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Report from
North America
Imports of sawn tropical hardwood soar to a 21-month
high
US imports of sawn tropical hardwood jumped 33% in
May to their highest level since August 2023. Import
volume reached 19,250 cubic meters, which was 42%
higher than May of last year. Imports from Brazil and
Malaysia both more than doubled while imports from
Congo (Brazzaville) rose by 55%.
Imports from Ecuador, Cameroon, Peru and Ghana all fell
by about one third. Imports of Mahogany, Sapelli,
Keruing, Ipe and Iroko all rose sharply. With the surge,
2025 total imports now lead last year’s pace for the first
time this year, up 2% from 2024 through the first five
months of the year.
Canadian imports of sawn tropical hardwood continue to
bounce back, rising for a second consecutive month in
May. Despite the 17% gain from the previous month,
imports were down 2% from the May 2024 level. Total
imports are up 9% over last year through May.
Hardwood plywood imports rebound
US imports of hardwood plywood rebounded sharply in
May, surging 43% over the previous month as fears of
tariffs eased.
At 324,182 cubic metres, May imports were 34% higher
than in May 2024. For the year so far, imports of
hardwood plywood are up 17% over 2024 with imports
from Indonesia up 65% and imports from Vietnam ahead
by 27%.
Veneer imports steady
After climbing more than 50% in April, US imports of
tropical hardwood veneer stayed fairly level in May,
falling 4% from the previous month. At just over US$3
million, imports for May were 6% lower than in May
2024.
While imports from most top trading partners showed
solid increases and imports from Cote d’Ivoire more than
tripled, a steep decline in imports from Italy more than
offset those gains. While remaining erratic from month to
month, year-to-date imports from Italy are up 240% over
last year. Total US imports of tropical hardwood veneer
are up 6% compared with 2024 over the first five months
of the year.
Moulding imports stay strong
US imports of hardwood moulding rose 12% in May,
reaching their highest level in nearly three years. At
US$16.7 million, the May total outpaced the previous May
by 20% as imports from top-supplier Canada rebounded
from April’s decline. However, imports from other top
trading nations, Malaysia, China and Brazil all retreated in
May. Year to date, total US imports of hardwood
moulding are up 26% this year over 2024.
Imports of assembled flooring panels fall to 20-month
low
US imports of assembled flooring panels fell 29% in May,
continuing their retreat from the all-time high set in
March. At US$22.4 million, May imports were at their
lowest since September 2023 and were 18% below the
May 2024 total.
Imports fell by more than 60% from Brazil and Thailand
while imports from top-supplier Canada fell a more
modest 3%. Despite the weak month, total imports for the
year are up 23% through May versus 2024 due in most
part to the blockbuster March total.
Comparatively, US imports of hardwood flooring held
stable, rising 1% in May. However, May is usually a
strong month for flooring imports, so the slight 1% gain
left the May total at 32% lower than what was reached in
May 2024.
Imports from nearly all top trading partners fell by more
than 10% from the previous month, hinting at further
weakness. Year to date, total imports of hardwood flooring
are down 11% versus last year through May.
Wooden furniture imports drop by 6%
US imports of wooden furniture fell 6% in May to their
lowest level in more than a year. At US$1.6 billion,
imports for the month were down 11% from the previous
May.
Imports from China and Indonesia both slid more than
30% while imports from Malaysia fell by 19%. A rise of
5% in imports from Canada eased overall losses. Despite
the setback, total imports of wooden furniture remain
ahead of last year, up 1% through the first five months of
the year.
Furniture industry faces headwinds
Contract and residential furniture manufactures
experienced an overall drop in sales in 2024, according to
a recently released annual report. The “FDMC 300”
reported that combined 2024 sales for the 98 FDMC 300
companies in the contract and residential manufacturing
segment were roughly US$32.8 billion, ($17.2 billion
commercial and $15.6 billion residential) compared with
US$34.5 billion in 2023.
The FDMC 300 is an annual report published in April that
tracks North America’s largest wood products
manufacturers and ranks them by sales.
According to the report, the residential furniture sector
was hit by the slowdown in the housing market, elevated
interest rates, and inflation, all of which have led to
consumers spending less.
Meanwhile, the contract furniture industry continues to
grapple with economic uncertainty and evolving
workspace models, although the increasing trend of
employees returning to the office either full-time or part-
time may alleviate some of these negative impacts in the
future. Ongoing supply chain issues have also had an
impact on the overall industry, particularly the large
manufacturers in the FDMC 300.
More currently, April saw declines in new furniture
orders, shipments, backlogs and receivables, according to
the June issue of Furniture Insights. New orders were
down 9% in April 2025 compared to April 2024.
New orders were also down 7% compared to the prior
month of March 2025.
Accordingly, year to date through April 2025, new orders
are now down 4% compared to 2024. Shipments were
down 2% in April 2025 compared to April 2024.
Shipments were also down 4% compared to the prior
month of March 2025.
However, year to date through April 2025, shipments
remain flat compared to 2024. April 2025 backlogs were
down 10% compared to April 2024, and down 2% from
March 2025. Receivable levels were down 4% from
March 2025, and down 1% from April 2024.
Inventories and employee/payroll levels are again
materially in line with recent months and the prior year,
however, with the gradual decline in employees, it does
appear companies are allowing some normal attrition to
occur without rushing to find replacements.
US announces tariff deal with Vietnam
The United States will place a lower-than-promised 20%
tariff on many Vietnamese exports, President Donald
Trump said July 2, cooling tensions with its tenth-biggest
trading partner days before the US president could raise
levies on most imports.
Vietnamese goods would face a 20% tariff and trans-
shipments from third countries through Vietnam will face
a 40% levy, he said. Vietnam could import U.S. products
with a zero percent tariff, he added.
Trump's announcement came just days before a July 9
deadline to ramp up tariffs on most imports, one of the
Republican's signature economic policies. Under that plan,
announced in April, US importers of Vietnamese goods
would have had to pay a 46% tariff.
Details were scant. It was not clear which products
Trump's 20% tariff would apply to, or whether some
would qualify for lower or higher total duties.
Also left to later discussion was how the new trans-
shipment provision, aimed at products largely made in
China and then labeled "Made in Vietnam," would be
implemented and enforced. The Vietnamese government
did not confirm the specific tariff levels in a statement
celebrating what it described as an agreement on a joint
statement about a trade framework.
Vietnam would commit to "providing preferential market
access for U.S. goods, including large-engine cars," the
government in Hanoi said. The US is Vietnam's largest
export market and the two countries' growing economic,
diplomatic and military ties are a hedge against
Washington's biggest strategic rival, China. Vietnam has
worked to retain close relations with both superpowers.
Mann, Armistead & Epperson, in its Second Quarter 2024
Furnishings Digest newsletter, reported that Vietnam was
the world’s largest exporter of wood furniture to the
United States, and the second largest exporter of overall
furniture, including wood furniture, upholstery, metal
furniture and bedding to the US last year.
See:
https://www.woodworkingnetwork.com/news/woodworking-
industry-news/trump-announces-tariff-deal-vietnam
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