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Several recently announced United States import duties targeting imported kitchen cabinets, vanities, timber, and certain upholstered furniture have come into force.

Under a executive order authorized by Chief Executive Donald Trump in the previous month, a ten percent tariff on soft timber foreign shipments came into play on Tuesday.

Import Duty Percentages and Future Increases

A 25% tariff will also apply on imported kitchen cabinets and vanities – escalating to 50% on January 1st – while a 25% import tax on upholstered wooden furniture is set to rise to 30%, unless fresh commercial pacts are reached.

Donald Trump has referenced the need to protect US manufacturers and defense interests for the decision, but various industry players worry the duties could increase home expenses and lead customers put off residential upgrades.

Defining Tariffs

Tariffs are levies on foreign products usually charged as a share of a item's value and are paid to the US government by businesses importing the goods.

These companies may transfer a portion or the entirety of the additional expense on to their buyers, which in this instance means everyday US citizens and further domestic companies.

Past Duty Approaches

The leader's import tax strategies have been a central element of his second term in the executive office.

The president has before implemented targeted taxes on metal, metallic element, light metal, automobiles, and vehicle components.

Effect on Canadian Producers

The extra global 10% tariffs on soft timber means the commodity from the northern neighbor – the major international source worldwide and a major US supplier – is now taxed at over forty-five percent.

There is already a aggregate thirty-five point sixteen percent US offsetting and anti-dumping duties applied on nearly all Canadian producers as part of a years-old dispute over the commodity between the both nations.

Bilateral Pacts and Exemptions

In accordance with current trade deals with the America, duties on wood products from the United Kingdom will not go beyond ten percent, while those from the EU bloc and Japan will not exceed 15%.

Administration Explanation

The White House says Donald Trump's import taxes have been enacted "to guard against threats" to the United States' national security and to "enhance industrial production".

Industry Apprehensions

But the Homebuilders Association said in a statement in last month that the new levies could raise residential construction prices.

"These fresh duties will generate additional headwinds for an already challenged housing market by additionally increasing development and upgrade charges," remarked head the group's leader.

Seller Outlook

According to an advisory firm managing director and retail expert Cristina Fernández, merchants will have no choice but to increase costs on foreign products.

Speaking to a news outlet recently, she stated retailers would try not to increase costs too much ahead of the festive period, but "they cannot withstand 30% taxes on in addition to existing duties that are already in place".

"They'll have to shift expenses, almost certainly in the form of a significant cost hike," she continued.

Ikea Reaction

Last month Swedish retail major the retailer stated the levies on furniture imports make doing business "harder".

"These duties are influencing our operations like other companies, and we are attentively observing the developing circumstances," the company said.