fllE 8feilF0RD 8r0Dt; AMERICA'S

Demand For Wood

1929 - r97s

Summary of a repor.t by Stanford Research Institute, Stau.ford, Colrf., to Weyerhaeuser Titnber Comfany, Taconta, Waslt., 7954.

Section lll - The Demqnd for Lumber

In 1953 about 73% of total United States lumber cons,umption lvent into construction; about l5/o into shipping, including boxes and crating materials, dunnage and pallets; and the remaining 7270 into manufacturing products. These proportions are expected to be about the same in 1975 as in 1953, despite some significant shifts within these broad groupings.

Lumber useC in contruction, for example, is likely :o be centered increasingly in new residential building (including additions and alterations), .ivith a smaller share going into non-residential construction, and about the same proportion a:r now into maintenance and repair of all types of constrnction.

Lumber Use in Residential Building

Lumber demand for ner,v dwelling units changes Irom year to year in response to changes in the number ,rt dwelling units under construction, architecture. size and height of the dwelling structures, and cornpetition from other materials. The following table shot's the changes in these factors from 1953 to I975, on rvhich calculat'ons .rf lumber demarrd for neu' residential building are based :

Little change is foreseen i:r the distribt,tion of dwellingunit starts as between single-iamily, tu'o-family, and multifamiiy struct:rres. The conrinued industry movement to r,uburban arees and expectat.ions of attractive financing Ior prospective home-owneis should maintain the popularity of the single-family structure.

The size oi Crvelling units in the future will depenrl ;:rimarily on the money expected to be available for an :rverage dr,velling unit in rela,tion to the cost per square foot. The average e>ipendiiure per non-farm dwelling nnit, based on figures for projected housing expenditures and nurnber of starts shcrvn in the oreceding sectiorr, is as follor,r's, in terms of 1952 prices:

1952, $9,338; 1960, $9,318; 1965, $9,387; 1970, $9,757; 1975, $9,677.

Tire future outlook is for construction materials costs, in terms of. 1952 orices, to increase. No relative decline rn construction l:bor costs is expected. A greater number of built-in appliances and t:rore utility ft:atures such its bathrooms and electrical circuits will probably be nsed' T]ecause of tl-;is, an average annual increase of lf cents

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