November 21, 2024

EU Votes To Delay EUDR

This Week's Insights

American voters gave Republicans a full sweep of the Presidency, the Senate, and the House of Representatives, albeit with narrow margins. This has important implications for policy in 2025. If Republicans can keep members united, they should be able to enact important tax changes including extending most of the provisions of the 2017 Tax Cuts and Jobs Act. In addition, expect the Trump administration and Congress to roll back onerous regulations and implement higher tariffs that are intended to help U.S. manufacturing.

We received great news from Europe last week when the European Parliament voted to delay EUDR by one year. The American Hardwood Export Council has been all over these regulations, highlighting the very low to no risk of deforestation in the U.S. and infeasible geolocation requirements. It looks like Europe is finally starting to understand and make needed changes.

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


Keith A. Christman, President
Decorative Hardwoods Association

EU Votes To Delay EUDR

Last week, the European Parliament voted in support of the European Commission's proposal of a one-year delay of the EU Deforestation Regulation (EUDR) by a large majority. Now that all three EU institutions have endorsed the delay, we expect that the law will begin to apply on December 30, 2025. In addition, a "no-risk" category was added to the legislation that could eliminate the geolocation requirement for the U.S. if certain requirements are met.

Hardwood Federation Candidates Win In A Landslide

Hardwood Federation Political Action Committee (PAC)-supported candidates, all proven industry supporters or key committee leaders, prevailed in the vast majority of their House and Senate races. 86 of 94 PAC-supported candidates have won their races so far. This includes 76 out of 84 House members and 10 out of 10 candidates for the Senate. Hardwood Federation PAC candidates represent 32 states across the country.

Surface & Panel Highlights New Hardwood Plywood Standard

Surface & Panel Magazine's fourth quarter issue includes our column on the revised 2024 hardwood plywood standard that summarizes key changes. This standard is an important part of our work, as it helps buyers and manufacturers communicate and specify natural hardwood plywood and its timeless beauty.

PHOTO © SURFACE & PANEL

CARB Proposes Formaldehyde Rule Changes

The California Air Resources Board (CARB) has announced a public meeting to discuss upcoming revisions to formaldehyde regulations. Changes include adding clarifying language to modify the equivalence testing ranges to match those of the EPA, removing the bar code option for providing compliance information on a finished good, and removing the bill of lading option for providing a statement of compliance. DHA experts will participate in the meeting.

PHOTO © CAPITAL TESTING

Federal Judge Strikes Down Overtime Rule

On November 15, a federal judge in Texas struck down the Department of Labor's latest attempt to raise the minimum salary thresholds for the Fair Labor Standards Act's white-collar overtime exemption, finding that the rule exceeded the agency's authority. The change would have affected nearly five million workers.

Commerce Issues Final Ruling On Cabinet Duties

On November 12, the Department of Commerce issued the final results of the third annual administrative review of the antidumping and countervailing duties on wooden cabinets, vanities, and components from China. Kitchen Cabinet Manufacturers Association declared their support of the subsidies applied but not of the zero antidumping duties calculated for 23 Chinese companies. 301 tariffs still apply, which add another 25% to the total duties.

Port Negotiations Hit Rough Waters

East Coast and Gulf Coast dockworkers and port operators continued negotiations in an attempt to reach a new contract before the extension expires on January 15. The parties, represented by the International Longshoremen’s Association and U.S. Maritime Alliance, are working to prevent a strike at the ports. ILA walked away from negotiations due to disagreements over automation. USMX expressed optimism that negotiations would resume.

8 Flooring Trends Will Dominate In 2025, Says Martha Stewart Living

There are eight flooring trends that will dominate in 2025, according to Martha Stewart Living. The leading trend is biophilic design—connecting to nature, or bringing the outdoors inside—which is the result of a shift towards a more eco-friendly outlook. Along the same lines, expect more consumers to choose natural alternatives over artificial flooring. "We're seeing a big desire for real and natural materials, like wood, and we expect this to continue into 2025 and beyond," said Steven Skutelsky of PID Floors.

PHOTO © MULLICAN FLOORING

Enter The 2025 KCMA Design Awards

The Kitchen Cabinet Manufacturers Association invites kitchen and bath designers to submit their best kitchen design projects that feature KCMA members' cabinets. The KCMA Design Awards recognize outstanding kitchen designs by professionals in North America. 

Decorative Wood Products Featured At Boutique Design New York

Boutique Design New York 2024 highlighted trends in the hospitality design industry. About 750 exhibitors and 13,000 designers and industry professionals from across the globe participated in the show. Wood-based furniture companies reported growing demand for eco-friendly materials that emphasize natural materials and noted that designers are using reclaimed wood for accent walls, trim, and furnishings and engineered hardwood floors to complement both modern and rustic spaces.

Western NC Lost 822,000 Acres Of Forest In Helene

The North Carolina Forest Service reported that Hurricane Helene caused more than $213 million of damage to western North Carolina forests across more than 800,000 acres and in 17 counties. Hardwoods like oak, maple, birch, and poplar suffered more damage than conifers.

USDA Invests $265M To Conserve Forests

The USDA Forest Service has committed more than $265 million to conserve nearly 335,000 acres of important forestlands across 17 states. This investment is part of the Forest Legacy Program, designed to protect working forests that contribute to rural economies. Agriculture Secretary Tom Vilsack emphasized that these forests provide clean water, habitats, recreation, and jobs, but face threats from development.

U.S. Proposes More Logging To Prevent Wildfires

A U.S. Forest Service proposal would allow more logging on federal lands across the Pacific Northwest to help fight wildfires and boost rural economies. The proposal would change the Northwest Forest Plan, the forest management plan for about 38,000 square miles of forest in Oregon, Washington, and California.

See NAHB's Post-Election Economic Outlook
Fed Cuts Rates Amid Uncertain Economic Outlook
Building Material Prices Increase, Prices Of Other Inputs Fall
Expect U.S. Housing Starts To Reach 1.5 Million In 2025
Housing Costs Continue To Drive Inflation
Mortgage Activity Declines As Mortgage Rates Increase
Wood Trivia: Test Your Knowledge

What surprising piece of equipment are NASA and the U.S. Forest Service using to help firefighters communicate, and how will it help?

Answer: High-altitude balloons will provide cell service to firefighters who are battling fires in remote areas.

PHOTO © AUSTIN BUTTLAR

Latest eNews