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Appalachian Comments

CHERRY

“Demand for Cherry is not blowing out the doors like it was, but it is still ok,” an exporting yard contact said. Survey responses confirm that statement. Cherry makes some sellers’ lists of best- and worst-moving species, but there is no overwhelming bias for one category over the other. Green production has been reduced, yet supplies of certain items still outweigh demand. The listings for 6/4 and 8/4 Fas&1f are reduced in each subregion, and the listings for North Central 4/4 Fas&1f and 8/4 #1C also retreat. No changes are warranted to any kiln dried figures.

HICKORY

Demand for Hickory remains good. In fact, the case can once again be made that Hickory is the region’s best item, in terms of sales volumes at steady-to-stronger prices, relative to lower volumes at steady-to-lower sales prices for several other species. A green sawmiller said, “I have no trouble moving our Hickory; our flooring plant customers want more.” Upward changes in prior weeks have all green listings in order in this edition. Meanwhile, kiln dried 4/4 Fas transactions are occurring at higher prices that raise the listings and ranges.

POPLAR

Poplar’s reputation as a “keeps the lights on” species with thin profit margins is evident in the tone of contacts’ comments. A green sawmiller said he recently moved one million board feet of Poplar yet struggled to make a profit. And, on the dry side, one contact said Poplar moves okay domestically, but sales to Asia are slow. “Generally speaking, there is no money in Poplar,” he said. Supply and demand are in equilibrium this week for both green and kiln dried material. No changes are warranted to any Poplar figures.

WALNUT

A longtime producer’s comments about future demand for domestically sawn Walnut lumber are sobering, stemming from the surge in Walnut log exports to countries sawing those logs into lumber. US exports of Walnut logs were the lowest of the year in August—falling 29% from July—but year-to-date shipments were still 57% higher through August, according to the most recent trade data. “A Chinese agent said many of his customers believe Chinese-sawn Walnut will be 100% of their business in the next three years,” the contact said, adding, “Japanese buyers have shifted their practices to Chinese-sawn lumber, as well.” The pace of Walnut lumber purchasing is keeping up with production, allowing all the green and kiln dried figures to stand.

Northern Comments

ASH

Green Ash markets are characterized by low supply in the North, as the Emerald Ash Borer continues to restrict production in the region. The listings have been trending higher across grades for roughly a year straight, though no further adjustments are necessary this week, because prior increases have all green listings in order. Comments from producers about kiln dried Ash demand are almost entirely positive, both domestically and for export to China. The #1C&Btr listings hold firm this week amid consistent reported prices, though a slight downward correction is observed in reported #2A prices, necessitating a $30 per thousand board feet ($/MBF) reduction to the net tally listing along with decreases to both sides of the ranges.

ASPEN

BIRCH

Higher reported prices lift the kiln dried 4/4 #2A Birch listings and ranges this week. Otherwise, no adjustments are necessary to the published figures. Unselected #1C&Btr Birch prices have largely trended down throughout this year, while low-grade prices have recently seen upward movement amid supply tightness caused by robust markets for pallet cants and improving demand for ties. Buyer interest is focused mostly on Sap&Btr Birch, not Unselected, especially for uppers. One producer in the Upper Midwest told HMR/Fastmarkets that he’s been receiving consistent inquiries for Sap&Btr lumber recently. Another producer in Eastern Canada said he’s been moving a lot of Sap&Btr #1C to kitchen cabinet manufacturers in the US, though this same producer has recently been struggling to move Natural Fas Birch.

HARD MAPLE

Lower reported prices drive several reductions to kiln dried Hard Maple prices in the North this week. The 4/4 and 5/4 Fas listings and the 5/4 ranges are all lowered in both color sorts, along with the #1&2 White 8/4 #1C listings and all #2A listings and high-end range numbers in both color sorts. Fas is oversupplied in the region, and many producers are struggling to move the grade, although some are now having more success selling 6-to-8-foot than 9-to-12-foot stock. Reported prices for #1C lumber have recently held up better than Fas, with contacts reporting solid demand for the former grade from certain residential flooring producers. On the green side, most listings are steady again following recent decreases, though the #1&2 White 5/4 #1C listing is lowered another $30/MBF.

RED OAK

Most Northern contacts still report good demand for Red Oak domestically and are having little trouble moving the species, especially if they are somewhat flexible on pricing. One producer in the Upper Midwest told HMR/Fastmarkets that they “basically have to pick from five different customers for who’s going to get the load” when they have one to sell. Amid the mostly favorable reports, slower Chinese purchasing activity has been felt over the past few months, creating excess supply in the market and pressuring #1C&Btr prices lower for both green and kiln dried stocks. Markets for #2A&3A Red Oak have held up better for producers, with supply tightness prompting listings increases in the latter part of the summer. This week, no adjustments are necessary for any green or kiln dried listings or range numbers.

WHITE OAK

Kiln dried Fas White Oak is moving well for producers in the Northern region, and upward movement is apparent in reported 4/4 prices, prompting a $50/MBF increase to the net tally listing this week. One producer in the Upper Midwest told HMR/Fastmarkets that they wish they had more kiln dried Fas to sell. The listing is now $250/MBF above its yearly low from June, though still well below the October 2024 high of $4,945/MBF. Prior to the recent uptick in Fas prices, kiln dried White Oak prices had been falling continually for close to two years due to persistent oversupply, caused partly by reduced log consumption by the barrel stave sector. Prices for kiln dried #1C and #2A have been steady, keeping those listings and ranges unchanged. Green White Oak markets are largely static in the North, though an upward bias is observed in 4/4 #1C prices, raising that listing by $35/MBF.