March 06, 2025

DHA eNews – Wood Products Industry Declared Critical To National Security

DHA Insights: March 6, 2025

Tariffs and trade policy continue to be in the spotlight. Wood products have jumped to the forefront after the administration issued an executive order declaring that the wood products industry is critical to national security. The executive order goes beyond lumber to include imports of cabinets and furniture. DHA will look for opportunities that could benefit our members. 

On March 4, President Trump levied tariffs on Canada, Mexico, and China, citing insufficient progress on agreed-upon actions. Tariffs on Canada and Mexico have now been delayed until April 2. DHA has already sent a letter to the administration to request that decorative hardwoods be excluded from the tariffs on Canadian imports.

DHA resources and publications, including our veneer guides and standards, have long been known as the definitive sources of information on hardwood plywood, veneer, and engineered wood flooring. We are proud that Woodworking Network has asked to republish some of our resources on veneer. We appreciate this opportunity to get quality information out to users of decorative hardwoods. 

In this year of great change, it's more important than ever to join DHA at our annual meeting in May. Tariffs and trade, public policy, and the economy will be key topics when we meet in San Antonio. Save with early bird registration: sign up today. 

If you have questions or comments, contact me. I look forward to hearing from you.

Keith A. Christman, President
Keith A. Christman, President

Wood Products Industry Declared Critical To National Security

As a result of a new executive order declaring that wood products are critical to U.S. national security, the Department of Commerce will investigate imports of timber, lumber, and wood products like kitchen cabinets and furniture to determine the effect on national security. The Department of Commerce's report, including recommendations to mitigate threats and strengthen the industry, is due by November 26.

New Tariffs On Canada & Mexico Delayed

On March 4, the Trump administration imposed 25% tariffs on imports from Canada and Mexico and doubled the universal tariff on imports from China to 20%. In response, Canada implemented tariffs on U.S. products and China banned U.S. logs. On March 6, the U.S. tariffs on Canada and Mexico were delayed until April 2. President Trump has stated that illicit drugs like fentanyl are being smuggled into the U.S. at unacceptable levels and that tariffs would force other countries to crack down on drug trafficking. 

Woodworking Network & Red Book Republish DHA Resources

Woodworking Network requested permission to republish information from DHA resources on veneer. We welcome the opportunity to get more education and resources in the hands of end users. DHA resources will be published on the Woodworking Network website and in the 2025 Red Book, which features best practices.

DHA Requests Administration's Help With EUDR

60 industry organizations, including DHA, have urged the Trump administration to collaborate with Europe to resolve issues with the EU Deforestation Regulation (EUDR). Beginning this December, the EUDR will restrict U.S. exports of forest products to Europe. The goal of the EUDR is to prevent products linked to deforestation from being sold in the EU. However, its stringent, unprecedented requirements are unworkable, arguably unnecessary for forest products from the U.S., and put the U.S. forest products industry at a disadvantage.

Executive Order Increases Timber Harvest

An executive order was issued to increase the harvest of timber on federal lands, citing the importance of timber to the U.S. economy and the need for forest management to reduce the risk of forest fires. The Secretaries of the Interior and Agriculture will publish updated guidance on increasing timber production, improving forest management, and reducing the time to deliver timber by April 1. 

Lawmakers Move Toward Budget & Tax Deal

The U.S. House of Representatives narrowly approved its budget resolution. The next steps are negotiations with the Senate, which passed its version in February. The major difference between the two versions is that the House bill bundles key priorities into a single package that includes defense, border security, energy, and tax reform.

USTR Asks For Input On Non-Reciprocal Trade Arrangements

The Office of the U.S. Trade Representative has requested comments to help the agency identify unfair trade practices by other countries as it begins the process of investigating the harm caused by non-reciprocal trade arrangements. Non-reciprocal trade includes barriers and policies—other than tariffs—such as unsustainable and illegal logging. The deadline for submitting comments is March 11.

PHOTO © USCBP

U.S. Imports Of Hardwood Plywood Grow By 13%

In 2024, the value of U.S. hardwood plywood imports rose by 13% as volume grew by 3%. Most imports came from Indonesia, whose volume was up by 21% and value by 19%. The next largest source was Vietnam, whose volume increased by nearly 50% and value by 34%.

U.S. Reviews 2024 Canadian Softwood Lumber Duties

The Department of Commerce launched its seventh administrative review of antidumping and countervailing duties on Canadian softwood lumber. This review will be used to determine if the current duty structure is appropriate. Expect final results by January 31, 2026.

93% Of Homeowners Plan Improvements In 2025

Angi’s 2024 State of Home Spending Report revealed that 93% of all homeowners are planning home improvement projects this year, even though total spending on home projects fell by 12% last year. As interest rates remain high and housing inventory scarce, 67% of homeowners said that they would rather renovate their current homes than move.

Franklin International Celebrates 90 Years

DHA member Franklin International is celebrating its 90th anniversary this year. The company has grown from a small local business into one of the country's largest privately held manufacturers of adhesives and polymers. Franklin International operates four manufacturing sites and distributes its products in more than 60 countries.

Do You Need Formaldehyde Emissions Certification?

If you are a cabinet, furniture, flooring, or architectural woodwork manufacturer that attaches wood veneer to plywood, particleboard, or MDF, you may need formaldehyde emissions certification. The experts at Capital Testing can help with CARB, CANFER, and TSCA Title VI formaldehyde emissions requirements. The lab offers a "Trust but Verify" formaldehyde test program for those who manufacture or sell finished goods, too.

Contact Josh Hosen to schedule a free consultation or see the Capital Testing website for more details.

Schultz Named Chief Of U.S. Forest Service

Tom Schultz will serve as the 21st chief of the U.S. Forest Service. "Working with our partners, we will actively manage national forests and grasslands, increase opportunities for outdoor recreation, and suppress wildfires with all available resources emphasizing safety and the importance of protecting resource values," said the incoming chief.

PHOTO © USFS

More Than 12 Wildfire Bills Have Been Introduced

In the past month, more than a dozen wildfire bills have been introduced in Congress. Some have languished for years in committees. Others have passed in one chamber but were not voted on in the other. Others are new laws that many in the industry have been working toward for decades.

U.S. Growth Slows
Core Inflation Measure Is 2.6%, As Expected
Mortgage Rates Ease Slightly Amid Economic Uncertainty
New Home Sales Slow
Lack Of Affordability Drives Interest In Smaller Homes
But, Single-Family Home Size Ticks Up
Mortgage Payments Consume 38% Of Most Families' Income
Expect The Multifamily Market To Stabilize Later This Year
The Remodeling Market Is Poised For Growth In 2025
Home Builders Tell Lawmakers How Permitting Roadblocks Raise Housing Costs
Wood Trivia: Test Your Knowledge

What is the most dangerous invasive species decimating hardwoods across North America today and how many hardwoods has it killed?

PHOTO © MICHAEL HUNTER

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