Reciprocal Tariffs between Canada & the US - now what?!
Last Updated: March 4, 2025 - 11:00am EST
If you’ve opened your phone or turned on the radio or TV this morning, you’re likely already aware that as of today, March 4th, the US has imposed 25% tariffs on Canadian Goods entering the US. In response to this, Canada has returned 25% retaliatory tariffs that will be upheld for the foreseeable future until the US removes their initial tariffs. This move that many are anticipating will escalate into an existential trade war in North America is set to have drastic effects on almost all sectors, including our beloved Furniture & Decor industry.
What is a tariff?
A tariff is essentially an additional tax that a country places on imported(incoming) goods originating from a specific location to incentivize domestic production, or, use as leverage for trade agreements. With the price of imported goods then being, in this case, 25% higher, it drives demand for domestic and internal production which would then in turn bolster the economy of the country imposing said tariffs in the long run, and theory.
Above: Tranquil Moment II - Canadian-made
One critical piece of information is that these tariffs are dependent on the origin of the product, not where it ships from. For example, if a Canadian retailer sells a product that originates from the Netherlands to a customer in the USA, there would be no tariffs charged. Likewise, if a US retailer (or manufacturer) sells a product made in Indonesia to a Canadian customer, there would be no tariffs. Many of our light fixtures for example originate from Europe, and therefore would be tariff-free for both Canadian and US consumers.
These tariffs not only apply to the sale of finished products like furniture, lighting, decor, etc, but to the raw materials that they are made of as well. If a US manufacturer builds dining chairs out of wood imported from Canada, the manufacturer now faces a 25% increase in their material costs which then increases their wholesale price to retailers. Now, when retailers move to import and sell this product to Canadian consumers, the consumer indirectly incurs the initial 25% increase caused by the materials tariffs on the product cost, as well as the 25% additional tariffs on the final retail price. As you can see, this cyclical pattern that the Canada and USA have relied on via previous healthy trade agreements now becomes a serious issue.
Above: Pillows, Artwork, and Tablelamp, all Canadian-made!
So what can you do? Whether you’re Canadian or American, look for the origin of a product and if you’re unsure, just ask! We’re always here and willing to help, especially in this unfortunate and stressful situation! Many of the pieces you will find at Maison Blonde note their origin and we’re happy to say that the vast majority of our rugs, lighting, and artwork will be tariff-free for our fellow Canadian customers.
Above: The popular Rio Vintage Pendant Light (along with the majority of our light fixtures) originates from Europe and therefore does not incur tariffs for either Canadian or US customers!
For more details, we recommend referring directly to the Canadian and US government websites for the most reliable information. This is a fluid situation and unlike standard taxes, Tariffs can be imposed or withdrawn on a whim - we hope that this is over sooner than later because we truly believe that Canada and the USA are better together!
Shop our Canadian Collection!
Leave a comment
This site is protected by hCaptcha and the hCaptcha Privacy Policy and Terms of Service apply.