by Furniture resources communicate changes with dealers as Trump administration policies continue to make imported product more expensive
HIGH POINT — As tariffs have been established in various Asian furniture-producing countries, several companies have alerted dealers to upcoming or recent price increases or tariff surcharges.
The increases are meant to cover the costs of these tariffs, which some resources have been absorbing prior to the early August finalization of rates in countries such as Vietnam, Indonesia, India and Malaysia, to name several.
Lexington Home Brands sent a letter to dealers last month, alerting them of a tariff surcharge that took effect Aug. 4 of 5% on upholstery products, 6% on Tommy Bahama Outdoor Living Products and 9% on case goods.
“As a global manufacturer, Lexington Home Brands has remained vigilant in monitoring ongoing developments in international trade policy,” National Sales Manager Jim Burke told dealers. “These include reciprocal tariff measures enacted by executive order on April 2, specific country agreements after the pause and other tariff actions implemented earlier this year.”
“Unlike many of our peers, Lexington opted not to implement any price changes immediately following the introduction of those tariffs,” he added, noting that the company wanted to gain further clarity on the scope and duration of these products before making any adjustments affecting its customers’ business and absorbed 100% of the added tariff costs. “Based on the latest guidance from the administration, it is now evident that tariff levels on countries where we manufacture our products will continue to range from 10% to 55% and potentially more.”
He added that while a number of specific collections will be exempt from the surcharge, further pricing actions including increases or decreases, could be necessary in the coming months based on trade developments. He also said that the company will provide as much notice as possible of any such developments or changes.
Universal Furniture recently announced it was implementing new surcharges on warehouse and container-direct shipments including an increase from 5% to 10% on all ready-to-ship case goods and imported upholstery (Warehouse, UMIX and Direct Container). The surcharge on domestic special-order upholstery made in North Carolina remained at 5% with no change.
Company President Sean O’Connor told customers that before this, the company had not implemented a price change in two years.
“During this time, we’ve absorbed significant cost pressures to maintain stability for our customers,” he said. “However, with the U.S. government’s newly imposed tariffs directly impacting our imported furniture and furniture components, we must now adjust our surcharge to reflect these substantial cost increases.”
He added that the company expects the surcharges to be reflected in updated merchandised pricing “as we gain a clearer understanding of the long-term cost impacts. These adjustments are subject to change as government actions and market conditions evolve. Throughout this process, we remain committed to open communication and will provide timely updates as new information becomes available.”
“This decision is not taken lightly,” O’Connor added. “Our focus remains on delivering exceptional service, reliable inventory and a seamless purchasing experience. We are deeply grateful for your continued partnership and understanding as we navigate these changes together.”
Christopher Guy said it will maintain an interim 10% tariff on new orders placed and acknowledged by the company through Sept. 30. However, starting Oct. 1, it will apply a 19% tariff to new orders.
“We will continue to monitor developments and share updates promptly should conditions change,” the company said, advising customers with any questions regarding timelines on current quotations to contact their local sales rep.
Case goods resource Oliver alerted dealers this past Friday that it is implementing an 8% surcharge for all orders received after Sept. 1.
“As you know, the U.S. government has placed a 20% tariff on imported goods from Vietnam, effective Aug. 7,” wrote Jim Craven, executive vice president, noting that since April the company has absorbed and not passed along a 10% tariff in effect since earlier this past spring. “However, since it has been raised to 20%, we can no longer absorb this burden.”
He added that as the company believes the tariffs remain fluid and can still change before year end, it decided to implement the 8% surcharge.
“Once we feel that the tariff charge is stable, we will have a price adjustment and get rid of the surcharge altogether,” Craven said. “We value your business and want to be as fair and transparent as we can in this new tariff environment.”
On Sept. 3, Theodore Alexander is implementing an across-the-board increase on case goods made in Vietnam and some upholstery frames also imported from Vietnam. This is separate from increases on imported fabrics that went into effect in mid-May.
“At least we know what the tariffs are now, so we have our pricing set,” Theodore Alexander President Ed Teplitz told Home News Now of the planned September price increase, adding that the company has not had a price increase in more than three years. “Nobody can absorb it.”
