West Fraser still North America's largest lumber producer, with 4.91 bbf in 2011, followed by Weyerhaeuser with 3.56 bbf, finds annual top 20 survey
Audrey Dixon
VANCOUVER, British Columbia
,
March 20, 2012
(press release)
–
West Fraser Timber remains North America's largest lumber producer as the recovery starts to take hold, with China playing a larger role
Notes: Includes lumber produced only at primary sawmills and Source: WOOD MARKETS
The latest WOOD MARKETS annual survey of the "top 20" Canadian and U.S. lumber producers shows that West Fraser Timber has retained its title of being North America's largest softwood lumber producer in 2011 with 4.91 billion board feet (bf; or 7.8 million m3 net). The company was also Canada's largest producer while Weyerhaeuser was the largest U.S. lumber producer in 2011 and North America's second largest lumber producer with 3.56 billion bf.
These and other highlights were released today in the March issue of WOOD Markets Monthly International Reportthat was researched by the consultants at International WOOD MARKETS Group, Vancouver B.C. "With North American lumber production in 2011 increasing a modest 5.2% over 2010, the WOOD MARKETS survey provides further evidence that the fledgling lumber market recovery that started in 2010 has continued to build on itself in 2011 - albeit slowly," commented Peter Butzelaar, WOOD MARKETS Vice-President.
For the second consecutive year, the top 20 Canadian companies increased their market share of total Canadian lumber production, rising from 73.7% in 2010 to 76.8% in 2011. The order of the top five lumber producers in Canada was unchanged from 2010: West Fraser, Canfor, Tolko, Resolute FP (the new name for Abitibi-Bowater after re-emerging from creditor protection) and Tembec. These five firms produced a total of 11.0 billion bf (49% of Canadian lumber output) versus 10.3 billion bf (47.1%) in 2010. West Fraser retained its top position with output of 3.41 billion bf, 15.1% of total Canadian softwood lumber production, and the same share as in 2010.
Similar to Canada, there was no major change from 2010 in the order of the five largest producing U.S. companies: Weyerhaeuser, Sierra Pacific, West Fraser (U.S.), Georgia-Pacific and Hampton Affiliates.The output of the top 20 U.S. companies rose from 14.0 billion bf to 14.8 billion bf (+5.5%). Unlike in Canada, the growth rate for the top 20 U.S. lumber producers was at a slower rate than the average for all U.S. companies (+7.6% to 26.8 billion bf). While falling behind the average growth rate of the industry, the top 20 U.S. companies also saw their share of total U.S. production slip to 55.3%, versus 56.4% in 2010.
Total Canadian softwood lumber output rose from 21.9 billion bf in 2010 to 22.5 billion bf in 2011 (+2.5%), while U.S. production grew from 24.9 billion bf to 26.9 billion bf (+7.6%). "Although U.S. housing starts were less than stellar at 607,000 units in 2011 (up from 587,000 in 2010), North American lumber consumption showed modest growth of 640 million bf (+1.5%), coming in at 43.2 billion bf for the year," explained Russ Taylor, WOOD MARKETS' President. "As in 2010, offshore Asian demand (mainly Chinese) was the biggest factor driving the industry growth."
B.C. producers continued to benefit from China's expanding demand for North American lumber in 2011. Canadian producers (almost all from B.C.) increased their softwood lumber shipments to China to 5.0 billion bf nominal. In just two years, Canada has increased its shipments to China by 196%, to the point where Canada's exports to China are second to only to those of the U.S.
In comparison, U.S. firms exported much lower volumes to China in 20011, or 660 million bf nominal - this was still an increase of 190% over 2010 levels. This increase moved China ahead of Canada as the U.S.'s largest export market for softwood lumber in 2011.
The survey will show some interesting results in 2012:
The complete Top 20 Lists and further analysis are available to subscribers of WOOD Markets Monthly International Report.
For further information or details on the "Top 20" lists, please contact:
International WOOD MARKETS Group (1) 604-801-5996 or e-mail:
Russell Taylor retaylor@woodmarkets.com
Peter Butzelaar peterb@woodmarkets.com
Two summary tables follow:
CANADA TOP SOFTWOOD LUMBER
PRODUCERS · 2011 (Million Bf)
Rank
No. of
Production
2010
2011
Company
Mills
2010
2011
% Change
1
1
West Fraser
12
3,318
3,408
3%
2
2
Canfor
13
2,887
3,130
8%
3
3
Tolko
10
1,854
1,922
4%
4
4
Resolute (AbitibiBowater)
18
1,500
1,683
12%
5
5
Tembec
9
778
906
16%
Total Top 5
62
10,337
11,049
6.9%
Total Top 10
92
13,644
14,505
6.3%
Total Top 20
109
16,167
17,281
6.9%
Total Canada
21,945
22,497
2.5%
Top 5 as a % of Canada
47.1%
49.1%
Top 10 as a % of Canada
62.2%
64.5%
Top 20 as a % of Canada
73.7%
76.8%
Notes: Includes lumber produced only at primary sawmills and excludes U.S. production.
Source: WOOD MARKETS
USA TOP SOFTWOOD LUMBER
PRODUCERS · 2011 (Million Bf)
Rank
No. of
Production
2010
2011
Company
Mills
2010
2011
% Change
1
1
Weyerhaeuser
15
2,550
2,759
8%
2
2
Sierra-Pacific Ind.
14
1,672
1,800
8%
3
3
West Fraser
15
1,365
1,503
10%
5
4
Georgia Pacific*
16
1,074
1,074
0%
4
5
Hampton Affiliates*
5
1,100
1,000
-9%
Total Top 5
65
7,761
8,136
4.8%
Total Top 10
93
11,002
11,489
4.4%
Total Top 20
124
14,048
14,825
5.5%
Total U.S.
24,896
26,793
7.6%
Top 5 as a % of U.S.
31.2%
30.4%
Top 10 as a % of U.S.
44.2%
42.9%
Top 20 as a % of U.S.
56.4%
55.3%
excludes all Canadian and offshore production.
* 2011 Estimate
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