U.S. Tariffs on Lumber, Upholstered Furniture, Cabinets, Vanities, and Related Imports

Trade Update • Sept.30, 2025

Key Points

• President Donald J. Trump has signed a proclamation imposing Section 232 tariffs on imports of softwood timber, lumber, and derivative products starting October 14, 2025.
• A 10% tariff applies to softwood timber and lumber imports.
• A 25% tariff applies to upholstered wooden furniture and kitchen cabinets/vanities, rising to 30% and 50% respectively on January 1, 2026.
• Special tariff caps are set for the UK (10%) and for EU/Japan (15%).
• Goods subject to these tariffs will not be subject to reciprocal tariffs, International Emergency Economic Powers Act (IEEPA) tariffs on Brazil or India, or certain other overlapping tariffs.
• Drawback (refund of duties on re-exported goods) will be available, with imports processed through foreign-trade zones from October 14 subject to “privileged foreign” status.
• Ongoing negotiations with trade partners may lead to adjustments or exemptions.
• Additional wood products may be added to the tariff list if necessary.

On September 29, 2025, President Donald J. Trump signed a proclamation imposing Section 232 tariffs on timber, lumber, and derivative wood products, effective October 14, 2025, with detailed tariff classifications outlined in the Lumber and Timber 232 Annex. This action aims to protect U.S. national security, addressing concerns about the impact of imports on the domestic wood industry and critical supply chains.

The proclamation includes provisions for tariff caps on imports from the UK, EU, and Japan, exemptions from overlapping tariffs, monitoring and adjustment mechanisms, and authority for the Commerce Department to add products or impose additional tariffs related to undervaluation risks.

Background

The Section 232 tariffs follow a comprehensive investigation initiated by the Department of Commerce in early 2025. The Secretary of Commerce found that current import levels and unfair trade practices are weakening the domestic wood processing industry, causing mill closures, job losses, and underutilized production capacity.

These conditions increase U.S. dependence on foreign suppliers for materials critical to military infrastructure, munitions manufacturing, missile defense, and vital infrastructure sectors such as energy and transportation.

Tariff Rates and Scope

The Section 232 tariffs impose specific duties on softwood timber, lumber, and related wood products with tariff rates and application dates outlined below.

• Softwood Timber and Lumber: 10% ad valorem duty on imports.
• Upholstered Wooden Furniture: 25% ad valorem duty starting October 14, rising to 30% on January 1, 2026.
• Kitchen Cabinets and Vanities (completed and parts): 25% ad valorem duty starting October 14, rising to 50% on January 1, 2026.
• Tariffs apply to imports classified under specific HTSUS codes (detailed in the annex).

Special Provisions

• Tariffs on imports from the United Kingdom are capped at a maximum of 10% above the Most Favored Nation (MFN) rate, while tariffs on imports from the European Union and Japan are capped at a combined rate of 15%, inclusive of MFN rates.
• Drawback Availability: Drawback provisions will be available for these tariffs; however, any goods subject to the tariffs that are admitted into a U.S. foreign-trade zone (FTZ) on or after October 14, 2025, must be entered under “privileged foreign status.

Tariff Exceptions

• Products subject to these tariffs are exempt from duties imposed by Executive Orders 14257 (April 2025, trade deficits), 14323 (July 2025, Brazil), 14329 (August 2025, Russia), and others to avoid overlapping tariffs.
• For wood products also covered under Proclamation 10908 (automobiles and parts), those Proclamation 10908 duties apply instead.
• Notably, the tariffs do not apply to pharmaceutical companies that have established manufacturing facilities in the U.S., part of a separate set of tariff exemptions.
• The proclamation also removes over 150 tariff subheadings in Chapter 44 of the Harmonized Tariff Schedule of the United States (HTSUS) from the list of goods exempt from reciprocal tariffs, effective October 14, 2025

Implementation and Monitoring

Tariffs on imports entered or withdrawn from warehouse on or after October 14, 2025, will be subject to the new Section 232 duties. The Secretary of Commerce will monitor import levels and domestic industry conditions, providing a report by October 1, 2026, to determine if further duties on hardwood timber, lumber, or derivatives are warranted. Additionally, the Secretary may expand the tariff list by adding wood products based on import trends and national security considerations.

The proclamation also includes a provision authorizing the Secretary of Commerce to impose specific, compound, or mixed tariffs if there is a finding of undervaluation risk for any particular class of imported wood products. In such cases, these alternative tariff forms will be applied at rates intended to approximate the ad valorem duty rates set under Section 232 for the same articles.

How GHY Can Help?

GHY specializes in helping businesses navigate and reduce the impacts of tariffs through strategic solutions tailored to their needs. Our experts can audit your supply chain to identify inefficiencies, uncover cost-saving opportunities, and ensure compliance with evolving trade regulations. We also employ tariff engineering techniques to optimize product classification and sourcing strategies, minimizing duty exposure and maximizing profitability.

By partnering with GHY, your business gains access to the tools and expertise needed to streamline operations and stay competitive in a challenging trade environment.

Contact Us Today! Booking a Meeting, email consult@ghy.com, or call +1 (800) 667-0771.