On the West Coast, hardwood lumber suppliers are currently facing stable to stagnant market conditions. While transportation remains smooth for most, order files for customers are experiencing a slowdown.
In California, one source mentioned that their markets are stable but not as robust as anticipated. They attribute this to high interest rates hindering home improvement projects. The source carries White Oak, Hickory, and Walnut, primarily in FAS No. 1 and 2 grades. Poplar is currently the best-moving species for them, while Basswood and Hickory are slower.
Their primary customer base includes lumberyards and woodworking manufacturers, both of which are experiencing some slowdown due to inflation and interest rates. Despite transportation being good in the area, concerns about market uncertainty and rising interest rates are prevalent.
Similarly, an Oregon supplier notes that the hardwood market is slow but steady, particularly for domestic hardwoods. They carry various thicknesses and grades, with Alder and Poplar being the best movers. Their customers, mostly high-end cabinet makers, are maintaining steady markets.
Transportation pricing has increased slightly, posing a challenge alongside market uncertainty and rising interest rates. Looking ahead, there may be lumber shortages due to low log supplies, potentially leading to price increases for certain species like White Oak, Hard and Soft Maple, and Red Oak.
