Sweden: Record timber prices could bring sawmill closures

Historically, Swedish timber prices have been below the European average, but with significant price increases over the past year, Sweden has rapidly climbed in the rankings. Southern Swedish timber prices now sit just below the Central European leaders, such as Germany and Austria. Despite this upward trend, the timber industry is not thriving. The correlation between timber and lumber prices has weakened, and the market's logic has become unclear. Not since the 1990s has the cost of raw materials for sawmills, relative to lumber prices, been so high. If this trend continues, closures are expected, especially among smaller ...