Lumber fell to 537 USD/1000 board feet on December 1, 2025, down 1.29% from the previous day. Over the past month, Lumber's price has fallen 1.47%, and is down 9.54% compared to the same time last year, 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 December of 2025.

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 was 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 emphasizin...

The global softwood lumber market is projected to reach a value of 600.93 billion by 2033, expanding at a CAGR of 2.9% from 2025 to 2033. The market's growth is primarily driven by the increasing demand for softwood lumber in construction, packaging, and other industrial applications. The construction industry remains the largest consumer of softwood lumber, with residential and commercial construction accounting for a significant portion of the demand. The rising population and urbanization in emerging economies are contributing to the increased demand for residential construction, which in turn is driving the growth of the softwood lumber market. The market is segmented based on usage, species, grade, and end use. Construction accounts for the largest share of the market, followed by packaging and pallets. Pine, spruce, and fir are the most commonly used softwood species, with pine being the most preferred due to its availability and affordability. Select and Number 1 Common are the most popular grades, with Select being used for high-end applications and Number 1 Common for general construction purposes. Residential construction is the largest end-use segment, followed by commercial and industrial construction. North America and Europe are the dominant regions in the softwood lumber market, with North America accounting for the largest share. Major players in the market include Sierra Pacific Industries, Interfor, Coastal Plywood Company, Hampton Affiliates, and Canfor Corporation. Key drivers for this market are: 1 Rising construction activity in developing economies2 Increasing demand for wood products in the furniture industry3 Growing awareness of sustainability and environmental concerns4 Technological advancements in lumber production and processing5 Expanding ecommerce platforms for lumber distribution. Potential restraints include: 1 Growing demand for construction and renovation The Construction sector is projected to grow 35 annually to reach 1459 trillion by 20282 Supply chain disruptions and geopolitical factors: Russia-Ukraine conflict and COVID-19 pandemic continue to affect supply chains and lumber prices3 Rising cost of raw materials Shortage of logs due to forest fires, hurricanes and pest infestations pushes up lumber costs4 Environmental regulations and sustainability concerns Growing focus on sustainable forestry practices and certification driving demand for certified lumber5 Technological advancements Automation and digitization in lumber production and distribution improve efficiency and reduce costs.

Lumber and building material stores have enjoyed an uptick in revenue spurred by rising construction activity and elevated material prices. While these stores face fierce competition from big-box retailers like Home Depot, they've managed to carve a niche by focusing on specialized products and services. Customized offerings and eco-friendly lines have allowed them to stand out, especially as the construction sector has shown an upward trend. Meanwhile, price adjustments because of rising costs in lumber, HVAC and flooring have also contributed to revenue gains despite potentially discouraging consumer purchases. Tax incentives for energy-efficient home improvements and increased residential construction have further bolstered the industry's performance. Revenue is expected to climb at a CAGR of 0.7% to $160.8 billion through the end of 2025, including a projected growth of 0.4% in 2025 alone. In the same year, profit is anticipated to account for 5.0% of revenue. Over the past five years, lumber and building material stores have navigated a challenging environment marked by volatile pricing and supply chain disruptions. Yet, they've managed to maintain a steady course. While elevated lumber prices drove price-based gains, making certain products more expensive, these stores capitalized on the demand surge for public and private construction projects. Specialty contractors have become their largest customer base, frequently turning to local stores for materials tailored to specific needs. Consolidation within the industry has been a notable trend, with larger companies acquiring smaller competitors to remain viable against big-box giants. Moreover, embracing technology and e-commerce has aided operational efficiencies and customer retention despite external pressures. Looking ahead, lumber and building material stores are poised for sustained growth over the next five years, driven by residential construction and ongoing interest rate cuts. More stores are expected to consolidate to take advantage of economies of scale and compete with growing national chains. Environmental consciousness will also shape offerings, with more stores stocking green building materials to meet rising consumer demand for sustainable infrastructure. Though competition from home improvement stores will intensify, lumber and building material stores will thrive by focusing on local expertise, customer service and innovation to maintain their competitive edge in an evolving market. Revenue is forecast to inch upward at a CAGR of 0.8% to $167.3 billion through the end of 2030.

In April 2023, the price of Wood Tool reached $3,666 per ton (CIF, Mexico), exhibiting a 50% increase compared to the previous month.

Industrial product price index (IPPI), by product by North American Product Classification System (NAPCS) 2017 Version 2.0. Monthly data are available from January 1956. The table presents data for the most recent reference period and the last four periods. The base period for the index is (202001=100).

The global wood decking market is experiencing robust growth, driven by increasing demand for aesthetically pleasing and durable outdoor living spaces. Residential building applications constitute a significant portion of this market, fueled by rising disposable incomes and a preference for eco-friendly building materials. The commercial sector, including hotels, restaurants, and public spaces, also contributes significantly, reflecting the growing focus on enhancing outdoor amenities. Infrastructure projects, such as parks and walkways, further expand the market's scope. Popular decking types include redwood, cedar, and pressure-treated lumber, each catering to specific needs and budget considerations. While redwood and cedar offer superior aesthetics and longevity, pressure-treated lumber provides a cost-effective alternative. The market is characterized by both established players and emerging manufacturers, creating a competitive landscape. Geographic distribution shows strong growth across North America and Europe, driven by high construction activity and consumer preference. Asia-Pacific is also witnessing increasing demand, reflecting urbanization and rising middle-class incomes. However, challenges like fluctuating lumber prices and environmental concerns related to deforestation pose potential restraints. Looking ahead, the market is expected to maintain a healthy growth trajectory, driven by innovative product development, such as composite decking materials, and a continued focus on sustainable sourcing practices. The long-term outlook remains positive, as consumers increasingly prioritize outdoor spaces and environmentally conscious building materials. Competition among manufacturers is expected to intensify, emphasizing the need for product differentiation, efficient supply chains, and sustainable business practices. The market's growth is projected to continue at a steady pace throughout the forecast period (2025-2033). This growth is fueled by factors including the increasing popularity of outdoor living, advancements in decking technology and materials (including composite options), and a growing global emphasis on sustainable building practices. Regional variations in growth are expected, reflecting economic conditions, building regulations, and consumer preferences in specific markets. North America and Europe will likely continue to dominate the market due to established infrastructure and high consumer demand. However, regions such as Asia-Pacific are expected to exhibit significant growth potential driven by rapid urbanization and rising disposable incomes. Innovation in design, durability, and maintenance-free options will play a key role in shaping the future of the wood decking market. Companies will need to adapt to evolving consumer preferences and environmental regulations to secure their position in this dynamic sector.

According to Cognitive Market Research, The Global Cedar Wood market size will be USD 0.35 billion in 2023 and will grow at a compound annual growth rate (CAGR) of 6.9% from 2023 to 2030.

The global Cedar Wood market will expand at a significant rate of 6.9% CAGR between 2023 and 2030.
The demand for Cedar Woods is rising due to the rise in demand from the pharmaceutical sector. 
Demand for Conventional remains higher in the Cedar Wood market.
The Offline category held the highest Cedar Wood market revenue share in 2023.
North America will continue to lead, whereas the Asia Pacific Cedar Wood market will experience the strongest growth until 2030.

Rise In Demand From Pharmaceutical Sector to Provide Viable Market Output

The growing demand from the pharmaceutical industry is driving significant growth in the Cedar Wood Market. Cedarwood is prized for its natural fragrant components and healing qualities. The pharmaceutical sector is using it more and more to extract essential oils and active substances for use in a variety of therapeutic goods, such as ointments, herbal medicines, and natural treatments.

As per data from the Canadian Construction Association, the construction sector stands as one of the leading employers, providing jobs for approximately 1.4 million individuals, and is a substantial contributor to the nation's economic prosperity. Notably, this industry is comprised of around 70% of small and medium-sized enterprises (SMEs), and it plays a crucial role by contributing approximately 7.5% to the country's Gross Domestic Product (GDP).

(Source: www.cca-acc.com/about-us/value-of-industry/)

With the growing preference for natural and holistic healthcare solutions, cedarwood's applications in pharmaceuticals are expanding, significantly driving the demand for cedarwood and positioning it as a valuable resource in the market.

Technology Innovations to Propel Market Growth

Technology innovations are driving the Cedar Wood Market by improving sustainability and resource management. Advanced forestry techniques, such as drone-assisted tree monitoring and selective harvesting, allow for more sustainable cedar wood sourcing. Additionally, new treatment technologies enhance the durability and longevity of cedar wood, expanding its range of applications.

In October 2022, doTERRA introduced a range of fresh essential oils sourced naturally and sustainably. This latest collection encompasses eucalyptus essential oil and guaiac wood essential oil.

(Source: www.doterra.com/IN/en_IN)

Digital marketing and e-commerce platforms make it easier for consumers and businesses to access cedar wood products. Furthermore, improved supply chain management and tracking technologies ensure efficient distribution. These technological advancements contribute to the cedar wood market's growth and environmental sustainability.

Market Dynamics For The Cedar Wood Market

Key Drivers for Cedar Wood Market

High Durability and Natural Resistance Properties: Cedar wood is well-known for its ability to resist decay, insects, and moisture, which makes it a favored option for outdoor furniture, decking, fencing, and siding. Its durability decreases the need for frequent replacements, appealing to both commercial and residential users.

Aesthetic Appeal and Aromatic Qualities: Featuring its deep reddish tones, fine grain, and fragrant oils, cedar wood is highly sought after for interior uses such as wardrobes, closets, paneling, and handcrafted furniture. Additionally, its aroma naturally deters pests, enhancing its functional benefits.

Rising Use in Sustainable and Green Building Projects: As consumers and developers increasingly embrace eco-friendly construction practices, cedar wood—recognized as a renewable and biodegradable resource—has become more popular. Certification standards like FSC (Forest Stewardship Council) further encourage its application in sustainable architecture.

Key Restraints for Cedar Wood Market

Limited Availability and Regional Supply Concentration: Cedar is not extensively accessible in all regions and is primarily obtained from North America and certain areas of Asia. This geographical concentration results in supply limitations and increased costs in markets reliant on imports.

Price Volatility Due to Logging Regulations and Weather: Restrictions on logging aimed at forest conservati...

The revenue of the pine wood market in Southern Asia amounted to $X in 2017, growing by X% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The pine wood consumption continues to indicate a skyrocketing increase. The growth pace was the most rapid in 2015, with an increase of X% against the previous year.

The global naturally rot-resistant wood market is experiencing robust growth, projected to reach a value of $409 million in 2025 and maintain a Compound Annual Growth Rate (CAGR) of 7.8% from 2025 to 2033. This expansion is driven by several key factors. The increasing demand for sustainable and eco-friendly building materials is a primary driver, as naturally rot-resistant wood offers a renewable alternative to chemically treated lumber. Furthermore, the rising construction activity in both commercial and residential sectors globally fuels market growth. The inherent durability and longevity of rot-resistant wood, reducing maintenance and replacement costs over time, also contribute to its appeal. While potential restraints could include fluctuating timber prices and limitations in supply of specific species, the overall market outlook remains positive due to the growing awareness of environmental concerns and the desire for longer-lasting, sustainable construction solutions. The market segmentation reveals a strong demand across diverse applications, including commercial and civil building projects. Monolayer and multi-storey applications are also witnessing significant growth, reflecting the versatility of this material in various architectural designs. The emergence of innovative treatment techniques further enhances the market prospects, making naturally rot-resistant wood an increasingly attractive choice for builders and architects. The market's regional distribution shows strong performance across North America and Europe, driven by established construction industries and a heightened focus on sustainable building practices in these regions. However, Asia-Pacific is poised for considerable growth in the coming years due to rapid urbanization and infrastructure development. Key players in the market are focused on developing innovative products and expanding their distribution networks to cater to the rising demand. The continued emphasis on green building standards and government regulations promoting sustainable construction will further stimulate the market's trajectory, making naturally rot-resistant wood a significant component of the future construction landscape.

The revenue of the chipped non-coniferous wood market in the UK amounted to $X in 2018, rising by X% against the previous year. In general, chipped non-coniferous wood consumption continues to indicate a skyrocketing increase. The most prominent rate of growth was recorded in 2017 with an increase of X% year-to-year. Chipped non-coniferous wood consumption peaked in 2018 and is expected to retain its growth in the near future.

The wood vinegar market in the USA is set for significant growth, owing to the increasing consciousness of the trends in agricultural practices and eco-friendly products and services. By 2025, the USA Wood Vinegar is expected to be valued around USD 1,593.6 million, which is expected to reach market valuation of USD 2,741.0 million by 2035 growing at a CAGR of 7.2%.

Semi-Annual Market Update for the USA Wood Vinegar Market

Category-Wise Insights

The Spain Prefab Wood Buildings Market exhibits robust growth, driven by increasing demand for sustainable and eco-friendly construction solutions. The market's Compound Annual Growth Rate (CAGR) exceeding 5.38% from 2019 to 2024 indicates a significant upward trajectory. This growth is fueled by several factors, including Spain's commitment to sustainable development goals, the government's incentives for green building initiatives, and the rising popularity of prefabrication for its speed, cost-effectiveness, and reduced on-site construction waste. Key market segments include Cross-laminated timber (CLT), Nail-laminated timber (NLT), Dowel-laminated timber (DLT) panels, and Glue-laminated timber (GLT) structures, catering to single-family residential, multi-family residential, office, and hospitality sectors. The presence of established players like Tokamadera Estructuras Modulares S.l. and Cabisuar SA, alongside numerous smaller companies, signifies a competitive yet dynamic market landscape. While the precise market size for 2025 is not provided, based on the CAGR and the observed market trends, a reasonable estimation places the market value in the range of €150-€200 million. This estimation considers the growing adoption of prefabricated wood buildings in Spain, mirroring similar trends in other European countries. Constraints on market expansion could include potential regulatory hurdles, variations in lumber prices, and the need for skilled labor specializing in prefabricated wood construction. However, the overall positive trend suggests a continuous expansion of the market throughout the forecast period (2025-2033), with further growth expected in diverse segments and geographic areas within Spain. Further research into specific regional variations and detailed pricing data will refine these estimations and provide a more precise market analysis. Recent developments include: February 2022- Spanish studio Peris+Toral Arquitectes has completed an 85-unit social housing project in Barcelona, featuring a modular timber framework and flexible living spaces. According to the studio, the project is the largest wooden-structured residential building in Spain, built from 8,300 cubic metres of timber harvested from the forests of the Basque Country., February 2022- The ON-A studio, from Barcelona, has collaborated with the company Energreen Design, which specialized in sustainability, energy efficiency and circular economy applied to construction, to create a prefabricated house of modular construction. Green Nest House is a wooden house that blends in with nature and has revolutionized the sustainable real estate market. The construction company in charge of carrying out the project was WES.. Notable trends are: Rising benefits of wood fabrication has driven the market.

The number of home sales in the United States peaked in 2021 at almost ************* after steadily rising since 2018. Nevertheless, the market contracted in the following year, with transaction volumes falling to ***********. Home sales remained muted in 2024, with a mild increase expected in 2025 and 2026. A major factor driving this trend is the unprecedented increase in mortgage interest rates due to high inflation. How have U.S. home prices developed over time? The average sales price of new homes has also been rising since 2011. Buyer confidence seems to have recovered after the property crash, which has increased demand for homes and also the prices sellers are demanding for homes. At the same time, the affordability of U.S. homes has decreased. Both the number of existing and newly built homes sold has declined since the housing market boom during the coronavirus pandemic. Challenges in housing supply The number of housing units in the U.S. rose steadily between 1975 and 2005 but has remained fairly stable since then. Construction increased notably in the 1990s and early 2000s, with the number of construction starts steadily rising, before plummeting amid the infamous housing market crash. Housing starts slowly started to pick up in 2011, mirroring the economic recovery. In 2022, the supply of newly built homes plummeted again, as supply chain challenges following the COVID-19 pandemic and tariffs on essential construction materials such as steel and lumber led to prices soaring.

The production price index (PPI) for construction materials and components in the United States decreased slightly in 2024. Up until 2020, construction prices had been rising fairly steadily. However, in the years after that construction producer prices have been very unstable. Production price index A PPI of *** in 2022, indicates that the real-world price has risen by *** percent in comparison to the base year - 1982 in this case. Similarly, under the same baseline, the PPI for construction machinery and equipment has also risen steadily until 2018. Like all prices, there are regional differences within the United States. The PPI acts as a measurement for the average changes in prices that domestic producers receive for their output. In the United States, the PPI is one of the oldest continuous statistical datasets published by the government. Common construction materials Some building materials are essential to construction work, and the decision on which to use is important for the life and the endurance of the building. Materials such as cement, steel, and sand are essential to many construction projects. The production of cement is tightly linked to the demand that comes from the construction industry. The durability and potency of steel gives it an advantage over wood and concrete, providing buildings with a higher resistance but a cheaper price tag. Sand is commonly used in buildings, but it is especially common in roads that require stones of various grades and granulation.

The Latin America and Caribbean densified wood market is forecast to grow to 576K tons and $726M by 2035, driven by rising demand. Brazil and Mexico lead in consumption and production, while Brazil dominates exports.

The global Flush Door (FD) Wood Based Skins market is poised for robust expansion, driven by the burgeoning construction and renovation sectors worldwide. With an estimated market size of approximately $7,500 million in 2025, the industry is projected to witness a Compound Annual Growth Rate (CAGR) of roughly 5.5% through 2033. This sustained growth is fueled by the increasing demand for aesthetically pleasing and durable interior doors in both residential and commercial spaces. Natural skins, particularly, are experiencing a surge in popularity due to their unique grain patterns and premium feel, commanding a significant market share. The market's expansion is further bolstered by urbanization, rising disposable incomes, and a growing preference for high-quality interior finishes, all contributing to a steady demand for wood-based door skins that offer both functionality and visual appeal. While the market demonstrates strong growth potential, certain factors could influence its trajectory. The rising cost of raw materials, particularly specialized wood species, may present a restraint. However, the increasing adoption of reconstituted skins, which offer cost-effectiveness and consistency, alongside advancements in dyeing techniques for natural skins, are mitigating these challenges. Geographically, the Asia Pacific region, led by China and India, is emerging as a key growth engine, owing to rapid infrastructure development and a growing middle class. North America and Europe continue to be significant markets, driven by renovation activities and a strong emphasis on interior design. The competitive landscape features established players like Weyerhaeuser and Georgia Pacific, who are continuously innovating to meet evolving consumer preferences for sustainable and visually striking wood-based door skin solutions. Here's a comprehensive report description on Flush Door (FD) Wood Based Skins, incorporating your specified headings, word counts, company names, segments, and year values: