The price of lumber has shot up drastically over the last year and has led to some big changes in the construction industry. As a result, tall wood construction companies in BC are reeling from this price increase.
The demand for lumber has continued to grow in recent months with homeowners taking on small wood construction projects across the country. So, how have lumber prices affected the tall wood construction industry?
Pandemic Increased Demand for Timber
When the COVID-19 pandemic happened, many businesses had to shut down. While most people initially overlooked the fundamental shift it had on construction, it did not take long to see the effects. All of a sudden, people were working from home and spending more time indoors.
These people that are stuck at home suddenly began embarking on home improvement projects. They want to remodel their garage, build new decks, refurbished basements, and design gyms and home offices. The net result of all of this is a massive demand for lumber and wood.
Supply And Demand
With more and more construction projects depending on timber, supply has become scarcer. As mentioned, consumers want new houses, or they need remodeling and are now facing challenges finding quality lumber. There is a huge demand for wood at the moment, and supplies are short.
As a result, logging companies are looking for new sources to meet the demand. This means companies have to travel further and work harder to acquire the lumber that can be sold on the market. This results in higher prices for wall wood construction projects.
The Availability of Timber & Other Concerns
Lumber comes from processing wood logs, and this means you need trees before you can create lumber. However, trees take a long time to grow. Furthermore, companies in BC are unable to cut excessive amounts of trees. Finally, most of Canada depends on the timber that comes from BC. These factors result in huge constraints on wood availability.
There have also been additional external challenges that have hurt wood supplies. These include beetle infestation, wildfires, and the long-continued battle between loggers and conservationists. These factors lead to lumber production being a lot less consistent than it could be.
Due to all of these factors, tall wood construction has never been more expensive. The current lumber shortage has been in the works for a long time, and lumber prices have nearly tripled in the last two years.
This may only be the start of price increases though. Because as demand for wood construction grows and supply stays stagnant, it is clear that the problem is not going away soon.
Seagate Mass Timber is leading the revolution in “Big Wood” being used in all areas of construction. Seagate has offices in British Columbia, Canada and the US in Washington state.
If you have any questions about this article or would like to talk to us about your construction project, please call us at (604) 529-7685.