The Sawmills and Wood Production industry has experienced challenging demand conditions over the past five years due to a cooling Canadian housing market and slowly recovering US housing market. In addition, the mountain pine beetle infestation in British Columbia, which is home to one-third of industry establishments, is damaging a significant share of the province's timber. Despite ongoing obstacles, industry revenue has improved as a result of record-high demand for lumber in China over the period, and the resurgence of the US single-family home building market in 2012. Over the next five years, the industry will benefit from strengthening demand for lumber, both domestically and internationally. The US housing market, which accounts for two-thirds of industry exports, is projected to grow rapidly over the period. In addition, increasing construction activity in emerging markets, particularly in Asia, will further contribute to export revenue.
This industry manufactures boards, dimension lumber, beams, poles, ties, siding and wood chips from logs or bolts. The industry also produces pilings and posts treated with preservatives. Industry wood products may be rough, or dressed by a planing machine to create uniform sizes, but no further shaping takes place. The industry includes companies that apply preservatives to wood from other establishments. The industry excludes veneer or engineered lumber (e.g. plywood) manufacturing.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.