B.C.'s lumber trade is bleeding red again.
A slowdown in China's economic growth coupled with high inventory levels on both sides of the Pacific have cut into earnings for some of B.C.'s biggest employers.
Canfor (TSX:CFP) and West Fraser Timber (TSX:WFT), B.C.'s largest lumber producers, posted a combined loss of $27.6 million in 2012's first quarter compared with earnings of $51.1 million for the same period last year.
Although losses in 2011's first three months have improved when compared with 2011's fourth quarter, the near future of the market remains uncertain amid a slowdown in the Middle Kingdom.
Back at home, B.C.'s most famous industry is facing serious questions about sawmill safety and timber supply in the aftermath of the mountain pine beetle epidemic.
For an analysis of B.C.'s forestry industry and Global Log and Lumber Conference insights, see Related News: "Forestry's frightful road ahead."
