President Donald Trump announced Friday that his administration is preparing to slap new tariffs on imported furniture, marking the latest expansion of his aggressive trade policy. The statement, posted on his Truth Social platform, triggered an immediate market reaction, with shares of major furniture retailers and home goods companies tumbling in after-hours trading.
“Within the next 50 days, that investigation will be completed, and Furniture coming from other Countries into the United States will be Tariffed at a Rate yet to be determined,” Trump wrote. He argued that the move would revitalize American furniture manufacturing, particularly in states with a long history in the industry such as North Carolina, South Carolina, and Michigan.
The announcement comes on the heels of a formal U.S. investigation into imported furniture, raising the likelihood that tariffs could be applied broadly across the category. The news hit publicly traded companies like Wayfair, RH (formerly Restoration Hardware), and Williams-Sonoma particularly hard, as many of them rely heavily on overseas supply chains. Wayfair, for instance, imports much of its inventory from Asia, while RH and Williams-Sonoma have only recently begun diversifying production.
Not every company saw a downturn. Shares of La-Z-Boy, which maintains most of its manufacturing in the U.S., climbed on the tariff news. Investors appear to be betting that tariffs on foreign goods could give domestic producers a relative cost advantage, potentially reshaping the competitive landscape in the sector.
Trump has already implemented tariffs on a wide array of goods — from cars and steel to aluminum — and has hinted at future duties on copper, pharmaceuticals, and semiconductors. What remains unclear is whether the forthcoming furniture tariffs will be layered on top of existing country-specific duties, a decision that could further escalate tensions with trade partners.
The timing could prove challenging for the U.S. furniture industry. Demand for big-ticket items like sofas, dining tables, and bedroom sets has been falling for more than a year. Much of that decline is tied to weakness in the housing market, where high interest rates have slowed home purchases and dampened demand for new furnishings. At the same time, persistent inflation has forced many households to cut back on discretionary spending, reallocating budgets toward essentials and away from home décor, travel, and luxury items.
Meanwhile, the Trump administration has spent months negotiating bilateral trade frameworks with key partners, including the European Union and China. While those talks have helped stabilize broader markets, they have left long-term questions unresolved — particularly around manufacturing jobs and supply chain dependence. The proposed furniture tariffs could be seen as another step in Trump’s broader effort to force supply chains back to the U.S., even if it means higher costs for businesses and consumers in the near term.
For now, the industry is bracing for impact. Retailers that rely on imports may face significant pricing pressures if tariffs are enacted, potentially leading to higher prices for consumers already squeezed by inflation. But for companies with U.S.-based manufacturing, the policy shift could represent an unexpected competitive boost.
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