The Hardwood Federation produces a “D.C. Cheat Sheet” newsletter to keep the industry up-to-date on the latest news from Washington D.C. Check out the August 7th edition below and sign up to receive your copy.
Trump Tariffs Hit U.S. Imports: At 12:01 Thursday morning, new tariffs were imposed on about 60 countries ranging in rates from 10 to 40 percent. Products from the European Union, Japan, and South Korea will be taxed at 15 percent, while imports from Taiwan, Vietnam, and Bangladesh will be taxed at 20 percent. A special tariff rate of 50 percent will be imposed on India in about three weeks as punishment for India’s procurement of oil from Russia. The U.S. and its trading partners are still in the process of finalizing details, and how tariffs will be implemented, what products will be exempted, and which products could be hit with higher tariffs are still unknown. Negotiations with China, Canada, and Mexico have not yet been completed and are ongoing. The Hardwood Federation is continuing to communicate with our contacts in the White House, Commerce, USTR, USDA, and Congress to gather any information relevant to the U.S. Hardwood industry.
China Policy Still Evolving: In a somewhat promising development, Commerce Secretary Howard Lutnick has made public statements that the current trade deal with China will be extended another 90 days. Part of the Hardwood Federation team’s message during meetings with Hill offices and the administration has been an emphasis on the need for certainty and for lasting trade deals that will not trigger retaliation on our products.
Courts Could Weigh In: Further complicating the situation, the U.S. Court of Appeals for the Federal Circuit in Washington, D.C., heard oral arguments on a pair of lawsuits challenging the legality of the tariffs imposed by the Trump Administration under IEEPA. A ruling is expected by mid-October. Even if the administration approach is struck down, there are other ways to impose the tariffs, although they may not allow for the sweeping nature of what has been attempted or make it easy to undo and progress the administration has made towards their goals. Regardless of the Circuit court decision, there will almost certainly be an appeal to the Supreme Court.
House and Senate Leave for August Recess: The traditional August recess is upon us in Washington, D.C. Although members of Congress have departed for their home states, work in our nation’s capital continues. The Hardwood Federation team continues to meet with administration and Congressional offices. This is also an opportunity for you to interact with your federal officials during their home state visits. Take any opportunity you can to communicate the state of your business, how policies and legislation are impacting your bottom line, and what your hopes and fears are for the coming months. Engagement is essential, particularly now when there are so many channels of communication and so many competing voices. Make sure your voice is being heard!
Source: Hardwood Federation