President Trump has issued a proclamation under Section 232 of the Trade Expansion Act of 1962 (“Section 232”) that sets October 14, 2025 as the effective date for Section 232 tariffs on softwood timber and lumber, upholstered wooden furniture, and kitchen cabinets and vanities.
Imports of softwood timber and lumber will face a 10% ad valorem duty. Meanwhile, upholstered wooden furniture and kitchen cabinets and vanities will be subject to a 25% duty. These rates are set to increase on January 1, 2026, to 30% for furniture and 50% for cabinets and vanities, unless the U.S. reaches agreements with exporting countries that mitigate the national security risks posed by these imports.
The proclamation also clarifies how these new tariffs stack with existing trade measures. Specifically:
- Tariffs on these imports from the European Union and Japan will be capped at a rate of 15%, including the most-favored nation (“MFN”) duty rate, while imports from the United Kingdom will face a maximum additional tariff of 10% above the MFN rate.
- Timber, lumber, and related derivatives that are subject to these Section 232 tariffs will be exempt from President Trump’s reciprocal tariffs, as well as the 40% tariffs imposed under the International Emergency Economic Powers Act (“IEEPA”) on Brazilian goods and the 25% IEEPA tariffs on Indian imports of Russian oil.
- If a wood product is covered by both these tariffs and the Section 232 tariffs on automobiles and auto parts, only the auto-related tariffs will apply.
- If a product is subject to both these tariffs and the IEEPA tariffs on Canada and Mexico, it will only be subject to these Section 232 tariffs on timber and lumber.
The specific Harmonized Tariff Schedule of the United States (“HTSUS”) subheadings subject to these tariffs are set out in the proclamation’s annex. Duty drawback is available.
The proclamation supersedes any conflicting provisions from previous proclamations and executive orders and directs the Department of Commerce to establish an inclusion process to assess undervaluation risks and potentially expand the scope of products subject to the tariffs. The proclamation also directs the United States Trade Representative (“USTR”) to negotiate agreements to address the underlying security concerns, with updates due before January 1, 2026, and again within 180 days.
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