Levies hit Oct. 14 under Section 232, with hikes to follow Jan. 1.
President Donald Trump has set 10% tariffs on imports of softwood timber and lumber, as well as 25% levies on kitchen cabinets, vanities, and upholstered wood products.
Trump signed a proclamation on Monday, according to a report by Bloomberg News. The tariffs will take effect starting Oct. 14, with some targeted increases scheduled to take effect from Jan. 1.
According to the report, Trump said the tariffs would “strengthen supply chains, bolster industrial resilience, create high-quality jobs, and increase domestic capacity utilization for wood products.”
More importantly, these levies fall under Section 232 of the Trade Expansion Act, which allows the President to impose tariffs on goods in the interest of national security. They differ from the reciprocal, or country-specific, tariffs Trump has used to raise revenue, address trade imbalances, and push other nations to reduce barriers on U.S. exports.
The latest changes will pressure furniture and furnishing sellers such as Williams-Sonoma, RH, Wayfair, and Arhaus, while U.S.-based La-Z-Boy could potentially benefit.
On Stocktwits, the retail sentiment was ‘bullish’ for Williams-Sonoma, Wayfair, and La-Z-Boy, ‘neutral’ for RH, and ‘bearish’ for Arhaus, as of late Monday.
Earlier in the day, the President singled out North Carolina as a state that “completely lost its furniture business to China” and other countries.
The move follows a Commerce Department investigation into imports of lumber, timber, and derivative products. Earlier this month, Trump announced a 50% tariff on kitchen cabinets, bathroom vanities, and associated products, as well as a 30% tariff on upholstered furniture, set to take effect on Oct. 1.
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