Talking Points
Lumber prices in early April 2026 edged up slightly, with Western Spruce-Pine-Fir 2×4 #2&Btr KD (RL) reaching US$490 per thousand board feet, up 1% from the previous week, according to Madison’s Lumber Reporter.
Despite the price uptick, demand remained subdued as sawmills and buyers exercised caution due to lingering winter conditions and uncertainty in the housing market. Sawmills held off on increasing production, while customers avoided building inventory, raising concerns about potential supply shortages if homebuilding accelerates.
Transportation challenges intensified as freight rates soared and truck availability tightened across all regions. In the U.S., construction activity picked up in southern states like Texas and California, prompting increased orders and stretching sawmill order files into late April.
- Western-SPF sellers in the U.S. faced strong demand but limited supply
- Canadian buyers paused purchases ahead of the Easter long weekend
- Freight and transportation constraints affected deliveries industry-wide
This story matters as lumber price stability and supply chain reliability are crucial for Canada’s construction sector, impacting housing affordability and project planning nationwide.
April began with many lumber prices starting to rise slightly. Levels currently were right in the middle, between those of the same time last year and in 2024. Despite an extended winter and soft demand, this is encouraging to industry as regular seasonal price stability is best for planning.
Sawmills had no plans to ramp up production volumes until there were obvious signs that improved demand will be ongoing. Customers, behaving with equal caution, continued to not stock inventory. If home building does increase this year, the very weak field inventories throughout the supply chain might become a problem for end-users.
For the week ending April 3, 2026 the price of Western Spruce-Pine-Fir 2×4 #2&Btr KD (RL) was US$490 mfbm, which was up +$5, or +1%, from the previous week when it was $485, said weekly forest products industry price guide newsletter Madison’s Lumber Reporter. That week’s price was up +$18, or +4%, from one month ago when it was $472.
Compared to the same week last year, when it was US$545 mfbm, that week’s price was down -$55, or -10%. Compared to two years ago when it was $452, that week’s price was up +$28, or +6%.
Key lumber prices and market conditions takeaways, April 2026
- Sellers of Western-SPF in the U.S. were inundated with orders and inquiry, such that they just had to focus on covering what demand they could.
- Improving spring weather fully activated construction in Texas, and started to percolate into the central and northern states.
- Limited mill-availability continued to be exposed by even small jumps in demand as reduced supply among secondary suppliers surfaced.
- Buyers of Western-SPF in Canada stepped back to evaluate their positions heading into the Easter holiday long weekend break.
- Demand remained seasonally subpar as the calendar turned to April.
- Secondary suppliers showed adequate inventory levels and a willingness to negotiate.
- Canadians sawmills in the West maintained order files at around two- to three-weeks.
- All regions were affected by tightening truck supply and soaring freight rates.
- Customers of Eastern-SPF showed how underbought they were by calling back incessantly about where their latest order was in transit.
- Suppliers of Southern Yellow Pine tried to fulfill orders amid a rising market and severe ongoing freight challenges.
- In the U.S. northeast, Douglas-fir suppliers boosted their asking prices as sawmills moved order files into late-April.
The Madison’s Lumber Prices Index for the week ending April 3, 2026 is: US$522 mfbm. This was up +1%, or +$4, from the previous week when it was US$518, and is up +6%, or +$31, from one month ago when it was US$491.
Madison’s Lumber Prices Index: April 3, 2026. Source: Madison’s Lumber Reporter.
Expectations for housing construction this year are for similar activity to last year, however no one really knows. At this time of great upheaval and much uncertainty, it is not clear how business will be as summer comes on.
U.S. housing starts in January 2026 rose 7.2% to a seasonally adjusted annual rate of 1.487 million units, driven by a surge in multifamily projects. Single-family housing starts, which account for the bulk of homebuilding, dropped 2.8% to a seasonally adjusted annual rate of 935,000 units in January.
Single-family starts dropped 6.5% year-on-year in January.
Madison’s Benchmark Top-Six Softwood Lumber and Panel Prices: Monthly Averages. Madison’s Lumber Reporter.
Construction activity in the U.S. south jumped to life at the beginning of April, sending lumber prices slightly higher. Important regions like Texas and California came in to the market with volume buys. Lumber manufacturers were more focussed on booking orders than on raising prices. As such, sawmill order files stretched out toward the end of April.
Transportation was more of a headache than even the previous week; as the collision of jumping freight rates and competition from seasonal items made sourcing rail cars and trucks difficult. Operators spent more time chasing down deliveries than making sales.
Established in 1952, Madison’s Lumber Prices is your premiere source for North American softwood lumber news, prices, industry insight, and industry contacts. The weekly Madison’s Lumber Reporter publishes current Canadian and US construction framing dimension lumber and panel wholesaler pricing information 50 weeks a year and provides access to historical pricing as well.
Credit: Source link
