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Indian wood and furniture exporters to gain competitive edge in US after Trump’s 10% global tariff: GTRI

Indian exporters of wood products and furniture are set to gain a big edge in the US market, thanks to sharp cuts in tariffs announced by President Donald Trump. The policy think tank GTRI says these duties will drop from 50% to as low as 10-25%, making Indian goods much more affordable for American buyers.

Ajay Srivastava, founder of GTRI, calls this a huge win for India. “It’s a major relief,” he noted, pointing out that lower US tariffs on furniture and cabinetry could position India as a go-to, cost-effective option. Experts predict this will ramp up Indian exports starting in fiscal year 2026.

Trump signed a Section 232 proclamation on September 29, 2025, targeting key imports like softwood lumber (HS code 4407), upholstered furniture (HS 9401), and kitchen cabinets and vanities (HS 9403). These national security-based tariffs take priority over country-specific rates—for instance, they overrode India’s previous 25% steel duties, pushing them to 50% after tensions over Russian oil purchases.

Now, the new rates for wood products and furniture exports from India range from 10% to 25%, a steep reduction from the current 50%. The UK gets a flat 10% cap, while the EU and Japan face up to 15% combined, thanks to their existing trade agreements.

This change hits home for India’s export scene. In fiscal year 2025, India shipped $654.8 million worth of these products to the US—mostly kitchen cabinets and vanities at $568.3 million, followed by upholstered furniture at $83.3 million, and a smaller slice of softwood lumber at $3.2 million.

Softwood lumber exports now face just 10% tariffs, down from 50%. Meanwhile, upholstered furniture and kitchen cabinets will see rates fall to 25%, boosting India’s competitiveness in the booming US furniture market. GTRI expects this to spark real growth in Indian wood products exports to the US.


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