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2mo ago

Trump Orders Lumber Import Investigation, Paving Way for Potential Tariffs

The executive actions aim to boost domestic timber production and address national security concerns tied to foreign lumber imports.

Piles of lumber at a home improvement store in Falls Church, Va. Photo: SAUL LOEB/AFP via Getty Images
Workers sort logs in the Western Forest Products Inc. Ladysmith Log Sort in Ladysmith, British Columbia, Canada, on Tuesday, Feb. 18, 2025. Canada is the US's biggest foreign lumber supplier and has already been dealing with higher duties on its shipments that started last summer. Photographer: James MacDonald/Bloomberg via Getty Images
President Donald Trump walks before talking with reporters then boarding Marine One on the South Lawn of the White House in Washington, Friday, Feb. 28, 2025. (AP Photo/Ben Curtis)

Overview

  • President Trump signed executive orders directing the Commerce Department to investigate the impact of lumber imports on U.S. national security under Section 232 of the Trade Expansion Act of 1962.
  • The investigation will assess whether countries like Canada, Brazil, and Germany are engaging in predatory trade practices, including subsidized lumber exports and dumping goods into U.S. markets.
  • Trump has floated the possibility of a 25% tariff on lumber imports, which would be added to existing duties, raising concerns about higher construction and housing costs.
  • The orders also call for streamlining timber production on public lands by reducing regulatory barriers and expediting permits to increase domestic lumber supply.
  • Critics, including homebuilders, warn that additional tariffs could exacerbate housing affordability issues, as the U.S. remains reliant on imported lumber to meet demand.