Christmas Tree Industry Faces Economic Challenges

The U.S. Christmas tree industry is a vital and resilient sector, providing about $2.5 billion in annual revenue, according to Justin Whitehill, assistant professor at North Carolina State University and director of its Christmas Tree Genetics Program.

With approximately 15,000 growers across the nation, Christmas trees are cultivated in every state, with key production areas in Michigan, Oregon, and North Carolina.

Despite its success, the industry faces mounting challenges.

“With increasing temperatures, we’re seeing more drought occurring for longer periods,” Whitehill explained. “That drought is really putting more stress on the Christmas trees, making them more susceptible to diseases or pests.” He emphasized that these environmental pressures vary by region, with distinct challenges in the Pacific Northwest, Great Lakes, and southeastern states.

North Carolina’s Fraser fir growers have felt the impacts of extreme weather, particularly during Hurricane Helene. While the state’s mountainous terrain helps protect crops, valleys housing seedling nurseries and equipment were hit hard. Damages from the hurricane ranged between $40 million and $125 million, Whitehill noted, with a few growers bearing significant losses.

Whitehill also highlighted the long-term commitment involved in Christmas tree farming. “It’s a long process,” he said. “From seed to harvest, it can take 8 to 10 years to grow a tree, making setbacks like Helene especially difficult.” Efforts are underway to mitigate such challenges through research into pest and disease resistance, as well as collaborations with growers nationwide.

On a positive note, real Christmas trees offer environmental benefits, being biodegradable and recyclable. Whitehill pointed out that locally sourced trees have a smaller carbon footprint compared to artificial ones, which would need 20 years of use to match the sustainability of natural trees.