According to Madison’s Lumber Reporter, 2-by-4 (Western SPF, KD, # 2 & better) again saw a price decrease of over $200 this week and is now traded at $1048/1000 bft. When converted into euros and from nominal into actual size, European exporters now make €107/m³ less than in the previous week (€569/m³).
Even on the US market, such a sharp drop is unprecedented in the more recent past. In November 2020, the 2-by-4 price also fell strongly. At the time, however, it fell by “only” $400/1000 bft. Now, a decrease of $600/1000 bft has been recorded in less time. For European suppliers, prices fell by €280/m³ in two weeks.
Market analysts see the current situation as a struggle for new price levels. Demand remains high, and now it is necessary to find reasonable prices both for timber merchants and sawmills. It is unlikely that a four-digit USD-price will be the new level. Estimates range from $600 to $900/1000 bft. At a currency exchange rate of $1.19/€, European exporters would earn between €320 and €490/m³ (2-by-4, actual size, free Great Lakes region).
