” Trucking is not a problem, he said. The forest fires were not a threat to his business, but he noted that it was like it was snowing over Southern California; only it was ashes.

In Oregon, a lumber salesman said the market for his business was “better. Lumber’s tight; green lumber’s really tight. The production drops and curtailments we’ve seen are starting to drive green pricing up. I think the kiln-dried will follow. It’ll take us a little while to get there, but I think we’re seeing the seeds of better pricing.

“People are seeing some shortages across the board, and with manufacturing and housing continuing to be relatively strong, I think that bodes well for the winter because I don’t think we’re going to see production increases substantially through the winter. I think the winter’s going to be fairly decent to get some better pricing and keep those shipments going.” Compared to six months ago, he said things are “better – looking better anyway.”

Hard and Soft Maple, Cherry and Red Oak are this business’ four primary species. Hard and Soft Maple are the most consistent in their gain in prices, he observed. Customers are distributors and end users, but “we focus on as many end users as we can,” he stated.

As to his customers’ sales, he commented, “I think the cabinetry business is exceptionally busy. We have one particularly large furniture manufacturer who is busy and is obviously needing more wood. Our distributors are extremely busy right now and seem to be pressured to keep enough wood.” Transportation, he said, is not a problem.

In Washington, a wholesaler described sales as “pretty good,” despite the fires raging there at the time of this writing. Asked if the fires had affected his business, he replied, “I haven’t seen anything noticeable. But it is hazardous to be outside at the moment, so I would imagine it would slow a few things down.” He said his firm’s facilities were not in harm’s way. He said that sales are better than they were six months ago. He sells Poplar and Hard and Soft Maple. Most sales are in the uppers and No. 1 Common.

This wholesaler caters to end users: cabinets, flooring, furniture frames and millwork shops. “Everybody seems to be pretty busy,” he stated, regarding his customers. “I don’t know if it’s lack of labor or whatever, but we’re busy. But we could be busier because we don’t have enough workers.” He noted that his company is paying more for transportation these days. Getting flatbed trucks is difficult, he stated.

By Miller Wood Trade Publications

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

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