US softwood lumber production on the rise in 1H/2018; Canada’s output goes down

U.S. sawmills produced 17.758 billion board ft. (bbf) of softwood lumber in the first half of 2018, an increase of 5.1% from 16.898 bbf in the same period last year.

Western U.S. sawmills produced 7.416 bbf of the six-month total, a gain of 7.2% from 6.915 bbf a year earlier, while southern mills produced 9.504 bbf, up 3.5% from 9.183 bbf.

In June alone, production was 2.976 bbf, up 0.5% from last year’s 2.962 bbf, but down 6.8% from 3.191 bbf in the previous month.

Of June’s total, Western U.S. sawmills accounted for 1.233 bbf, down 0.5% from 1.239 bbf a year earlier, and 4.1% lower than output in May 2018 of 1.285 bbf.

Production by sawmills in the South was up 1.3% year-over-year to 1.603 bbf from 1.583 bbf, but down 8.7% from May’s production volume of 1.756 bbf.

Apparent U.S. softwood lumber consumption in the first half was 24.372 bbf, an increase of 2.0% from 23.903 bbf in the first six months of 2017. Apparent consumption in June was 4.217 bbf, a 5.5% gain from 3.994 bbf a year earlier, but down 5.6% from 4.462 bbf in the previous month.

Canadian softwood lumber production/consumption

In the first six months, Canadian sawmills produced 14.316 bbf of softwood lumber, a decline of 1.7% from 14.560 bbf in the previous year, reported WWPA.

Sawmills in British Columbia contributed 6.423 bbf to the six-month total, down 4.2% year-over-year from 6.705 bbf, while sawmills east of the Rockies increased output by 0.5% to 7.893 bbf from 7.856 bbf.

In June, Canadian softwood production was 2.302 bbf, a drop of 3.2% from 2.378 bbf in June 2017, and down 7.2% from the previous month’s volume of 2.481 bbf.

Sawmills in British Columbia contributed 1.063 bbf to June’s total, down 2.8% from last year’s 1.093 bbf, and down 3.4% from 1.100 bbf in May 2018. Sawmills east of the Rockies produced 1.239 bbf in June, down 3.6% from 1.285 bbf in June 2017 and down 10.3% from 1.380 bbf in May this year.

Apparent Canadian softwood lumber consumption increased over the six-month period, by 8.6% to 5.325 bbf from 4.901 bbf. Consumption in June alone was 793 million board ft. (mmbf), down 17.9% year-over-year from 966 mmbf, and 18.5% lower than apparent consumption in May 2018 of 973 mmbf.