European sawmills’ profitability is being squeezed by high log costs and declining lumber prices, reports the Wood Resource Quarterly
Sawlog costs in Europe have gone up more than lumber prices the past year, reports the Wood Resource Quarterly. With the expected decline in lumber consumption, many sawmills in Europe are considering reductions in their operating rates. As a consequence, prices for sawlogs are likely to drop from their two–year highs in the coming months.Seattle, USA. Over the past year, the sawmilling sector in Europe has shifted from high production levels and the highest lumber prices in four years, to weakening lumber demand and reduced prices for many lumber grades during this fall. European lumber