Furniture Manufacturers NAICS 3371, 3372

Jul 29, 2025 - Tariff Impacts Include Rising Costs, Shipping Delays

• Nearly two-thirds of furniture and home furnishings retailers fear that tariffs will disrupt business operations and are taking action to find ways to share tariff costs, according to new statistics revealed at a panel during the Las Vegas Market reported in Furniture Today. The panel also revealed that half of retailers don’t know what to tell customers about the tariff effects. Panelist Doug Cofiell, CEO of Ivystone Group, said vendors are raising prices or adding surcharges due to tariffs, which means new prices on already purchased merchandise that range from 5% to 15% higher. He added that seasonal vendors of Halloween and holiday merchandise are the hardest hit, estimating that only 70% of holiday orders will arrive on time. City Furniture owner Keith Koenig said he was able to negotiate with many factories overseas to share the financial burden of tariffs, with some partners absorbing nearly half of the costs.
• Furniture manufacturers may benefit from an expected 5% increase in dorm/apartment furnishings spending in 2025, reaching $12.8 billion, according to an annual back-to-college spending survey by the National Retail Federation and Prosper Insights and Analytics in Home Furnishings News. In addition to dorm or apartment furnishings, the other top back-to-campus spending categories were electronics, clothing and accessories, food, and personal care items. Total back-to-college spending is expected to reach $88.8 billion in 2025, up from $86.6 billion a year ago. While overall spending is on the rise, the per-person spending for back-to-college fell to an average of $1,325 from $1,364 in 2024, which can be attributed to higher-income households continuing to spend while lower-income households cut back across categories due to economic uncertainty. College-bound families are making budget-minded choices, such as buying used or refurbished items and using buy now or pay later services.

• The furniture and related products manufacturing industry is one of the nine manufacturing industries reporting growth in June’s Manufacturing ISM Report on Business. Furniture manufacturers reported increases in new orders and production, as well as decreased employment and higher prices for raw materials. Other manufacturing industries reported growth during the period Apparel, Leather & Allied Products; Petroleum & Coal Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; Computer & Electronic Products; Machinery; Food, Beverage & Tobacco Products; and Electrical Equipment, Appliances & Components. Six industries reporting contraction were Textile Mills; Wood Products; Paper Products; Chemical Products; Transportation Equipment; and Fabricated Metal Products. Overall, economic activity in the manufacturing sector contracted for the fourth consecutive month in June, with the Manufacturing PMI registering 49%.
• Sales for the US furniture manufacturers industry are projected to grow at a CAGR of 1.12% between 2025 and 2029, slower than the overall economy's projected growth, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The durable goods manufacturing sector forecast indicates that the labor force is expected to diminish, barring immigration reform that allows greater numbers. However, new technologies could support labor productivity for the industry. According to the forecast, investment in manufacturing facilities could stem from a range of factors, including the need to shorten supply chains after disruptions to domestic and foreign production and freight transportation during the pandemic. Consumer sentiment is expected to improve in the forecast period, which bodes well for the sector. A factor that may curb consumer spending is higher tariffs on consumer goods.