Christmas Tree Supply Chain Hit by Climate Change and Omicron Variant

The Christmas tree industry in the United States is grappling with a supply shortage exacerbated by climate change-induced natural disasters and Omicron variant-related disruptions. Consumer demand remains high, partly due to early holiday shopping encouragement, but many are finding trees scarce or significantly more expensive.

Industry analysts and the National Christmas Tree Association point to reduced planting in previous years, particularly following the 2008 recession, as a primary cause for lower yields today. Key growing regions like North Carolina and Oregon report fewer trees available. Given that a typical 8-10 foot tree takes approximately 10 years to grow, increasing supply quickly is not feasible.

Climate change impacts, including flooding and wildfires in Canada and droughts and wildfires within the U.S., have further diminished the number of available trees. These events have also restricted international trade, affecting supplies destined for American consumers.

The spread of the Omicron variant has added further strain, slowing down supply chains and increasing transportation costs. Travel restrictions and labor shortages complicate the movement and sale of trees. Some wholesale suppliers, like River Ridge Tree Farm, have seen their profit margins squeezed by higher freight expenses. Reduced cross-border travel has also impacted the availability of seasonal workers, affecting smaller vendors.