December 2013 International Trade (Softwood Lumber)

Click image for larger view

Softwood lumber exports decreased by 11 MMBF (6.7 percent) in December while imports fell by 105 MMBF (10.4 percent). Exports were 2 MMBF (1.1 percent) above year-earlier levels; imports were 155 MMBF (21.0 percent) higher. 

Click image for larger view

Asia (especially China and Japan) retained the “top spot” for U.S. softwood lumber exports in December. China was also the largest single-country destination by a wide margin; year to date (YTD), exports to China were up over 61 percent relative to the same period in 2012. Meanwhile, Canada was the overwhelming source of softwood lumber imports into the United States. Imports from Romania, Austria, Estonia, Sweden, Malaysia and Honduras have increased markedly on a YTD-over-YTD change basis. 

Click image for larger view 

Click image for larger view

Just over half of U.S. softwood lumber exports left the country through West Coast (primarily Seattle, WA) customs districts in December. At the same time, Great Lakes customs districts (especially Duluth, MN) handled over two-thirds of the softwood lumber imports coming into the United States. 

Click image for larger view 

Click image for larger view

Southern yellow pine comprised 23 percent of all softwood lumber exports in December, followed by Douglas-fir with 21 percent.

The foregoing comments represent the general economic views and analysis of Delphi Advisors, and are provided solely for the purpose of information, instruction and discourse. They do not constitute a solicitation or recommendation regarding any investment.