"The U.S. continues to engage in productive negotiations with trade partners to address trade reciprocity and national security concerns with respect to imports of wood products," the White House said. "The U.S. will therefore delay the increase in tariff rates for upholstered furniture, kitchen cabinets and vanities that was set to take place on Jan. 1."
The current 25 percent tariff on these goods, imposed under the Sept. 25 proclamation, will remain in effect, the statement said.
Furniture, cabinetry and fixtures are major costs for hotels, especially small business owners renovating properties or developing new projects, AAHOA said.
“This decision provides breathing room for America's hotel owners and small businesses,” said Kamalesh “KP” Patel, AAHOA chairman. “We thank President Trump for recognizing the real-world impact these tariffs have on entrepreneurs who are reinvesting in their properties, employing millions of workers and supporting local economies. This pause is not just prudent—it's pivotal.”
The association said it will continue working with policymakers and industry stakeholders on trade policies affecting hotel owners.
Laura Lee Blake, AAHOA president and CEO, added that furniture, fixtures and equipment can make up 15 to 20 percent of a hotel renovation’s cost, so sudden tariff increases disrupt small-business hoteliers.
In September, Trump justified tariffs on wood products, timber and lumber on national security grounds and to protect the domestic wood industry, announcing them after a Commerce Department investigation under Section 232 of the Trade Expansion Act, CNN Business reported. He also imposed 25 percent tariffs on kitchen cabinets and upholstered furniture, which took effect in October and were set to rise to 50 percent and 30 percent by 2026. Wednesday’s order delays that increase, keeping tariffs at 25 percent.
The Trump administration faced criticism for failing to stabilize prices, partly due to tariffs on various goods since early 2025. Even before the 25 percent furniture tariffs, prices had risen because of levies on most imports from China and Vietnam, the top sources of furniture. Despite concerns about affordability, Trump has blamed the Biden administration for inflation while arguing that tariffs could lower costs.
However, the Wednesday statement did not explain the reason for the delay.
The U.S. hospitality industry navigated a year of policy shifts, leadership changes and trade tensions under President Donald Trump in 2025.
