The price of lumbe 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 1,670 U.S. dollars. Yet, after reaching this peak the price then fell to below 500 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 576 U.S. dollars as of January 29, 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.

Lumber increased 124.05 USD/1000 board feet or 22.55% since the beginning of 2025, 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 March of 2025.

Graph and download economic data for Producer Price Index by Commodity: Lumber and Wood Products: Lumber (WPU081) from Jan 1926 to Feb 2025 about wood, commodities, PPI, inflation, price index, indexes, price, and USA.

Throughout the timeline, hard sawn wood has had higher prices than any other type of timber. In 2023, its price amounted to 678 U.S. dollars per cubic meter, which is twice higher than that of hard timber logs. During that period, hard logs were the cheapest type of timber at approximately 212 U.S. dollars per cubic meter. Meanwhile, lumber prices in the U.S. have fluctuated a lot since February 2020.

Building materials made of copper had some of the highest price growth rates in the U.S. in December 2024 in comparison to the previous year. The growth rate of the cost of many construction materials was much lower than in 2023. It is important to note, though, that the figures provided are Producer Price Indices, which cover production within the United States, but do not include imports or tariffs. This might matter for lumber, as Canada's wood production is normally large enough that the U.S. can import it from its neighboring country. Construction material prices in the United Kingdom Similarly to the inflation trends in the U.S. at that time, the price growth rate of construction materials in the UK were generally lower 2023 than in 2022. Nevertheless, the cost of some construction materials in the UK still soared that year, with several of those items reaching price growth rates of over 10 or even of over 14 percent. Considering that those materials make up a very big share of the costs incurred for a construction project, those developments may also have affected the average construction output price in the UK. Construction material shortages during the COVID-19 pandemic During the first years of the COVID-19 pandemic, there often were supply problems and material shortages, which created instability in the construction market. According to a survey among construction contractors, the construction materials most affected by shortages in the U.S. during most of 2021 were steel and lumber. This was also a problem on the other side of the Atlantic: The share of building construction companies experiencing shortages in Germany soared between March and June 2021, staying at high levels for over a year. Meanwhile, the shortage of material or equipment was one of the main factors limiting the building activity in France in June 2022.

Snapshot img

Timber Logistics Market Size 2025-2029

The timber logistics market size is forecast to increase by USD 18.57 billion at a CAGR of 6.4% between 2024 and 2029.

The market is experiencing significant growth due to several key trends. Technological advances are revolutionizing the industry, with the adoption of automation and digitalization in timber transportation and processing. Additionally, there is an increasing demand for lesser-known timber species, offering opportunities for market expansion. The market's size is significant, with applications ranging from paper production using wood pulp and fuelwood to furniture manufacturing. However, the market faces challenges, including growing concerns over rising deforestation and the need for sustainable forestry practices. These issues are driving the need for transparency and accountability in the timber supply chain. The market analysis report provides a comprehensive overview of these trends and challenges, offering insights into the future growth prospects of the timber logistics industry.

What will be the Size of the Timber Logistics Market During the Forecast Period?

Request Free Sample

The market encompasses the transportation and management of various timber products, including construction materials like sawn timber, plywood, and industrial roundwood, as well as paper-based packaging solutions such as paper and paperboard, tissue paper, and packaging materials. Key drivers in this market include the construction industry's continued demand for sustainable building materials and the growth of eco-friendly packaging trends.
Moreover, sustainable forest management is increasingly important, with a focus on certified timber products and the reduction of deforestation and illegal logging practices. Infrastructure limitations pose challenges to efficient timber transportation via land and sea, necessitating innovation in the form of technologies like blockchain, drones, and satellite imagery for forest mapping and timber inventory management. Consumers' increasing environmental consciousness further fuels market growth.

How is this Timber Logistics Industry segmented and which is the largest segment?

The timber logistics industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  Industrial roundwood
  Fuelwood
  Others


Mode Of Transportation

  Land transportation
  Sea transportation


Service

  Transportation
  Warehousing


Geography

  APAC

    China
    India
    Japan


  Europe

    Germany
    UK
    France
    Italy


  North America

    US


  South America

    Brazil


  Middle East and Africa

By Type Insights

The industrial roundwood segment is estimated to witness significant growth during the forecast period.

The market encompasses the transportation and distribution of industrial roundwood, a fundamental input in the production of paper, lumber, and various wood-based products. The market's expansion is fueled by the burgeoning wood-based product industry and the escalating preference for eco-friendly and sustainable solutions. The construction sector is a significant consumer of industrial roundwood, utilizing it for timber frames, roofing, flooring, and other applications. Moreover, it plays a pivotal role in the manufacturing of paper, packaging materials, and wood-based products for the furniture industry. The increasing urbanization and population growth have led to an increase in construction activities, thereby driving the demand for industrial roundwood.

Get a glance at the Timber Logistics Industry report of share of various segments Request Free Sample

The industrial roundwood segment was valued at USD 18.35 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 40% to the growth of the global market during the forecast period.

Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market share of various regions, Request Free Sample

The construction industry in Asia Pacific (APAC), particularly in countries like India, is experiencing significant growth. With the Indian government planning to mobilize over USD1 trillion in investments by 2025, the country is projected to rank among the world's top five largest construction markets. By 2050, it is estimated that over 65% of the global population will reside in urban areas, with a majority in APAC. Indonesia, a major construction market in APAC, is anticipated to expand at a faster pace than other countries in the region. The increasing urbanization and construction activities in APAC are driving the deman

In 2023, concrete blocks and bricks were the construction materials with the highest price increase in Canada. The average price of that product was over 15.6 percent higher in 2023 than in the previous year. Meanwhile, the price of lumber and other sawmill products decreased in 2023, after its price soared in 2020 and 2021. Due to inflation, supply chain disruptions, and other problems, the price for most construction materials increased very significantly in 2021 and 2022.

Find in-season and off-season pricing for heating fuels, including heating oil, propane and wood price surveys by DOER. Links to electric and natural gas rates also available here.

In 2024, after three years of growth, there was significant decline in the wood charcoal market in the United Arab Emirates, when its value decreased by -31.6% to $64M. In general, consumption, however, recorded significant growth. Over the period under review, the market attained the maximum level at $94M in 2023, and then dropped remarkably in the following year.

Between 2022 and 2024, the construction price of residential and non-residential buildings in Canada has grown at the same pace. The price of both types of buildings was roughly six percent higher in the last quarter of 2024 than in 2023, which is the year when the index base was set at 100. Nevertheless, that only considers the cost of buildings in 15 selected metropolitan areas in Canada. Toronto was by far the metropolitan region with the highest construction costs in Canada.

What determines construction costs? The growth rate of the construction price of different types of buildings tends to follow similar trends to some extent. For example, price growth rates in Canada for most types of buildings were more moderate in 2023 than in previous years. However, those figures show a lot of disparity, with the cost of building a high rise apartment building growing much faster than that of other types of buildings. This might be because the construction costs depend on elements such as the location, materials, and complexity of the building, which tend to be quite different for each type of building.

Lumber building materials in Canada In 2023, Canada was the world’s second-largest exporter of wood building materials such as veneer sheets, parquet flooring, particleboard, laminated wood, and builders’ joinery and carpentry. Forestry, logging, and processing wood into ready-to-use materials are important industries in the Canadian economy. High price growth rates of building materials impact negatively the construction industry as their activities become more expensive. However, the forestry and logging industry benefited from the cost of lumber rising in 2020 and 2021. In the past years, the price of lumber, however, has fallen again.

After three years of growth, the Myanmar's plywood market decreased by -0.4% to $90M in 2024. Over the period under review, consumption, however, saw noticeable growth. Plywood consumption peaked at $90M in 2023, and then dropped slightly in the following year.

In the fiscal year 2023, the Japanese construction cost deflator for buildings stood at 123.6 index points, increasing from 121.2 points in the previous year. The construction cost deflator is a weighted index estimating the inflation-adjusted price development of construction in Japan, considering expenditures for materials, labor, and investment. What are features of the construction cost deflator? Since 1951, the government has been compiling a deflator for construction costs. It helps, for example, to determine contract prices for public works like roads. Today’s version includes various sub-indices, such as the one for buildings; they may be residential or non-residential, and their structural frames may be either wood, steel, or reinforced concrete. While the deflator considers all of Japan, other price indices give more detailed insight into specific buildings, materials, and regions. Rising energy-prices have spilled over to materials Japan has not been spared by recently inflating energy prices. Accordingly, the domestic construction industry is monitoring the monthly construction material price index. Unlike the deflator, it also provides regional-specific data, showing that although inflation impacted all materials throughout the country, some materials and places were more affected than others. In Tokyo, cement prices have increased by over 42 points since fiscal year 2021 – in Osaka, by around 50.