Todd Wanek, CEO of Ashley Furniture Inds. the largest furniture manufacturer and seller in the United States, has warned colleagues in the furniture industry not to react hastily to the recent announcement of widespread global tariffs by the US government. These measures threaten to have a major impact on global supply chains, but Wanek stressed that calm and patience are essential.
Todd Wanek, CEO of Ashley Furniture Inds.
The recent announcement of 10% tariffs on all US imports, combined with additional "reciprocal" tariffs of up to 49% on goods from several countries, has thrown the furniture industry into turmoil. The tariffs particularly affect countries that are currently the largest suppliers of furniture to the US, including Vietnam, Cambodia, Malaysia and Indonesia.
Vietnam, which exported over $9.4 billion worth of furniture to the US in 2024, is currently the largest exporter of furniture to the US. The 46% tariff on Vietnamese furniture, along with the 49% tariff on Cambodia, is therefore a major concern for the industry. Cambodia has been the fastest-growing source of US furniture imports over the past two years, and this could have a major impact on the industry.
Wanek, who besides being the largest domestic furniture producer also has global production facilities, including in Vietnam, has a broad perspective on the changing global sourcing environment. He acknowledged the concerns in the sector, but stressed that the furniture industry must remain calm. "A lot is happening at the moment, but we are confident that negotiations will take place this week. The most important thing for our industry is to stay calm and not change your strategy until we have more clarity," Wanek said.
Wanek's call comes after shares in the furniture industry were under pressure from the initial announcement of tariffs, as well as countermeasures from China, which announced a 34% tariff on all US imports to China.
With the uncertainty that now prevails, Wanek says it is important for companies not to act in haste, but to wait calmly and make well-informed decisions about the future.
Source: Furniture Today