Demand for lumber is projected to grow rapidly in the 1980's, largely in response to rising demands for new housing and pallets. 



In general, it has been assumed that recent trends 

 in unit use would continue. For some end use 

 markets, however, such trends have been modified by 

 a judgment evaluation of the various factors likely to 

 affect future changes. For example, the rate of decline 

 in the unit use of lumber in housing in the 1940's and 

 1960's has been sharply reduced because nearly all of 

 the potential displacement by panel products has 

 already taken place. As another illustration, the 

 expected increases in the cost of fossil fuels, and the 

 associated increases in the costs of many materials 

 which compete with wood, such as steel, plastics, and 

 aluminum, have been taken into account. Such 

 increases generally improve the cost position of wood 



relative to competing materials, and result in higher 

 levels of per unit use of wood products. 



Projected Demand for Lumber 

 and Panel Products 



Based on the projections and assumptions dis- 

 cussed, demands for lumber and panel products are 

 projected to rise substantially in the next 50 years in 

 all the major end use areas (tables 6.2, 6.3, and 6.4). 

 In terms of volume, the largest increase for lumber is 

 in shipping, and for plywood in nonresidential con- 

 struction. The largest increase for the other panel 

 products — insulation board, hardboard, and particle- 

 board — is in manufacturing. 



202 



