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April 16, 2019

Global sawmill sector’s shrinking profit margins in late 2018

Global sawmill sector’s shrinking profit margins in late 2018
Softwood lumber prices have generally fallen faster than the costs for sawlogs throughout the world in late 2018, resulting in lower margins for the sawmilling sector. In western US and western Canada, margins fell to unprofitable levels and many sawmills in the region curtailed production in late 2018 and early 2019.    Lumber prices in North America continued their decline from the 3Q/18 with another quarter of substantial reductions. Average lumber prices for southern yellow pine were down 12% quarter-over-quarter in the 3Q/18, which was then followed by a reduction of 17% in ...

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