New Tariffs on Wood Imports
Effective October 14, 2025, the United States will impose additional tariffs on a range of imported wood products. This move is part of a broader trade policy aimed at protecting domestic lumber producers, but it will have significant implications for importers, manufacturers, and anyone in the wood products supply chain.
What's Changing
The new tariffs apply to several categories of wood products:
- Softwood lumber from select countries
- Hardwood lumber and veneer products
- Engineered wood products including plywood and particleboard
- Finished wood products in certain categories
Tariff rates vary by product category and country of origin, but most affected products will see increases of 10-25% over current duty rates.
Who's Affected
Importers
The most direct impact is on companies importing wood products into the U.S. Higher duties mean higher landed costs, which will need to be absorbed or passed through to customers.
Manufacturers
Companies that use imported wood as a raw material — furniture makers, flooring manufacturers, construction companies — will see input costs rise. Those with domestic sourcing alternatives may be less affected.
Retailers and Distributors
Downstream businesses will face price increases from their suppliers. The timing and magnitude of these increases will depend on existing inventory levels and contract structures.
Strategic Responses
Diversify Sourcing
Look for domestic alternatives or suppliers in countries not subject to the new tariffs. This may require qualifying new vendors and adjusting specifications.
Review Inventory Strategy
Consider building strategic inventory of affected products before the tariffs take effect. The cost of carrying additional inventory may be less than the tariff increase.
Optimize Logistics
With higher product costs, the relative impact of transportation efficiency increases. Every dollar saved in freight has a bigger impact on your total landed cost.
Review Contracts
Ensure your purchase and sales contracts include provisions for tariff changes. Many older contracts don't address this scenario adequately.
How AGL Can Help
We have decades of experience managing international wood product shipments. Our team can help you evaluate alternative sourcing strategies, optimize your import logistics, and ensure compliance with the new tariff requirements.