U.S. Sawmill Closures & Curtailments: What They Mean for Custom-Home Softwoods

After a choppy summer, mill curtailments have spread across multiple regions—tightening supply in key softwood lines used for custom homes (DF/Hem-Fir in the Pacific Northwest and SYP in the South) and re-introducing price volatility.

Who’s curtailed or closed?

• Interfor – Announced system-wide production cuts through year-end by reducing hours, reconfiguring shifts, and extending maintenance/holiday downtime; this follows the indefinite closure of its Philomath, OR mill in 2024 (≈220 MMBF).

• Canfor – Permanently closing Estill and Darlington, SC sawmills (effective Aug 2025), citing persistently weak conditions and sustained losses. 

• West Fraser – Indefinite curtailment at Lake Butler, FL (announced Sept 2024), trimming U.S. capacity by ~110 MMBF.

• Weyerhaeuser – Indefinite curtailment at New Bern, NC (July 2024), halting operations due to market and site-specific factors. 

• Hampton Lumber – Banks, OR sawmill closed indefinitely (Jan 2024). 

These moves have already nudged futures and cash sentiment: the September round of curtailments helped stabilize lumber prices after a sharp pullback.

Why now? Contributing factors

1. Start–stop housing demand & rates
   Higher-for-longer borrowing costs cooled single-family starts and R&R, compressing mill margins and prompting downtime. (Reflected in company commentary tied to weak lumber realizations and demand softness.) 

2. Fiber/log costs & regional log supply
   Several curtailments explicitly referenced high fiber costs (Southeast) and constrained PNW log availability (impacting DF/Hem-Fir appearance grades).

3. Trade policy overhang
   Duties on Canadian imports rose year-over-year, and a recent Section 232 national-security action on wood products added fresh uncertainty about future import costs—both supportive of U.S. price floors when domestic output is trimmed.

4. Operational resets
   Producers are increasingly using planned curtailments (reduced hours, extended breaks) to balance inventories and cash flow rather than run full-tilt into weak realizations.

What it means for custom-home builders & luxury specs

• Premium DF/Hem-Fir & timbers (PNW)
  With PNW curtailments/closures (Philomath, Banks), expect longer lead times and firmer basis on kiln-dried, tight-grain and appearance grades (panels, soffits, paneling, beams). Substitution toward imported clears and specialty cedar/hemlock is likely where specs allow.

• Southern Yellow Pine (SYP) framing (Southeast)
  Closures/curtailments in SC, FL, NC remove local supply slack. Result: price chop and occasional pockets of shortage on higher grades/MSR and wider widths—especially where distribution relies on those specific mills. 

• Pricing & procurement
  After falling into late summer, prices firmed on the curtailment headlines. For Q4 bid work, plan for wider spreads between commodity #2&Btr and premium clears/MSR, and pad schedules on specialty profiles.

U.S. Finalizes Higher Antidumping Duties on Canadian Softwood Lumber

The U.S. Department of Commerce has finalized its latest administrative review on antidumping duties for Canadian softwood lumber, raising the average duty rate significantly. For the 2023 review period, duties now range from 9.65% to 35.53%, with most Canadian exporters facing a new non-selected company rate of 20.56%, up sharply from 7.66% last year.

This decision comes amid long-standing trade tensions between the U.S. and Canada over softwood lumber. Canadian officials and industry leaders are voicing strong concerns, calling the move damaging to workers and communities on both sides of the border. The B.C. Council of Forest Industries emphasized the urgent need for a resolution, citing job loss and market instability.

As the U.S. prepares to issue its final ruling on countervailing duties on August 8, 2025, builders, suppliers, and consumers can expect continued upward pressure on lumber costs—especially those sourcing premium Canadian materials.

At Northwest Select Cedar, we continue to monitor these developments closely to ensure pricing transparency and supply stability for our clients. We remain committed to delivering the highest quality softwoods for your luxury building needs—despite the challenging trade environment.

U.S. Sawmill Closures – What's Happening and Why It Matters

Right now, the U.S. lumber industry is facing serious headwinds. Sawmill closures are happening at a rate we haven’t seen in years—and it’s not just an industry issue. This has a ripple effect on local communities, the supply chain, and even the future of responsible forest management.

Why Are Sawmills Closing?

It boils down to a perfect storm of market challenges that’s hitting mills across the country:

• Lumber Prices Are Stagnant: Despite inflation hitting almost every other sector, lumber prices have been stuck near decade-old lows. Sawmills simply can’t operate profitably when margins are this tight.

• Rising Operational Costs: While prices stay flat, costs for labor, fuel, insurance, and transportation keep climbing. That squeeze is forcing many mills to shut their doors permanently.

• Trade Pressures: The U.S. government is set to more than double tariffs on Canadian softwood lumber imports, pushing duties north of 34%. That adds massive pressure on Canadian mills that serve roughly 25% of U.S. lumber demand—and those costs inevitably ripple into the U.S. supply chain.

Recent Mill Closures Making Headlines

Companies like Canfor recently announced the closure of its Darlington and Estill mills in South Carolina, taking 290 jobs with them and wiping 350 million board feet off the market annually. This isn't an isolated case—closures are stacking up across the U.S. South and West.

The Real Impact – It’s Not Just About Lumber

When a sawmill closes, the impact goes far beyond the mill itself:

• Jobs Disappear: It’s not just the mill workers—loggers, truck drivers, mechanics, and local suppliers all feel the hit. These aren’t just jobs; they’re careers that support entire families in rural communities.

• Communities Suffer: When a major employer in a small town shuts down, it affects everything from the coffee shop on Main Street to the school district’s funding.

• Forest Health Takes a Hit: Fewer operational mills mean less capacity for processing dead, diseased, or overgrown timber. That directly impacts forest restoration efforts and increases wildfire risk in some regions.

What’s Next?

The truth is, the U.S. lumber industry is at a crossroads. We’re looking at a future where fewer mills mean tighter supply and likely higher prices for quality wood products. For those of us who rely on responsibly sourced lumber for custom homes and fine applications, this is something we’re watching closely.

At the same time, it’s a stark reminder of how connected this industry is to the health of rural economies—and to the stewardship of our forests.

U.S. Lumber Market Snapshot – June 2025

Over the past few months, we’ve seen a notable correction in the U.S. lumber market. Since early March, pricing on W-SPF 2x4 random lengths has dropped nearly 25%. This is a clear signal that demand has softened across the board for this specific material.

What’s Driving the Shift?

Builders and wholesalers are pulling back on volume, and buyers are holding off on restocking until there’s more certainty in the market. Many are sitting on decent inventories and waiting to see where pricing settles before making their next move.

Where Things Stand

The market’s behaving predictably given the broader economic tone. After a firm start to the year, we’re now in a holding pattern. Housing starts have slowed, and the urgency to buy has faded—for now. That said, all eyes are on what summer will bring in terms of project activity and restocking trends.

What This Means for You

If you’re a builder:
Now’s a good time to sharpen your pencil. Material pricing is more favorable, and you may find added leverage in your negotiations if you’re sourcing for summer or fall builds.

If you’re a supplier or GC:
Stay nimble. Pricing is moving, and customer hesitation is real. But volatility also creates opportunity—especially for those ready to move quickly when conditions shift.

At Northwest Select Cedar, we’re keeping a close watch on market movement to help our partners make smart buying decisions. If you’re bidding projects or sourcing for Q3 installs, let’s connect. We’ll make sure you’re getting top-tier fiber at competitive numbers.

The Possible Impact of U.S. Tariffs on Mexico and Canada: What It Means for the U.S. Lumber Industry

The U.S. has historically used tariffs as a tool in trade disputes, particularly with Canada and, to a lesser extent, Mexico. When new tariffs are introduced—or existing ones increased—on lumber imports from these key trading partners, the possible impact on the U.S. industry could be significant. From price fluctuations to supply shortages, these policies could shape how architects, general contractors, and lumber suppliers navigate the market.

Possible Impact on Pricing and Availability

The U.S. relies heavily on Canadian softwood imports, and recent tariffs could lead to higher costs for raw materials. Canada supplies nearly 30% of U.S. softwood lumber, and additional trade barriers could restrict supply, causing volatility in pricing. If tariffs extend to processed wood products from Mexico, certain engineered wood products could also face delays and price hikes.

For architects and builders working on high-end custom homes, the cost and availability of premium softwoods are critical. A supply disruption could push projects over budget and create sourcing challenges.

Softwood Species That Could Be Impacted

If tariffs were to increase on softwood imports from Canada and Mexico, several key species could see pricing and supply instability:

Douglas Fir – Widely used in framing, beams, and high-end millwork, Douglas Fir imports from Canada could become more expensive, leading to higher construction costs.

Western Red Cedar – A favorite for luxury homes due to its durability and appearance, this species is already high-priced, and potential tariffs could make it even less accessible.

Spruce-Pine-Fir (SPF) – A crucial structural lumber group used in residential and commercial framing, any restrictions on Canadian SPF would likely drive up costs for general contractors.

Hemlock – Often used for ceilings, indoor paneling, doors, trim, and moldings, Hemlock could become more difficult to source in high-grade selections if supply from Canada is affected.

Potential Long-Term Effects

If tariffs persist or increase, U.S. mills could see short-term benefits as domestic buyers look for alternative sources. However, challenges such as labor shortages and mill capacity constraints may prevent the U.S. from fully replacing lost imports, leading to prolonged supply chain issues.

Ultimately, the possible impact of tariffs on the U.S. lumber industry depends on how they are implemented and whether trade negotiations provide relief. In the meantime, industry professionals should prepare for potential market shifts by diversifying suppliers and staying ahead of pricing trends.

Understanding the Impacts of AR6 Legislation on the Lumber Industry

The lumber industry is bracing for transformative changes as the implications of the AR6 legislation come into focus. Designed to address critical environmental concerns, AR6 represents a concerted effort to balance industrial growth with sustainability. While the legislation brings significant challenges, it also opens the door to innovation and new opportunities for forward-thinking manufacturers.

What is AR6?

AR6, shorthand for the Sixth Assessment Report from the Intergovernmental Panel on Climate Change (IPCC), outlines the latest scientific consensus on climate change and sets the framework for international environmental policies. While AR6 itself is not legislation, its findings have inspired many nations to adopt stricter regulations to reduce carbon emissions and promote sustainability across industries, including lumber.

Key Provisions Impacting the Lumber Industry

1. Carbon Accounting and Reporting Lumber manufacturers are now required to accurately measure and report their carbon footprints. This includes emissions from harvesting, processing, and transportation. Companies that fail to meet transparency requirements risk penalties and reputational damage.

2. Sustainable Forest Management AR6-inspired policies emphasize sustainable forest management practices. This includes reforestation mandates, limits on clear-cutting, and certifications to verify sustainable sourcing. Companies will need to adapt their operations to meet these stringent criteria.

3. Energy Efficiency Standards Mills and manufacturing facilities must comply with enhanced energy efficiency standards. This involves adopting cleaner technologies and reducing reliance on fossil fuels.

4. Lifecycle Assessments (LCA) Products will be evaluated based on their environmental impact throughout their lifecycle. Lumber companies are being pushed to innovate and offer materials with reduced carbon footprints and increased durability.

Challenges for the Industry

The AR6-driven policies pose several challenges for lumber manufacturers, including:

• Increased Costs: Adhering to new regulations often requires substantial investment in equipment, training, and certification processes.

• Supply Chain Disruptions: Meeting sustainable sourcing standards may limit access to raw materials, impacting production timelines and costs.

• Competitive Pressure: Companies slow to adapt may find themselves at a disadvantage compared to those who proactively embrace the changes.

Opportunities for Growth and Innovation

While the challenges are significant, the AR6 framework also provides opportunities for industry leaders to differentiate themselves:

1. Premium Products: Emphasizing sustainably sourced and processed lumber can appeal to environmentally conscious consumers, particularly in luxury markets.

2. Technological Advancements: Investing in cleaner manufacturing technologies and innovative materials can drive efficiency and reduce long-term costs.

3. Strategic Partnerships: Collaborating with environmental organizations and certification bodies can enhance credibility and market appeal.

4. Market Expansion: As green building practices become mainstream, the demand for eco-friendly materials is expected to surge, offering growth opportunities for prepared manufacturers.

Preparing for the Future

The AR6 legislation underscores the importance of adaptability in the lumber industry. Companies that proactively align with its goals will not only avoid regulatory pitfalls but also position themselves as leaders in a rapidly evolving market. Success lies in balancing economic objectives with environmental responsibility, ensuring a sustainable future for both the industry and the planet.

For businesses specializing in luxury and custom home markets, the shift presents an opportunity to highlight premium craftsmanship alongside environmental stewardship. The future of lumber manufacturing will be defined by those who can innovate, lead, and thrive amidst change.

The Benefits of Softwood and Hardwood in Exterior Custom Home Builds

When designing a custom home, every material choice contributes to the final aesthetic, durability, and overall value of the project. Both softwood and hardwood have unique benefits that make them exceptional choices for exterior applications. Understanding their distinct qualities helps homeowners and builders select the ideal materials for their needs.

Softwood: Versatile and Cost-Effective

Softwoods, such as cedar, hemlock, pine, and spruce, are popular for exterior applications like siding, decking, and trim. Their lightweight structure makes them easier to work with, reducing labor costs and time. Here are the key benefits:

• Natural Durability: Certain softwoods, like cedar and redwood, are naturally resistant to decay, rot, and insect damage, making them ideal for exterior use.

• Aesthetic Appeal: Softwoods often feature straight grains and warm tones that complement both modern and traditional designs.

• Affordability: Some softwood options (i.e. pine) are typically more cost-effective than hardwoods, providing a luxurious look without breaking the budget.

• Sustainability: Softwood trees grow faster than hardwoods, making them a more renewable and eco-friendly option.

Hardwood: Strength and Longevity

Hardwoods, such as oak, teak, balau, and mahogany, are prized for their density and durability. Though sometimes more expensive than softwoods, they offer unparalleled benefits for exterior applications:

• Exceptional Durability: Hardwoods are highly resistant to wear and weather, making them a premium choice for decking and exterior furniture.

• Sophisticated Aesthetic: With rich colors and intricate grain patterns, hardwoods exude luxury and timelessness, elevating the overall design of a custom home.

• Low Maintenance: When properly sealed and finished, hardwoods require minimal maintenance while maintaining their stunning appearance over time.

• Longevity: Hardwoods often last for decades, providing a strong return on investment.

Choosing the Right Material for Your Custom Home

When deciding between softwood and hardwood for exterior applications, consider factors like budget, climate, and design preferences. Softwoods are ideal for homeowners seeking a balance of beauty and performance. In contrast, hardwoods are best for those prioritizing unmatched strength and longevity.

Ultimately, the choice between softwood and hardwood depends on your vision for your custom home. Both materials offer unique benefits that can help bring your dream home to life.

If you’re exploring options for exterior materials, consult with experts who understand the nuances of both softwood and hardwood. With the right guidance, you can create a home that is as durable as it is beautiful.

The Benefits of Using Redwood for Interior and Exterior Finishes on Custom Homes

When building a custom home, choosing the right materials is essential for both aesthetics and durability. Redwood, a type of softwood known for its beauty, strength, and sustainability, has become a popular choice for interior and exterior finishes in custom homes. Here we’ll explore the various benefits of using redwood, from its natural properties to its long-lasting performance.

Natural Beauty and Aesthetic Appeal

Redwood offers a rich, warm hue that adds elegance to any space. Its fine grain, natural luster, and reddish-brown tones give it a distinctive look that can elevate both modern and traditional home designs. For interiors, redwood can be used for ceilings, paneling, cabinetry, or even accent walls, creating a luxurious and inviting atmosphere. On the exterior, redwood siding and trim can provide a striking contrast to other materials, while maintaining a harmonious, organic appearance.

Durability and Longevity

Redwood is known for its impressive durability, making it an excellent choice for exterior finishes where it’s exposed to the elements. It contains natural oils and tannins that are resistant to decay, insects, and moisture. As a result, redwood can withstand harsh outdoor conditions for decades, making it perfect for siding, decking, and outdoor structures like pergolas. For interiors, redwood is equally strong, capable of maintaining its beauty even in high-traffic areas.

Sustainability and Eco-Friendly Qualities

Sustainability is a growing concern in home construction, and redwood is a renewable resource. It is harvested from responsibly managed forests, and new trees are planted to replace those that are cut down. This ensures that redwood production has a low environmental impact compared to other building materials. Additionally, redwood’s long life span reduces the need for replacements, further minimizing its ecological footprint.

Low Maintenance Requirements

One of the standout benefits of redwood is its low maintenance needs. For exterior finishes, redwood can weather naturally to a soft gray over time, or it can be treated with stains and sealers to preserve its rich color. Either way, it requires minimal upkeep compared to other woods, which may need regular refinishing to prevent decay or discoloration. On the interior, redwood maintains its finish and color with little effort, making it a practical choice for homeowners who want a beautiful yet low-maintenance material.

Thermal Performance

Redwood has excellent thermal properties, helping to regulate temperatures inside the home. In hot climates, redwood siding and finishes can reflect heat, keeping interiors cooler. In cooler climates, it helps to retain warmth. This natural insulation can enhance energy efficiency, reducing the need for artificial heating or cooling and ultimately lowering energy costs for homeowners.

Versatility in Design

Redwood is a highly versatile material, suitable for various architectural styles and design applications. It can be used for both interior and exterior finishes, including siding, decking, flooring, ceilings, cabinetry, and trim. Its natural beauty can be showcased in contemporary, rustic, or traditional homes, making it a flexible choice for custom homes where personalization and unique design are key.

Resistance to Fire

Redwood has a natural resistance to fire, particularly in comparison to other types of wood. This makes it a safer option for homes located in fire-prone areas, providing homeowners with added peace of mind. Its fire-retardant properties, combined with its strength and aesthetic appeal, make it an excellent choice for exterior finishes like siding and decking.

Value Addition to Homes

Homes with redwood finishes tend to hold their value well due to the wood’s long-lasting beauty and durability. The aesthetic appeal and timeless quality of redwood can enhance the overall value of a custom home, making it an attractive option for future resale. For homeowners who are looking for materials that not only meet their immediate design needs but also serve as an investment, redwood is a strong contender.

Altogether, Redwood offers a unique combination of beauty, strength, sustainability, and versatility, making it an ideal choice for custom homes. Whether used for interior accents or exterior finishes, redwood provides a timeless, luxurious feel while offering durability and low maintenance. If you’re looking for a material that can elevate your custom home’s design while providing practical benefits, redwood is a top contender worth considering.