As we begin 2022, the demand for housing remains extremely strong across North America. The building industry continues to be challenged by material shortages and supply chain woes, which has resulted in price escalation and unplanned delays. The price of lumber, plywood and OSB have more than tripled over the past 4 months. Our Window and Door suppliers have seen their lead-times extend from a traditional 2-4 week production time to now an unstable 18-26 week production time. The challenges in the supply chain are causing further delays from these projected delivery dates. A number of factors have caused the price escalation and extended lead times.
Weather
Floods in Canada have washed out portions of the major rail lines and roadways causing delays in shipment. Snow in the Pacific Northwest prevented loggers from logging for 3-4 weeks over the holidays. Resin manufactures are still trying to catch up from the Texas freeze in 2021.
Labor
Due to outbreaks of Covid 19 and their inability to find new employees, all segments of the Sawmill Industry, Window and Door Manufactures, Distributors, and Trucking companies are struggling to achieve the desired staffing needed to operate.
Transportation
The cost of transportation has increased due to rising fuel costs and an increase in wages. There is also a nationwide shortage of rail cars and truck drivers. Most all of our suppliers currently have material sitting in port or on a ship waiting to be offloaded.
Tariffs
A rise in Canadian lumber tariffs; 50% of the major producers of lumber in North America are located in Canada.
We will continue to navigate these challenges by putting you, our customer, first when making decisions. We are working closely with our Manufacturing and Supply partners to anticipate issues and communicate the most accurate lead times possible. We encourage you to reach out to your salesperson often for the most up to date market info, educate your customers, order early and plan for added delays to protect yourself.