Trump Imposes Tariff on Wood, Furniture – 2025 Market
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* New Tariffs Announced: Donald Trump announced tariffs on wood and furniture imports to the US. These are:
* 10% on gross and sawed wood
* 25% on kitchen cabinets, bathroom vanities, and upholstered furniture.
* justification: Trump argues these imports weaken US national security,citing Section 232 of the 1974 Trade Act (used previously for steel and aluminum tariffs). He claims imports are causing sawmill closures, supply chain disruptions, and reduced use of the US wood industry. The document specifically states wood is needed for national defense and critical infrastructure (ammunition, defense systems, etc.).
* Implementation Dates:
* Tariffs begin October 14th (1:01 am Brasília time).
* Rates will increase on January 1st to 30% for upholstered wood products and 50% for kitchen cabinets and bathroom vanities from countries without agreements with the US.
* Affected Countries:
* Canada: Expected to be the most affected, already facing about 35% combined anti-dumping/subsidy rates on wood. Canada is offering up to $870 million in aid to itS producers.
* Brazil: Already experiencing layoffs in the wood sector, with 90% of production concentrated in Paraná, Santa Catarina, and Rio Grande do Sul.
* Mexico & Vietnam: Growing suppliers to the US after previous tariffs on Chinese furniture.
* UK: Will have reduced tariffs of 10% on wood products due to existing trade agreements.
* Broader Context: This is the first phase of new tariffs Trump announced for three sectors (also including patented medications and heavy trucks).
* Previous Tariffs: Trump imposed tariffs on Chinese furniture starting in 2018, which have since increased to around 55% and could now nearly double for certain products.