North Carolina, October 15, 2025
New tariffs on imported lumber and wood products have stirred concerns within construction sectors across North Carolina. Experts are cautious about assessing the potential local impacts, as the increase in material costs may pose challenges for ongoing and future building projects. The construction community is particularly worried about how these rising costs could ultimately affect home prices statewide, emphasizing the urgency for clarity as the situation evolves.
Raleigh, North Carolina – New tariffs on imported lumber and wood products have been implemented, raising concerns across the construction sector. Effective October 14, a 10% tariff has been imposed on all timber and lumber imports, with an additional 25% tariff on kitchen cabinets and furniture. These tariffs are expected to increase construction and renovation costs nationwide.
The National Association of Home Builders (NAHB) projects that these tariffs will raise the cost of building a single-family home in the U.S. by $7,500 to $10,000. This increase is likely to be passed down to homebuyers, potentially affecting demand in the housing market.
In North Carolina, industry experts note that it’s too early to gauge the local impact of these tariffs. The Home Builders Association of Raleigh-Wake County Executive Vice President and CEO stated that while the tariffs will have an impact, it may not be immediate. He emphasized that these changes take time to work through the system.
The tariffs are part of a broader strategy to protect the U.S. wood industry, which has been facing challenges due to increased imports. Canada, the largest supplier of softwood lumber to the U.S., along with Vietnam and Mexico—key furniture exporters—are expected to be most affected. Canada has already earmarked $870 million in aid for its softwood lumber sector.
Despite these measures, the U.S. lumber industry has been operating at just 64% of its potential capacity, a figure that has been declining since 2017. This suggests that it may take years for domestic production to meet the needs of the housing market.
In summary, while the new tariffs aim to bolster domestic lumber production, they are expected to lead to higher construction costs and potential delays in building projects. The full impact on the North Carolina construction industry remains to be seen as these changes are implemented.
Frequently Asked Questions (FAQ)
What are the new tariffs on imported lumber and wood products?
The U.S. Commerce Department has imposed a 10% tariff on all timber and lumber imports, and a 25% tariff on kitchen cabinets and furniture, effective October 14. These tariffs are expected to increase construction and renovation costs nationwide.
How will these tariffs affect the cost of building a home?
The National Association of Home Builders (NAHB) projects that these tariffs will raise the cost of building a single-family home in the U.S. by $7,500 to $10,000. This increase is likely to be passed down to homebuyers, potentially affecting demand in the housing market.
What is the expected impact of these tariffs in North Carolina?
Industry experts in North Carolina note that it’s too early to gauge the local impact of these tariffs. The Home Builders Association of Raleigh-Wake County Executive Vice President and CEO stated that while the tariffs will have an impact, it may not be immediate. These changes take time to work through the system.
Which countries are most affected by these tariffs?
Canada, the largest supplier of softwood lumber to the U.S., along with Vietnam and Mexico—key furniture exporters—are expected to be most affected. Canada has already earmarked $870 million in aid for its softwood lumber sector.
How is the U.S. lumber industry performing?
The U.S. lumber industry has been operating at just 64% of its potential capacity, a figure that has been declining since 2017. This suggests that it may take years for domestic production to meet the needs of the housing market.
Key Features of the New Tariffs
| Feature | Details |
|---|---|
| Tariff on Timber and Lumber Imports | 10% effective October 14, 2025 |
| Tariff on Kitchen Cabinets and Furniture | 25% effective October 14, 2025; set to rise to 30% on January 1, 2026, and 50% on the same date for kitchen cabinets |
| Projected Increase in Home Construction Costs | $7,500 to $10,000 per single-family home |
| Impact on U.S. Lumber Industry Capacity | Operating at 64% of potential capacity, declining since 2017 |
| Primary Affected Countries | Canada, Vietnam, Mexico |
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Author: Construction NC News
NORTH CAROLINA STAFF WRITER The NORTH CAROLINA STAFF WRITER represents the experienced team at constructionncnews.com, your go-to source for actionable local news and information in North Carolina and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the North Carolina Build Expo, major infrastructure projects, and advancements in construction technology showcases. Our coverage extends to key organizations like the Associated Builders and Contractors of the Carolinas and the North Carolina Home Builders Association, plus leading businesses in construction and legal services that power the local economy such as CMiC Global and Womble Bond Dickinson LLP. As part of the broader network, including constructioncanews.com, constructionnynews.com, and constructiontxnews.com, we provide comprehensive, credible insights into the dynamic construction landscape across multiple states.
