Lumber rose to 530 USD/1000 board feet on September 10, 2025, up 0.19% from the previous day. Over the past month, Lumber's price has fallen 16.73%, but it is still 8.48% 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 September of 2025.

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.

Graph and download economic data for Index of Wholesale Prices of Lumber for United States (M0464BUSM349NNBR) from Jan 1947 to Feb 1954 about wholesale, wood, price index, indexes, price, and USA.

Explore the dynamic landscape of lumber prices in the U.S., affected by factors like supply chain disruptions, the COVID-19 pandemic, geopolitical tensions, and economic trends. Discover how housing market fluctuations, tariffs, and environmental events such as wildfires impact this volatile market, and gain insights into the prospects for price stabilization as of late 2023.

Graph and download economic data for Producer Price Index by Commodity: Lumber and Wood Products: Lumber (WPU081) from Jan 1926 to Aug 2025 about 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.

Lumber wholesalers distribute a wide range of lumber, plywood, millwork and wood panel products to contractors, home improvement stores, hardware stores and other miscellaneous buyers, like government agencies, businesses for end use, consumers and farms. The industry has faced severe volatility through most of the current period as a result of the pandemic, massive supply chain disruptions and surging interest rates. In particular, higher rates offset growth realized at the start of the pandemic from torrid housing starts and home improvement markets, leading to five-year declines in the industry. Overall, revenue has faltered at an expected CAGR of 1.1% to $150.7 billion through the current period, despite a 1.3% jump in 2025, where profit reached 4.3%. Supply chain disruptions have also had an outsized impact on the industry's performance. In particular, major lumber shortages caused prices to skyrocket more than 36.0% in 2021. Wholesalers faced shrinking inventories and heightened demand from housing markets, with demand overwhelming availability. Companies were able to heavily raise prices, reaping 14.0% growth in the year. As prices ebbed and construction markets cooled, revenue dropped significantly, erasing gains from the start of the current period. In general, the cyclical nature of construction markets contributes to major boom-or-bust cycles. Lumber wholesalers will continue to contend with uncertainty through the outlook period. While interest rate cuts in 2024 and 2025 point toward healthier construction markets in the near future, tariffs may likely create economic uncertainty. Additionally, trade policies may introduce new supply chain complexities, raising lumber prices and potentially encouraging contractors to adopt alternative materials in home building. Additionally, companies will start to prioritize cost-saving technology and systems, like robotics and inventory management systems, improving connectivity with buyers and suppliers while reducing labor reliance. Wholesalers will also need to effectively manage inventories, ensuring products meet sustainability standards to attract and retain buyers. Overall, revenue will rebound at an expected CAGR of 2.0% to $166.7 billion through the outlook period, where profit will reach 4.4%.

Explore the factors influencing lumber price fluctuations in the U.S., including supply-demand dynamics, natural disasters, and trade policies, with insights on price trends and resources for the latest updates.

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 August of 2025.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Hardwood Lumber was 279.33000 Index 1982=100 in July 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 September of 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...

As of June 20 2025, 2x4 western spruce-pine-fir (kiln dried) Utility #3 was the lowest priced type of lumber in North America, at *** U.S. dollars per 1,000 board feet. Meanwhile, 2x4 eastern spruce-pine-fir stood at *** Canadian dollars per 1,000 board feet.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Wood Trusses was 269.61600 Index Dec 2003=100 in June 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 July of 2025.

The annual price growth rate of hardwood lumber in the United States fluctuated significantly between 1970 and 2024. During that time, the highest increase was observed in 2021 when hardwood lumber prices increased by **** percent. The producer prices for hardwood lumber fell by ** percent in 1975.

United States - Producer Price Index by Commodity: Lumber and Wood Products: Softwood Lumber, Made from Purchased Lumber was 270.48400 Index Dec 2003=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, Made from Purchased Lumber reached a record high of 334.29300 in March of 2022 and a record low of 100.00000 in December of 2003. 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, Made from Purchased Lumber - last updated from the United States Federal Reserve on September of 2025.

View monthly updates and historical trends for US Producer Price Index: Sawmills: Softwood Lumber, Made In. from United States. Source: Bureau of Labor St…

Over the past five years, the industry has experienced moderate growth, driven largely by a surge in residential construction activity during the early pandemic years. Elevated lumber prices, spurred by supply chain disruptions and a housing boom, helped lift industry revenue and profitability in 2020 and 2021. However, this momentum was disrupted as inflationary pressures and rising interest rates cooled the housing market and caused demand for lumber to drop. Profit, which expanded during the peak of price spikes, began to level off as mills operated below capacity and faced reduced pricing power. Still, investments in automation and efficiency allowed many operators to preserve profitability even as market volatility intensified. The industry also contended with shifting trade dynamics and global economic uncertainty. Ongoing trade disputes with Canada and reduced exports to key markets like China and Mexico contributed to weaker external demand. At the same time, domestic supply chains improved, and inventory buildup from prior overproduction softened raw material costs. While facility closures and consolidation helped restore a better supply-demand balance, overall growth remained modest. Industry revenue rose at a CAGR of 3.2% over the past five years, reaching $53.2 billion in 2025, including a 0.3% growth in 2025 alone. Looking ahead, the industry is expected to grow more slowly as it adjusts to structural shifts in housing demand and evolving building practices. While lower interest rates could help stabilize residential construction, long-term affordability challenges are likely to dampen recovery. However, emerging opportunities such as cross-laminated timber in mid-rise buildings and the repurposing of wood waste for energy and industrial inputs may help diversify revenue streams. Consolidation, paired with modest technological innovation and workforce expansion, will support operational resilience. Over the next five years, industry revenue is projected to grow at a slower CAGR of 1.8%, reaching $58.1 billion by 2030.

United States - Export Price Index (End Use): Logs and Lumber was 116.60000 Index 2000=100 in July of 2025, according to the United States Federal Reserve. Historically, United States - Export Price Index (End Use): Logs and Lumber reached a record high of 137.70000 in March of 2022 and a record low of 79.50000 in January of 2020. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Export Price Index (End Use): Logs and Lumber - last updated from the United States Federal Reserve on September of 2025.

The price of millwork in the United States continued its growth-trend in 2021, peaking at nearly ***. In contras, the previous year that index value was at over ***. This value of index was set at 100 in 1982. In contrast, the price of softwood lumber in the United States has fluctuated much more in the past years.