Return
Impacts on Hardwood Lumber Sales and Exports from Cascade Hardwood
At Cascade Hardwood, we specialize in premium Alder and Maple products and ship extensively to western, upper midwestern, and southwestern markets via van and flatbed trucks. Anyone who has ever flown to Seattle knows that when you get to the Pacific Northwest, it is a long way back to most places. As oil prices continue to fluctuate, recently trading around $86 per barrel amid ongoing global developments, fuel prices have been on the upswing. These movements influence transportation costs and affect hardwood lumber sales across the USA, Canada, Mexico, and our exports to Asia.
When oil prices rise, diesel costs increase, which can add to our long-haul shipping expenses. For shipments traveling hundreds of miles to the Upper Midwest, Rocky Mountain states, Southwest, and along I-5 to California and Mexico, this may modestly raise delivered prices.
When prices ease toward $70 or lower, as some forecasts suggest later in 2026, transport savings allow us to offer more attractive pricing. This often supports steady or growing volumes, especially as construction activity picks up across North America.
For exports to Vietnam, a key market for our raw lumber used in furniture manufacturing, ocean freight is a major factor. Higher oil prices can lift bunker fuel costs and shipping rates on Pacific routes by 10 to 20 percent, potentially slowing demand relative to regional suppliers. Lower prices, however, improve our position and help support Vietnam’s growing wood processing sector.
At Cascade Hardwood, we manage these dynamics thoughtfully. Our new Logistics Manager, Paul Woodcock, now books most domestic shipments and works closely with our long-time Inventory and Logistics Manager, Liz Edwards. While Liz continues to focus on delivering an unparalleled level of customer service without the burden of doing both the inventory manager and logistics jobs, Paul focuses on optimizing routes and rates. One way buyers can save money is by giving us flexibility on shipment arrival dates. This allows us to shop for the best carrier rates and pass those benefits along.
Overall, oil price swings are a normal part of doing business. With smart planning and strong partnerships, we continue to deliver quality hardwood reliably to our markets.
