High Construction Activity Increases Demand For Lumber Worldwide

In November the index of completed buildings construction (residential, schools, shops, etc.) in the EU increased by 0.7% compared to previous month, according to Eurostat. The index remains at a high level.

"The high construction activity combined with a very active 'do it yourself' sector in several European countries have resulted in an increased demand for softwood lumber", says Jenny Wessung CEO at Woodstat. She continues: "We can expect a further increase in construction activity 2021-2023. Even in the UK we have seen a higher activity in the housing sector and latest figures are close to previous year."

In China housing starts in November were more than double compared to 2007. In the U.S. single family housing starts in November increased to the highest level since 2007. This can be explained by a shortage of houses and extremely low interest rates. According to National Association of Homebuilders single family construction will increase further 2021-2023.

"The high construction activity in many countries and an increased activity in lumber construction lead to an increased demand for softwood lumber", says Jenny Wessung.

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