🔗 Share this article New US Presidential Duties on Kitchen Cabinets, Timber, and Home Furnishings Take Effect Several recently announced United States tariffs targeting imported cabinet units, bathroom vanities, timber, and specific furnished seating are now in effect. Following a proclamation enacted by Chief Executive Donald Trump last month, a ten percent tariff on soft timber imports took effect on Tuesday. Import Duty Percentages and Future Increases A 25% tariff will also apply on imported cabinet units and bathroom vanities – increasing to 50% on January 1st – while a 25% tariff on wooden seating with fabric is set to rise to 30%, unless new trade agreements get agreed upon. Trump has cited the need to protect American producers and security considerations for the decision, but various industry players worry the duties could increase housing costs and make consumers postpone home renovations. Understanding Import Taxes Tariffs are taxes on foreign products typically charged as a portion of a item's value and are submitted to the American authorities by firms importing the products. These enterprises may pass some or all of the additional expense on to their buyers, which in this scenario means ordinary Americans and other US businesses. Previous Import Tax Strategies The chief executive's import tax strategies have been a key feature of his second term in the presidency. The president has before implemented sector-specific tariffs on metal, metallic element, light metal, cars, and vehicle components. Consequences for Canada The supplementary international ten percent duties on softwood lumber implies the material from the northern neighbor – the number two global supplier globally and a key US supplier – is now tariffed at over forty-five percent. There is already a total thirty-five point sixteen percent American offsetting and anti-dumping tariffs imposed on the majority of northern industry players as part of a decades-long disagreement over the commodity between the neighboring nations. Bilateral Pacts and Exclusions Under active bilateral pacts with the United States, levies on wood products from the Britain will not go beyond 10%, while those from the EU bloc and Japan will not exceed fifteen percent. Administration Justification The White House says Donald Trump's duties have been put in place "to guard against dangers" to the America's domestic security and to "strengthen factory output". Industry Apprehensions But the National Association of Homebuilders commented in a release in the end of September that the recent duties could increase homebuilding expenses. "These recent levies will create further headwinds for an already challenged residential sector by additionally increasing development and upgrade charges," said leader Buddy Hughes. Retailer Outlook Based on a consulting group senior executive and senior retail analyst the analyst, merchants will have no choice but to hike rates on imported goods. In comments to a broadcasting network last month, she said sellers would seek not to hike rates drastically ahead of the festive period, but "they can't absorb thirty percent duties on top of previous levies that are already in place". "They must pass through pricing, almost certainly in the form of a two-figure cost hike," she remarked. Furniture Giant Response Last month Swedish home furnishings leader the retailer stated the duties on overseas home goods cause conducting commerce "harder". "These duties are affecting our operations similarly to other companies, and we are closely monitoring the evolving situation," the enterprise remarked.