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KEY TAKEAWAYS
- President Donald Trump said he was imposing 10% tariffs on imports of softwood timber and lumber, as well as levies on kitchen cabinets, bathroom vanities, and upholstered furniture.
- He said in the presidential notice released by the White House that kitchen cabinets and vanities, as well as certain upholstered furniture, would initially face tariffs of 25%.
President Donald Trump said he was imposing 10% tariffs on imports of softwood timber and lumber, as well as levies on kitchen cabinets, bathroom vanities and upholstered furniture, in moves he said were aimed at boosting American production and protecting national security.
The presidential notice released by the White House noted that kitchen cabinets, vanities and certain upholstered furniture would face tariffs of 25%. Those would increase on Jan. 1 to 50% for kitchen cabinets and vanities, and 30% for upholstered furniture, barring deals struck by the exporting nations with the U.S.
Trump signed a proclamation invoking Section 232 of the Trade Expansion Act of 1962. The tariffs take effect Oct. 14.
Why This Matters
President Donald Trump’s latest tariffs could increase costs for homeowners and homebuyers. Tariffs increase the cost of imports, with those on lumber hitting U.S. homebuilders, which will face higher construction costs that they pass on to homebuyers.
Some of the countries that have struck trade deals with the U.S. recently won’t be hit as hard. Trump said imports from the U.K. would face 10% levies, while those from the European Union and Japan would face 15%. The wood tariffs will especially hurt Canada: The U.S. gets almost a quarter of its softwood lumber from Canada, according to Fastmarkets, a price and market analysis agency.
“The United States has been a net importer of lumber since 2016, despite having the practical production capacity to supply 95% of the United States’ 2024 softwood consumption,” The White House said in a fact sheet outlining the tariffs.
The higher tariffs on lumber are also expected to boost costs for homeowners and homebuyers. UBS analysts said that they estimate the lumber tariff would add $720 to the cost of an average home, while the tariffs on cabinets and vanities would add about $280 per home. They said, however, that “it is very important to appreciate the fluidity of the entire tariff situation and understand that the degree of ultimate levies could vary dramatically from what is anticipated today.”
In posts on his Truth Social network last week, Trump threatened tariffs: 30% on furniture products and 50% on kitchen cabinets, which are higher than the initial round of measures announced yesterday. He also said last week that he would impose tariffs on patented pharmaceutical imports and heavy truck imports starting Oct. 1.
