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Recently we discussed how (and possibly when) the recent tariffs on steel and aluminum will increase the cost of major kitchen and laundry appliances. Now we shift our focus onto the new round of tariffs that have been placed on Chinese homebuilding and remodeling products. A recent decision was made to place a 10% tariff on $200 billion worth of Chinese imports which includes $10 billion of goods used exclusively by the residential construction sector. This round of tariffs, which increase up to 25% in January, could have major consequences on the housing industry as a whole. The new tariffs will increase the cost of all types of home remodeling products. Amongst the kitchen products most affected are Chinese-made flooring, cabinets, and countertop materials. A large amount of wood flooring comes from China, as well as hard surfaces, such as ceramic, laminate, and luxury vinyl. The American cabinet industry will be directly impacted by wood-related imports from China, namely plywood used by many cabinet manufacturers. Countertop materials will also increase in cost, such as granite, marble, and especially quartz. In fact, the price of quartz will increase to the point that some retailers won’t even offer certain colors as they feel they’re not worth trying to sell. Knowing the cost of kitchen remodeling will inevitably increase, the question now is when will this impact happen? The answer is “soon”. With stocked up inventory, we can’t really know for sure when the increase will happen or which product will increase first. However, we do know the 10% tariffs went into effect just in September and will likely increase to 25% on January 1. So what can you do to defer rising costs? If you foresee a complete kitchen remodel or updating certain features in your current one anytime soon, don’t put it off any longer. With rising costs of both appliance and kitchen materials, the time for home remodeling really is now. Postponing it could cause you to lose out on big savings and equity down the road. Schedule an appointment today with one of our kitchen design experts and keep money in your pocket by getting that kitchen remodel done as soon as you can.
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