Wood products are practically everywhere. The industry is closely tied to residential construction activity, so building permits are an important gauge of industry vitality. The collapse of the sub-prime mortgage market that began in 2006, which led to a decline in residential construction activity, greatly affected the demand for many types of manufactured wood products. Supply and prices can be volatile and are heavily impacted by domestic demand, Canadian imports, transportation shortages and environmental regulations. Strong residential construction investment will continue to be a chief indicator.