Maximum 100%! Trump's "Tariff Club" strikes furniture, heavy trucks, and pharmaceuticals

According to the Zhitong Finance APP, U.S. President Donald Trump announced on Thursday that starting October 1, the United States will impose high tariffs on a variety of imported products. Specifically, a 50% tariff will be levied on cabinets, bathroom vanities, and related products, a 30% tariff on imported furniture; a 25% tariff on imported heavy trucks; and a 100% tariff on patented and branded drugs.

In a post on Truth Social Thursday evening, Trump wrote, "Starting October 1, 2025, we will impose a 50% tariff on all cabinets, bathroom vanities, and related products. Additionally, we will impose a 30% tariff on upholstered furniture."

The various tariffs implemented by Trump have significantly increased furniture prices over the past year. Data from the U.S. Bureau of Labor Statistics shows that furniture prices rose by 4.7% last month compared to August 2024. Prices for living room and dining room furniture have surged even more, increasing by 9.5% over the past 12 months.

Before Trump raised tariffs, furniture prices had significantly declined for nearly two and a half years. However, Trump stated on Thursday that foreign manufacturers had oversupplied products to the U.S. market, and the tariffs were necessary to restore the strength of American manufacturing.

Trump stated, "The reason for this situation is that other foreign countries are dumping these products into the U.S. market. This is a very unfair practice, and for reasons of national security and others, we must protect our production processes."

As a result of this news, furniture and home goods companies, including Wayfair (W.US), RH (RH.US), and Williams-Sonoma (WSM.US), saw their stock prices plummet in after-hours trading.

Trump also announced on Thursday a 25% tariff on heavy trucks imported into the United States, aimed at creating a fair competitive environment for American truck manufacturing.

In a post on Truth Social, Trump stated, "To protect our heavy truck manufacturers from unfair external competition, I will impose a 25% tariff on all 'heavy (large) trucks' produced in other parts of the world starting October 1, 2025."

The tariff measures previously implemented by Trump—including a 50% tariff on steel, aluminum, and copper—have significantly increased costs for American truck manufacturers. Trucks manufactured abroad, such as those produced by Germany's Daimler Trucks and International Automotive Company, are typically made in Mexico and can be imported duty-free due to the USMCA, as long as about two-thirds of the truck parts are produced in North America.

One of the purposes of the increased tariffs is to promote the development of American manufacturing, giving U.S. factories an advantage when competing against foreign products. However, the tariffs on steel and aluminum have altered the supply-demand balance, leading to price increases for all metals (whether imported or domestically produced). This means that Trump's tariffs have resulted in some American-made trucks being more expensive than those produced by foreign manufacturers.

In his post on Thursday, Trump stated, "Our large truck manufacturers, such as Peterbilt, Kenworth, Freightliner, and Mack Trucks, will be shielded from external disruptions. We need our truck manufacturers to remain financially healthy and strong for many reasons, but most importantly, for national security!" "It is currently unclear whether the 25% tariff applies to all heavy trucks or only to those that do not comply with the US-Mexico-Canada Agreement.

Trump has also threatened to impose tariffs on a number of products, including lumber, semiconductors, and other items