President Trump issued Sept. 29 a proclamation that will impose the following Section 232 tariffs on imported timber, lumber, and derivative products, effective for goods entered or withdrawn from warehouse for consumption on or after 12:01 a.m. EDT on Oct. 14, 2025.
- a 10 percent tariff on softwood timber and lumber
- a 25 percent tariff on certain upholstered wood products that will increase to 30 percent on Jan. 1, 2026
- a 25 percent tariff on kitchen cabinets and vanities and parts thereof that will increase to 50 percent on Jan. 1, 2026
These tariff rates will apply to all imports of subject goods except that (1) for products of the United Kingdom the Section 232 tariff will not exceed 10 percent and (2) for products of the European Union and Japan the combined Section 232 tariff and most-favored-nation duty rate will be a maximum of 15 percent.
Products are identified as being subject to the Section 232 tariffs by HTSUS subheading and the complete list of covered products is included in Annex I to the proclamation.
Product Stacking
Products that are also subject to Section 232 tariffs on automobiles and auto parts will not be subject to Section 232 tariffs on timber, lumber, and derivative products.
Products subject to the timber, lumber, and derivative products tariffs will be exempt from IEEPA reciprocal, IEEPA border, IEEPA Brazil, and IEEPA India tariffs. In addition, goods qualifying under U.S. free trade agreements will still be eligible for preferences for MFN tariffs.
The timber, lumber, and derivative product tariffs will be imposed in addition to MFN (standard) and other applicable duties, including antidumping and countervailing duties, unless otherwise excluded as mentioned above.
Chapter 98
Goods properly classified in HTSUS Chapter 98 will still qualify for applicable duty or value reductions except for goods classified in HTSUS 9802.00.60, which will be subject to duties on the full value of the good.
FTZ Goods
Subject products admitted to a foreign-trade zone after 12:01 am EDT on Oct. 14 must be admitted in privileged foreign status. Goods eligible for FTZ admission under domestic status are exempt from these tariffs.
Modifications and Expansion
The EO authorizes the expansion of these tariffs to additional products, an increase in these tariffs if subject goods are being undervalued, and the negotiation of trade agreements with foreign trade partners that may reduce or eliminate these tariffs on imports of subject goods from those countries. The Office of the U.S. Trade Representative must report to the president on the status of any such negotiations on Jan. 1 and March 29, 2026.
It is anticipated that, as has been done for other sectors also covered by Section 232 tariffs, a process will be created for parties to request the inclusion of additional products on the list of those subject to these tariffs.
By Oct. 1, 2026, the Department of Commerce must provide the president with an update on imports of hardwood timber and lumber, their markets, and the domestic industry so that the president may determine whether an additional tariff on such goods (such as the phased import tariff recommended in a July 1, 2025, report), as well as any additional duties on derivatives of such products, is warranted to address a threat to national security.
For more information on these tariffs and how they may affect your business, please contact an ST&R professional or email us at tariffs@strtrade.com.
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