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A series of recently announced American import duties targeting imported cabinet units, bathroom vanities, timber, and certain furnished seating have come into force.

Under a presidential directive authorized by Chief Executive Donald Trump last month, a ten percent import tax on soft timber imports came into play on Tuesday.

Import Duty Percentages and Future Increases

A twenty-five percent tariff will also apply on imported cabinet units and bathroom vanities – rising to 50% on 1 January – while a 25% import tax on upholstered wooden furniture will increase to 30%, unless updated trade deals are reached.

Donald Trump has pointed to the need to protect American producers and defense interests for the decision, but various industry players fear the taxes could raise residential prices and make customers delay house remodeling.

Defining Customs Duties

Import taxes are charges on overseas merchandise usually imposed as a percentage of a item's price and are submitted to the US government by companies bringing in the products.

These firms may shift part or the whole of the extra cost on to their buyers, which in this instance means typical American consumers and other US businesses.

Previous Duty Approaches

The chief executive's duty approaches have been a central element of his latest term in the presidency.

Trump has previously imposed targeted taxes on steel, metallic element, light metal, cars, and vehicle components.

Impact on Northern Neighbor

The extra international 10% tariffs on wood materials means the material from Canada – the second largest producer globally and a significant domestic source – is now tariffed at more than 45%.

There is currently a aggregate 35.16% US offsetting and trade remedy levies placed on nearly all Canada-based manufacturers as part of a long-running conflict over the commodity between the both nations.

Trade Deals and Exclusions

As part of active trade deals with the United States, duties on timber goods from the UK will not exceed ten percent, while those from the European community and Japan will not exceed 15%.

White House Justification

The presidential administration states Donald Trump's duties have been put in place "to defend from threats" to the United States' national security and to "bolster industrial production".

Business Apprehensions

But the Residential Construction Group said in a statement in the end of September that the recent duties could escalate homebuilding expenses.

"These new tariffs will produce further obstacles for an currently struggling residential sector by even more elevating development and upgrade charges," stated leader the group's leader.

Merchant Outlook

As per Telsey Advisory Group senior executive and senior retail analyst the expert, stores will have little option but to increase costs on overseas items.

During an interview with a news outlet recently, she said sellers would seek not to raise prices too much prior to the festive period, but "they are unable to accommodate thirty percent tariffs on alongside existing duties that are presently enforced".

"They will need to shift costs, probably in the form of a significant price increase," she added.

Ikea Reaction

Recently Scandinavian retail major Ikea commented the duties on overseas home goods cause operating "harder".

"The tariffs are affecting our company similarly to additional firms, and we are carefully watching the changing scenario," the company remarked.