Trump threatens heavy furniture tariffs in coming months

• Further levies risk accelerating the inflation that's taking hold.

What they're saying: Trump posted about the tariff investigation on Truth Social Friday afternoon.

• "Within the next 50 days, that Investigation will be completed, and Furniture coming from other Countries into the United States will be Tariffed at a Rate yet to be determined," Trump wrote.
• "This will bring the Furniture Business back to North Carolina, South Carolina, Michigan and States all across the Union."

Between the lines: In the first half of 2025, the U.S. imported more than $20 billion worth of consumer furniture, per Census Bureau data.

• It's one of the largest category of consumer goods imports, at roughly the same level as toys, appliances and cotton apparel.
• Leading exporters to the U.S. include Vietnam and China, as well as Canada and Mexico.
• The rise in imports offset the steady decline of the domestic industry. A 2020 Richmond Fed paper, for example, noted that North Carolina lost half its furniture-making jobs in a decade after the lowering of trade barriers with China.

By the numbers: Shares in some furniture retailers plunged in after-hours trading Friday after Trump's post.

• Among the biggest decliners, Wayfair fell almost 8%, while RH and Williams-Sonoma both fell almost 7%.
• But brands that still have significant U.S. operations rallied, with Ethan Allen up 7% and La-Z-Boy up 1.6%.

Editor's note: This story has been updated with additional market reactions.