The Cause of Heavily Restricted Activity on The Domestic Softwood Lumber Markets

Extensive stoppages in the German sawmilling industry and the simultaneous interruptions in business in the building and value-adding sectors have been the cause of heavily restricted activity on the domestic softwood lumber markets in the last three weeks. A gradual revival in purchasing activity has only become noticeable again in the last few days, though only at a comparatively low level so far. From experience, however, softwood lumber producers are working from the assumption that the situation will have largely returned to normal by the middle of the month. Here, stimulus is expected from the packaging sector in particular whereas no significant demand is anticipated from the construction and carpentry sectors for the time being for seasonal reasons.