30 September 2025

US President announces new Section 232 tariffs on imports of timber, lumber and their derivative products

  • United States President Trump issued a Proclamation on 29 September 2025 imposing tariffs on imports of timber, lumber and their derivative products, citing national security concerns.
  • A 10% ad valorem duty will be applied to imports of softwood timber and lumber, while certain upholstered wooden products, kitchen cabinets and vanities will face a 25% duty beginning 14 October 2025. Beginning 1 January 2026, the duty rate of upholstered wooden products will increase to 30% and duty rate for kitchen cabinets and vanities will increase to 50%.
  • The Proclamation establishes procedures for monitoring imports and allows for adjustments based on ongoing negotiations with trading partners, including the United Kingdom, European Union and Japan.
 

Executive summary

On 29 September 2025, United States (US) President Donald J. Trump issued a Proclamation Adjusting Imports of Timber, Lumber, and Their Derivative Products into the United States (Proclamation). This action follows a report from the US Secretary of Commerce, which concluded that current import levels of wood products threaten to impair US national security. The Proclamation outlines the Secretary's findings regarding the impact of wood product imports on domestic industry and national security, emphasizing the need for protective measures.

Key provisions of the Proclamation

Tariff rates

  • Softwood timber and lumber: A 10% ad valorem duty will be imposed on imports of softwood timber and lumber.
  • Upholstered wooden products: Imports of certain upholstered wooden products will be subject to a 25% ad valorem duty.
  • Kitchen cabinets and vanities: Imports of kitchen cabinets and vanities will also incur a 25% ad valorem duty. This applies to both completed products and parts imported for use in kitchen cabinets and vanities.

Effective dates

The tariffs established in this Proclamation will apply to goods entered for consumption or withdrawn from a warehouse for consumption on or after 12:01 a.m. Eastern Time on 14 October 2025.

Effective 1 January 2026, the duty rate for upholstered wooden products will increase to 30%, and the duty rate for kitchen cabinets and vanities will increase to 50%.

Monitoring and adjustments

The US Secretary of Commerce will continue to monitor imports of wood products and will provide updates on the status of the domestic industry and market conditions. An update on hardwood timber and lumber imports is expected by 1 October 2026.

The Proclamation allows for the establishment of processes to identify and impose tariffs on additional wood products as necessary to address national security concerns.

Negotiations with trading partners

The Proclamation emphasizes the importance of ongoing negotiations with foreign trading partners, including the United Kingdom (UK), European Union (EU) and Japan, to address any national security threat posed by wood product imports. In keeping with the terms of an Economic Prosperity Deal reached in May 2025 with the UK and Northern Ireland, the US "intends to coordinate with the United Kingdom to adopt a structured, negotiated approach to addressing the national security threat in the wood-products industry," the Proclamation states. The terms of the framework agreements negotiated with the EU and Japan provide that the tariff rate applicable to wood products originating in the EU and Japan subject to the Proclamation shall not exceed 15%.

Additional provisions

The Proclamation includes measures to address undervaluation of wood-product imports, allowing for specific, compound or mixed tariffs if necessary.

Importers should be aware that provisions from previous proclamations and Executive Orders that are inconsistent with the Proclamation are "superseded to the extent of such inconsistency."

Actions for businesses to consider

Companies importing wood products should assess how the new tariffs will impact their cost structures and pricing strategies.

Businesses should also stay informed about ongoing trade negotiations and agreements that may affect their operations and market access.

Further, companies should consult with legal and trade advisors to navigate the implications of the Proclamation and ensure compliance with any new regulations.

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Contact Information

For additional information concerning this Alert, please contact:

Ernst & Young LLP (United States), Global Trade

Published by NTD’s Tax Technical Knowledge Services group; Carolyn Wright, legal editor

Document ID: 2025-1963