On Thursday evening, 2025‑09‑25, President Donald Trump announced new import tariffs that will take effect on October 1. The tariffs impose a 50% duty on kitchen cabinets and bathroom vanities and a 30% duty on upholstered furniture, targeting a broad range of imported home‑goods products.
Restoration Hardware has already begun shifting its supply chain, with 52% of its upholstered furniture slated to be manufactured domestically by the end of fiscal 2025. While the new tariffs will raise the cost of imported items, the company’s domestic manufacturing footprint may help mitigate some of the cost impact, though it will still face higher landed costs for the remaining imported inventory.
The tariff announcement represents a material regulatory change for RH, potentially tightening gross‑margin pressure and prompting adjustments in sourcing, pricing, or product mix. The company’s high‑end positioning and focus on domestic production will be key factors in how it navigates the increased tariff burden in the coming months.
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