Wood futures canadian sawmill capacity constraints

Canadian sawmill capacity constraints have fueled upward momentum in wood futures, now priced at $ When you buy through links on our articles, Future and its syndication partners may earn a commission. Last month, futures spiked when the U.S. announced a sharp increase in antidumping and countervailing duties on Canadian softwood lumber, more than doubling effective tariff rates. In 2024, Canada accounted for close to one-quarter of U.S. softwood lumber consumption, and the tariff move sparked aggressive pre-buying from wholesalers and builders who scrambled to secure supply before the cost increase filtered through. What followed was a classic case of hoarding-induced overshoot: once the front-loading of demand ended, trading volumes thinned and prices quickly reversed. Institutional traders attribute stability to balanced order flows in the construction sector and anticipate range-bound movement.