U.S. furniture stocks fell sharply in premarket trading after President Donald Trump announced a “major” tariff investigation into the furniture industry. The president shared the news on Truth Social Friday evening.
Trump said the investigation will be completed within 50 days and that furniture imports from other countries will face tariffs at rates yet to be determined. He added that the move aims to bring furniture manufacturing back to states like North Carolina, South Carolina, and Michigan.
Much of today’s U.S. furniture comes from overseas, mainly Southeast Asia. The U.S. imported $25.5 billion worth of furniture in 2024, up 7% from 2023, with most shipments from Vietnam and China.
Furniture manufacturing in the U.S. has declined over decades. In 1970, the industry employed 1.2 million people. By the peak of the Dot-Com bubble, employment had fallen to 681,000, and today it stands at about 340,000.
In premarket trading, stocks of companies heavily reliant on imports fell: RH (Restoration Hardware) -8%, Wayfair -6%, Arhaus -4%, and Williams-Sonoma -4%. U.S.-based manufacturers such as La-Z-Boy and Ethan Allen saw gains.
