2025-09-30
Trump Imposes High Tariffs on Imported Furniture, Trade Environment Faces Turbulence
On September 29, 2025, US President Trump announced that starting from October 14, high tariffs will be imposed on imported furniture and related wood products. A 10% tariff will apply to lumber, while kitchen cabinets, bathroom vanities, and upholstered wooden furniture will be subject to a 25% tariff. Beginning January 2026, some tariffs will increase to between 30% and 50%. In 2024, US furniture imports amounted to about $25.5 billion, with China accounting for 33% and Vietnam for 23%, together making up nearly 60% of total imports. This policy is expected to push up domestic furniture costs and prices in the US and significantly affect supply chains
Due to the tariffs, export profits for furniture from China and Vietnam will be compressed, and import retailers such as RH and Wayfair will also face upward pressure on costs. Meanwhile, domestic furniture manufacturers like Ethan Allen and La-Z-Boy may benefit, with share prices rebounding, showing potential for industry chain restructuring. Additionally, Canada and Mexico, as two of the top four furniture import sources, have improved relative cost advantages supported by trade agreements, potentially accelerating future supply chain adjustments.
This round of high tariffs aims to stimulate domestic manufacturing, reduce foreign dependency, and strengthen supply chain resilience. In the short term (1-2 months), the furniture market will face rising costs and supply bottlenecks, and retail prices are expected to increase. Over the medium term (within six months), as tariffs take full effect and supply chains adjust, domestic manufacturing may attract investment back, while global furniture trade patterns reshape. Neighboring countries like Mexico and Canada may benefit from this shift. Overall, increased uncertainty in international trade environments requires close monitoring of subsequent policy negotiations and regional supply chain adjustments.