(Wood Resources International)
Continued increase in US housing constructions, growing demand for wood, high lumber prices, imposed import tariffs on Canadian lumber, and a strong US dollar are recent market developments that will impact forest products market dynamics in 2017, not only in North America, but on other continents as well, reports the Wood Resource Quarterly (WRQ).
The US Department of Commerce announced on April 25 preliminary countervailing duties (CVD) on Canadian lumber imported to the US. The rate range for Canadian lumber producers, taking effect on May 1, 2017, were set from 3.0 to 24.12% with an average of about 20%.
The announcement of the high tariffs did not come as a surprise and will probably not increase lumber prices over the next few months, as many lumber traders in the US had already accounted for a higher cost for lumber shipped from its neighbor in the north. Click here to read more.