by Letters to customers indicate that companies have done what they can to avoid increases and surcharges until now
HIGH POINT — More tariff-related price increases and surcharges are coming, according to communications to dealers various industry sources have shared with Home News Now.
The letters indicate that these resources have already borne some of the costs associated with tariffs, dating back to earlier this spring. However, for these companies and others, the increases appear to be unavoidable.
For example, Accent Decor said it is implementing a 5% tariff surcharge on new orders beginning June 9. The increase, the company noted, will not apply to orders placed before that date.
“Our team has spent the past several weeks doing everything we can to avoid the adjustment — negotiating with partners, reviewing our supply chain and identifying opportunities to offset rising costs,” wrote Sarah Bagle, president and chief creative officer. “With global tariffs as they stand today, this step has become necessary to maintain the quality and service you expect from Accent Decor. Please know this is not a decision we’ve made lightly. And we are hoping it is not permanent.”
She added that the company is “committed to revisiting and removing the surcharge if and when tariff policies are reversed. Until then, we’ll continue working every day to keep costs as low as possible — because we know how much every decision matters in a small business.”
Lilola Home, an e-commerce resource specializing in home furnishings, also said that effective no later than July 1, it will be adjusting prices on all items in the Lilola Home assortment, with the increase ranging between 5% and 10% depending on the item. Orders received after midnight PST on July 1 will bear the new pricing.
“Over the past several months, we have worked diligently to absorb rising costs and have implemented various cost reduction initiatives across our operations to minimize the impact on our customers,” said CEO John Chen. “However, due to continued and sustained increases in tariffs, container shipping costs, labor costs, inland trucking and materials costs related to warehousing and distribution, we have no alternative but to implement a price increase.”
He added that certain older items have seen cost increases because of manufacturing shifts from China to Vietnam or Malaysia, “further impacting pricing.”
“We greatly appreciate your understanding and your continued trust in us,” he concluded.
Motion upholstery manufacturer HomeStretch said that it will continue to sell at current prices for all new orders received and acknowledged through the end of the day June 27. Past that point, the company noted that its selling prices will increase by an average of 4%, with some items being less than 4% and some being more, as “we have worked to maintain key price points wherever possible.”
It also noted that those orders must ship by Aug. 1 to be invoiced at the current price levels.
The company attributed the increase to several factors including tariffs of 10% on all materials and components shipped from Vietnam such as mechanisms, cut-and-sewn kits and motors, to name a few. In addition, it said it purchases raw materials from local suppliers that import from China which are paying a minimum of 25% to U.S. Customs for those goods.
“We continue to negotiate with our suppliers from Vietnam and our local suppliers to reduce these tariff cost impacts as much as possible,” said Skipper Holliman, president, adding that the industry also has begun to bear a peak season surcharge of $2,000 per container implemented on June 1.
“There is a lot of discussion that container costs will continue to rise in the weeks and months ahead,” he noted.
Complicating matters is a case in the U.S. Court of International Trade that says the president overstepped his authority in imposing unlimited tariffs on most major countries in the world earlier this year. The case has been appealed in the U.S. Court of Appeals for the Federal Circuit.
“Obviously, this whole situation remains very fluid,” Holliman said. “As we write this letter, we are monitoring a court decision that has just come out stating that some of the tariffs applied by the Trump administration are against the law. Only time will tell how this plays out in the courts and impacts the whole tariff situation.”
“Finally the 90-day pause on reciprocal tariffs is set to expire on July 9,” he added. “Based on that deadline, everything could change again on July 9. We will simply have to monitor all these pending changes and update you once we have firm information on which to make future pricing decisions.
“We understand the overall retail selling environment remains challenging so we are motivated to give you the very best pricing that we possibly can in order to maintain our business together.”
