|
This quarterly newsletter from the Michigan Department of Natural Resources Forest Utilization and Marketing Program shares information on DNR programs, economic reports, industry news, professional development opportunities and more. If you know of an event or opportunity that may be of interest to our partners or if you have questions, contact timber sales and utilization specialist Matt Watkeys, or visit us on the web.
InventWood has recently engineered a new type of wood, Superwood, which is a heavily modified timber that is “stronger than steel.” InventWood has spent years refining its manufacturing process and as the construction industry seeks to decarbonize, traditional materials are being associated with high greenhouse gas emissions and are facing increasing scrutiny.
While timber-based construction is seen as a climate-friendly alternative, natural wood has limitations: it can degrade when exposed to moisture or insects and often lacks the strength required for demanding structural applications.
While lumber prices could move lower, the upside price potential remains far greater than the downside price risk in early 2025. The offseason for lumber demand is on the horizon, with the potential for an increased price variance due to the uncertainty created by U.S.-Canada trade relations. Time will tell if longer-term rates follow any cuts over the coming months.
Lumber remains a critical construction material and the current price levels offer a positive risk-reward profile. Accumulating lumber-related assets on a scale-down basis during periods of price weakness over the coming weeks and months could be optimal for 2026, provided the housing market improves and lumber demand rises.
View the research and charts for lumber price projections online.
The USDA Forest Service's Forest Inventory and Analysis program is the backbone of forest resource intelligence in the United States. The data collected using this program has guided forest management, public policy and private investment for almost a century. Despite its significance, many forest professionals face challenges in navigating the vast datasets and complex tools. The FIA data supports and can help with business decisions, public policy, sustainability planning and landowner rights.
Some things to use to understand this program better are Timber Supply Analysis 360 and Carbon 360. Timber Supply Analysis 360 clarifies and contextualizes the extensive timberland information with an interface that puts relevant filters at users' fingertips. Carbon 360 leverages the deep carbon datasets to quantify aboveground carbon stocks, removals and net changes across diverse geographies and ownership types.
Logistic improvements are being made by Billerud North America in the eastern UP. The Caffey Wood and Rail Yard has re-opened near Caffey Corners and is now accepting deliveries. A new weigh scale is expected to be operational by late October to early November. The Caffey Woodyard is open from 7 a.m. - 4 p.m. Any wood that is being shipped into the woodyard must be EUDR compliant and must be pre-approved by the buyer before delivery. Please contact Dennis Cannoot, Escanaba Fiber Supply Manager for more information and pre-approvals, at: Dennis.Cannoot@billerud.com or call at 906-233-3309 or 906-250-0709.
The Great Northern Cooperative has announced a new gas depot station in the Upper Peninsula to provide resources to truckers and loggers at the best prices possible. These depots will be coming to the rest of the state soon, with exciting partnerships to help offer diesel and other necessary resources to Michigan's truckers. The first fueling station is open near Quinnesec, Michigan now, and you can help the Great Northern Cooperative by sharing input on where other stations should be located.
A specific economic contribution analysis of Forest Products Industries in Michigan’s Northern Lower Peninsula was recently performed by Jagdish Poudel, Forest Economist with the Michigan DNR. Here is some key information that can be included in communications, proposals or reports to provide context for the economic data:
- In 2023, forest products industries in the Northern Lower Peninsula (NLP) directly supported 5,074 jobs and generated $2.2 billion in output
- These direct contributions produced additional economic ripple effects- through indirect and induced impacts- resulting in a total of 8,804 jobs and $2.9 billion in regional economic output.
- This highlights the forest products industries as a major economic driver in the NLP. When compared to the entire state of Michigan, the direct output from these thirty counties represents approximately 13.2% of the state’s total direct forest products industry output.
- When accounting for total economic impacts, including ripple effects, the NLP contributes $3.6 billion in total output and supports total 13,120 jobs across Michigan.
The NLP also plays a particularly significant role in specific sectors: it produces nearly 25% of the state’s direct logging output and 40% of direct sawmill output. These figures underscore the broader economic importance of the forest products industries in Northern Lower Michigan.
[Note: This economic contribution analysis is based on the most recent available data (2023) and does not reflect changes that may have occurred in 2024 or 2025 due to the typical two-year data lag]
US–Canada Lumber Dispute Intensifies with Massive Tariff Increase
Joint Statement on a United States-European Union Framework on an Agreement on Reciprocal, Fair, and Balanced Trade
2025 is a supply-side story as demand is weak across all forest product segments.
North America Plywood Market Share Analysis and Size - Growth Trends and Forecast Report 2025-2033
Regional economic and employment impacts of industrial decline in the forest sector: Evidence from sawmill closures in Michigan (email after Oct. 11 for PDF)
FRA Webinar: USDA Financial and Technical Assistance Programs
Wood Innovations Program Grants
Self-paced: Hardwood Grade Sawing and Edging and Trimming Webinars - Virtual.
Oct. 22-25: 2025 Society of American Foresters National Convention - Hartford, Connecticut.
Oct 29-30: Wisconsin SAF Fall Meeting (Red Pine) - Stephens Point, Wisconsin.
|
