Documents from the Department of Finance Canada received by Furniture Today note that some furniture exports from the U.S. into Canada could be hit with retaliatory tariffs that are in response to President Donald Trump's proposed tariffs on steel and aluminum.

A notice of intent to impose countermeasures against the United States lists several furniture categories that could be hit with 10% tariffs. These include consoles, desks, cabinets or other base units that are equipped with electrical controls or components. In addition, the list mentions upholstered seats with wooden frames, mattresses of cellular rubber or plastics, and mattresses of other materials.

The list can be viewed in table two in the following link:

https://www.fin.gc.ca/activty/consult/cacsap-cmpcaa-eng.asp

It was not immediately clear if Mexico plans similar measures.

Our earlier report, below, noted products including steel, aluminum and produce.

 

HIGH POINT – According to earlier reports, retaliatory measures by Canada and Mexico in response to President Donald Trump’s proposed tariffs on steel and aluminum did not appear to be affecting the furniture industry.

However, a list obtained by Furniture Today indicates otherwise.

Effective July 1, Canada said it would impose nearly $13 billion of tariffs on U.S.-made goods, including industrial steel and aluminum as well as products such as yogurt, orange juice, paper products, plastic household goods, domestic appliances and some furniture, according to various news sources.

On June 5, Mexico announced about $3 billion of tariffs on U.S.-made goods including steel, pork, cheese, apples and grapes, also according to various news sources. It is not clear whether furniture will be affected.

Both Canada and Mexico are by far the two largest purchasers of U.S.-made furniture, according to Furniture Today research. In 2017, for example, the U.S shipped nearly $1.4 billion in furniture to Canada, up 5% from the prior year.

By comparison, shipments to Mexico were down 22% for the year. Nonetheless, it was the second largest market with about $158 million in shipments.

Both Canada and Mexico also fall within the top five largest furniture producers for the U.S. market, shipping nearly $1.4 billion and more than $1.1 billion, respectively, just behind China and Vietnam, according to Furniture Today research.

 

Source From: FurnitureToday