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July 27, 2026

Germany’s record timber prices deepen divide between forest owners and sawmills

Timber prices in Germany have reached historic highs. Forest owners are benefiting from record earnings, while sawmills across the country are struggling with rising raw timber and transport costs. At the same time, experts see an opportunity to use this development to accelerate the restructuring of Germany's forests toward greater climate resilience.

Germany's timber market is experiencing one of its strongest price rallies in decades, but the record values are exposing growing imbalances across the forestry sector rather than lifting the entire industry. Private forest owners are accelerating harvesting to capitalise on historically high log prices, while sawmills face shrinking margins as raw material costs outpace increases in finished timber prices. At the same time, forestry researchers argue that today's exceptional revenues should not be viewed simply as a financial windfall, but as a unique opportunity to finance the transformation of Germany's forests before climate-related risks become significantly more expensive to manage.

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