Lumber fell to 599.02 USD/1000 board feet on July 11, 2025, down 1.89% from the previous day. Over the past month, Lumber's price has fallen 2.99%, but it is still 37.54% higher than a year ago, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Lumber - values, historical data, forecasts and news - updated on July of 2025.

Graph and download economic data for Producer Price Index by Commodity: Lumber and Wood Products: Lumber (WPS081) from Jan 1967 to May 2025 about wood, commodities, PPI, inflation, price index, indexes, price, and USA.

The price of lumber in the United States fluctuated widely over the last five years, from a low of 240 dollars per 1,000 board feet in January 2016 to a peak of over 1,500 dollars in April 2021. This overall increase has not been linear though, with, for example, lumber prices falling by around 50 percent between June and September 2018, and again between August and October 2020. The value fell again by around 75 percent between May and August 2021. As of the end of December 2024, the price of lumber stood at 550.5 U.S. dollars per thousand board feet. Which nations are at the forefront of lumber production? The production of lumber is dependent on the availability of forest resources, market demand, and technological advances. Sustainable forest management practices a continuous supply of timber, while economic factors and construction activity drive demand. Among the countries countries with the largest production of lumber were China and the United States. Other countries with a relatively high lumber production rate were Russia, China, and Brazil.

Non-seasonal prices paid for softwood lumber in the United States have remained relatively stable since 2023, after reaching a peak in March 2022. While the price of softwood lumber in May 2021 was valued at over 581 index points, that figure dropped to 274 in September of that year. The price of softwood veneer and plywood in the United States has also followed a similar trend.

Get the latest insights on price movement and trend analysis of Softwood Lumber meal in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East Africa).

Graph and download economic data for Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Lumber (WPU0812) from Jan 1947 to May 2025 about floor coverings, wood, commodities, PPI, inflation, price index, indexes, price, and USA.

The price of lumber has seen both an overall increase, and large amounts of volatility since 2019. From its low in early April 2020 to its peak in May 2021, the price per 1,000 board feet of lumber increased almost sevenfold, reaching ***** U.S. dollars. Yet, after reaching this peak the price then fell to below *** U.S. dollars per 1,000 board feet in August 2021 before rising again to reach over 1,000 U.S. dollars in the beginning of 2022. Since then, the price per 1,000 board feet of lumber decreased overall, reaching *** U.S. dollars as of January 29, 2025.

According to Cognitive Market Research, the global Lumber market size will be USD XX million in 2024. It will expand at a compound annual growth rate (CAGR) of 5.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD XX million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.7% from 2024 to 2031.
The sustainable products category is the fastest growing segment of the Lumber industry

Market Dynamics of Lumber Market

Key Drivers for Lumber Market

Increased infrastructure development fuels lumber consumption and market growth to Boost Market Growth

The key drivers that dominate the growth of the lumber market due to increased infrastructure development include rising urbanization, population growth, and an expanding construction sector. As countries invest heavily in infrastructure projects such as roads, bridges, and residential and commercial buildings, there is a growing demand for Lumber as a primary building material. Additionally, the increasing focus on sustainable and eco-friendly construction practices has led to a preference for wood-based products, driving up lumber consumption. Government initiatives and policies aimed at enhancing urban development and improving infrastructure further stimulate the demand for Lumber. Moreover, the growing trend of wood's aesthetic and environmental benefits in interior design and construction projects contributes to market growth. The continuous development of new technologies in lumber processing and efficient supply chain management also boosts the availability of quality lumber, enhancing its consumption in the market. These factors collectively fuel the global lumber market growth.

Rising home construction projects drive lumber demand and prices

Rising home construction projects are a key driver of increased lumber demand and prices. The expansion of residential construction, fueled by population growth, urbanization, and low interest rates, boosts the need for Lumber. As more people seek homeownership and housing inventory remains limited, the demand for building materials, particularly Lumber, intensifies. Supply chain disruptions, limited mill capacity, and labor shortages further exacerbate the supply-demand imbalance, contributing to price hikes. Additionally, increasing government investment in infrastructure and housing projects, along with the shift toward sustainable building practices, is expected to continue driving demand for Lumber in the coming years.

Restraint Factor for the Lumber Market

Unpredictable timber costs affect pricing and profitability

Unpredictable timber costs pose significant restraints in the timber industry, directly influencing pricing and profitability. Fluctuations in raw material costs, driven by factors like supply chain disruptions, environmental regulations, and demand shifts, make it difficult for businesses to forecast expenses. This uncertainty can lead to pricing instability, forcing companies to either absorb higher costs or pass them onto consumers, which impacts competitiveness. Additionally, profitability is threatened as businesses struggle to maintain margins amidst rising or volatile timber prices. Long-term planning and financial stability are hindered, limiting growth opportunities and operational efficiency.

Trend Factor for the Lumber Market

Sustainable forestry and eco-certified lumber are gaining momentum

The lumber market is undergoing a significant transformation towards sustainability, characterized by an increasing demand for eco-certified and responsibly sourced wood products. Stakeholders including consumers, builders, and governments are emphas...

United States - Producer Price Index by Commodity: Lumber and Wood Products: Lumber was 277.36400 Index 1982=100 in March of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Lumber reached a record high of 462.00000 in May of 2021 and a record low of 4.50000 in August of 1932. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Lumber - last updated from the United States Federal Reserve on July of 2025.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Lumber was 279.04900 Index 1982=100 in May of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Lumber reached a record high of 316.10800 in May of 2022 and a record low of 24.30000 in January of 1947. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Lumber - last updated from the United States Federal Reserve on July of 2025.

Lumber Market Outlook 2032

The global lumber market size was USD 337.8 Billion in 2023 and is projected to reach USD 425.4 Billion by 2032, expanding at a CAGR of 3.3% during 2024–2032. The market growth is attributed to the growing infrastructure investments across the globe.



Rising infrastructure investments is a significant driver of the lumber market. Governments and private entities across the globe are making substantial investments in infrastructure development. This includes the construction of public facilities, commercial spaces, and residential complexes. Such development activities lead to a high demand for lumber, given its versatility and strength-to-weight ratio. Additionally, advancements in engineered wood products have further increased the use of lumber in structural applications, driving the lumber market.

Impact of Artificial Intelligence (AI) in Lumber Market

Artificial Intelligence has a significant impact on lumber market, by enhancing efficiency, accuracy, and productivity. The integration of AI in lumber operations has led to the development of smart sawmills that utilize machine learning algorithms to optimize the cutting of logs, thereby reducing waste and increasing yield. AI-powered drones and satellite imagery are now used for forest management, enabling precise inventory tracking and health assessment of trees.



AI has revolutionized supply chain management in the lumber industry, facilitating real-time tracking, predictive analytics for demand forecasting, and automated decision-making processes. This has resulted in reduced operational costs, improved customer service, and increased profitability. Furthermore, AI-driven predictive maintenance systems have been instrumental in minimizing equipment downtime, thus boosting overall productivity. The advent of AI has undeniably reshaped the lumber market, driving sustainability and growth.

Lumber Market Dynamics

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Graph and download economic data for Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Cut Stock and Dimension (WPU081203) from Dec 1980 to May 2025 about floor coverings, stocks, wood, commodities, PPI, inflation, price index, indexes, price, and USA.

Softwood Lumber Market Outlook

The global softwood lumber market size was valued at approximately $330 billion in 2023 and is projected to reach around $470 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.0% over the forecast period. The market's growth is primarily driven by the increasing demand for sustainable building materials, coupled with rapid urbanization and industrialization across various regions. As construction activities soar globally, especially in emerging economies, the demand for softwood lumber products is anticipated to rise significantly. Regulatory push towards greener building practices and the intrinsic properties of softwood, such as its strength-to-weight ratio and versatility, further fuel its adoption across industries.

One of the primary growth factors propelling the softwood lumber market is the expanding construction industry, which remains one of the largest consumers of lumber products. The need for residential, commercial, and industrial infrastructures has seen a steep rise in recent years, largely driven by population growth and urban migration. In particular, the demand for residential construction has surged due to increasing housing needs, which in turn fuels the demand for dimensional lumber and studs. Furthermore, the trend towards wooden architecture and sustainable building solutions has encouraged the use of softwood lumber, thanks to its renewability and lower environmental impact compared to alternative materials such as steel and concrete.

The furniture industry is another significant contributor to the growth of the softwood lumber market. As consumer preferences tilt towards eco-friendly and aesthetically appealing furniture designs, manufacturers are increasingly opting for softwood lumber due to its workability and attractive finishes. Innovations in wood treatment and processing have enhanced the durability and aesthetic appeal of softwood furniture, making it a popular choice for both residential and commercial applications. Additionally, the growth of e-commerce platforms has facilitated the reach of softwood lumber products to a larger consumer base, further driving market growth. An increase in disposable income and a growing middle-class population in developing countries are also playing a pivotal role in boosting the demand for softwood lumber in the furniture sector.

Environmental policies and sustainable forestry practices are also shaping the trajectory of the softwood lumber market. There is a growing emphasis on sourcing lumber from certified sustainable forests, which helps in preserving biodiversity and reducing carbon footprints. This has resulted in increased collaboration between governments, NGOs, and industry players to promote responsible forestry practices. Moreover, the development of engineered wood products and alternative lumber technologies is opening up new avenues for market growth, providing high-performance materials with enhanced properties for diverse applications. These innovations cater to the demand for durable, lightweight, and sustainable building materials, ensuring that the softwood lumber market continues to expand and evolve.

Product Type Analysis

The product type segment of the softwood lumber market comprises dimensional lumber, studs, boards, and others, each catering to distinct applications and demands within the market. Dimensional lumber is one of the most prominent categories, primarily utilized in construction due to its standardized sizing and ease of use. This type of lumber is preferred for framing in residential and commercial buildings because of its structural integrity and cost-effectiveness. Its popularity is further bolstered by advancements in wood processing technologies that enhance its performance, making it suitable for a wide range of construction needs. Dimensional lumber's demand is expected to grow steadily as global construction activities continue to expand.

Studs, another critical category within the product type segment, are essential components in building frameworks. Used extensively in wall partitions and load-bearing structures, studs provide the necessary support and stability required in both residential and commercial constructions. With an increasing focus on sustainable and energy-efficient buildings, the demand for precision-engineered studs is escalating. Manufacturers are responding by offering products that meet rigorous quality standards and environmental certifications, ensuring that they align with the latest building codes and regulations. As the construction industry becomes more sophisticated, the role of studs in ensuring structur

The Wholesale Price Index of wood and wood products across India during financial year 2024 was over 146.6. The price index value of wood related products increased by about 41 percent from the base year of 2012. An overall increase in the price index was seen over the years from financial year 2013 in the country.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Wood Trusses was 271.61600 Index Dec 2003=100 in April of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Wood Trusses reached a record high of 404.05600 in March of 2022 and a record low of 99.70000 in January of 2004. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Wood Trusses - last updated from the United States Federal Reserve on June of 2025.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Plywood was 156.86200 Index Dec 2012=100 in May of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Plywood reached a record high of 175.99700 in October of 2022 and a record low of 96.70000 in April of 2015. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Plywood - last updated from the United States Federal Reserve on July of 2025.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Softwood Lumber was 263.98400 Index 1982=100 in May of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Softwood Lumber reached a record high of 565.70000 in May of 2021 and a record low of 57.10000 in January of 1975. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Softwood Lumber - last updated from the United States Federal Reserve on July of 2025.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Flooring, Other Than Oak and Maple was 148.43700 Index Dec 2011=100 in May of 2025, according to the United States Federal Reserve. Historically, United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Flooring, Other Than Oak and Maple reached a record high of 153.88900 in March of 2023 and a record low of 99.60000 in February of 2012. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Flooring, Other Than Oak and Maple - last updated from the United States Federal Reserve on July of 2025.

Series Is Presented Here As Two Variables-- (1)--Original Data, 1913-1951 (2)--Original Data,1947-1954. See 1931 Bls Bulletin For Revisions From 1926-1931. Beginning In 1935, Revised Indexes Are Based Upon A Larger Sample Of Lumber Prices And An Improved Method Of Weighting Is Used. The Price Data Were Not Available For An Adequate Number Of Types Of Lumber To Make It Feasible To Compute Revised Indexes Prior To January, 1935. However, A Continuous Index (1926=100) Has Been Constructed Using The Revised Index For January, 1935 At The Same Level As The Series Which It Replaces. In October, 1940, The Bls Lumber Index Was Revised Back To January, 1935. Figures For November And December, 1942, Were Shown In Monthly Wholesale Prices (Mimeographed) For April, 1944; Not Published Elsewhere. Figures For September-December, 1943 Were Shown In Monthly Wholesale Prices (Mimeographed) For June 1945; Not Published Elsewhere. After December, 1951, Index On 1926 Base Was Discontinued. Source: Bls Bulletin Of 1930 And Following Issues Of "Wholesale Prices" Through 1941; Bls Bulletin Nos. 736, 759, 785, 870, 877, 920, 947, 973, 1007, And 1083 Through 1950; Monthly Labor Review, 1952 Issues For 1951.

This NBER data series m04164a appears on the NBER website in Chapter 4 at http://www.nber.org/databases/macrohistory/contents/chapter04.html.

NBER Indicator: m04164a

Explore the stabilization of the lumber market as industry confidence grows. Discover global sawnwood consumption and production trends with insights into future planning.