There is a LOT of confusion on tariffs that are being imposed by the Trump Administration on Furniture and product that comes out of China. I know - I absolutely know - that people are going to be caught short on these in less than 60 days. So I thought I would put another post out on it here in the Lobby.

There is a current 3% Tariff right now.

That tariff goes to 25% on January 1st.

So, what does that mean to you as a consumer? Let me take an example (and I will break Hancock and Moore pricing policy for this example only)

One of the best sofas in the line is the # 5831-3 Ricki Sofa. In the Just in Time promotion this sofa is/was priced from my store in Juno Dove or Soft Blue (less delivery fees to you):

Pre-Tariff: $ 2,788
Current 3%: $ 2,872
Jan 1st 25%: $ 3,485

This pricing model assumes two things 1) This tariff will not be politically resolved in the next 60 days 2) There are not other price increases from the maker in addition to the tariff increases that can make it even more.

Not the crazy part of this example is Juno is actually an Italian leather, and is shipped from Italy to be cut and sewn in China prior to application to the USA-made frame and upholstery in Hickory NC therefore it is subject to the tariff.

So, if you are thinking about one of these items affected, you would be very wise to order it prior to December 21st. Do not wait until the end of December because all the furniture factories in North Carolina have their last day on Dec 23rd and will not return until January 3rd. They may or may not be pulling orders during that closed period time, why take the chance?

I have no idea how the furniture companies are going to handle this. Some will drop fabrics and leathers made in China, others like Hooker Furniture will probably move production to Vietnam, Malaysia or Mexico, but that takes time to build new factories and get workers. It's a real mess - so if you are on the fence about an item and think "I'll do it after the Holidays" you make get a nasty sticker shock on it first of the year.