Timber Development UK (TDUK) has encouraged its members to display a united front in response to newly announced US reciprocal tariffs on foreign imports.
The organisation, which has issued a Trade Note to explain the tariffs to the wood products industries, says most wood product imports to the US are not impacted by the tariffs under Annex II of the US tariffs order.
Nick Boulton, TDUK head of technical and trade policy, said heading 44 of Annex II includes the main custom codes for Wood and Wood Products.
“This is perhaps not such a great surprise given that most wood and minimally traded wood products such as sawn, PAR, sanded or mouldings are globally traded on a duty-free basis and so therefore not meeting the “reciprocal” criteria of the Trump announcement.”
Mr Boulton also pointed out the UK was the second-largest net importer of wood products with an import to export ratio of 5:1, meaning any tariffs would have a low impact on the industry.
“However, what is much less clear at the present time is the impact such additional duty may have on our customers and the manufactured products they produce, such as furniture which includes the wood we supply.
“The high import-to-export ratio makes the retaliation we could see from the UK Government and the EU Commission much more critical to our sector.”
The UK Government is requesting input (before May 1) for potential UK measures in response to US tariffs, with a list of US products including heading 44 for Wood and Wood Products.
“We would suggest the main message for our participation should be that all of the Wood and Wood Products under customs heading 44 excluded by the Trump Administration should be removed from the UK list,” added Mr Boulton.
This approach, he added, was in order not to escalate the situation, as any inclusion of wood by the UK Government in retaliatory tariffs would impact UK manufacturers and their customers much more than their US counterparts.
TDUK also highlighted that US hardwood imports to the UK were important and provided sustainable raw material, with a lack of alternative wood products to substitute these.
Mr Boulton encouraged the UK timber sector to show a united front on the issue and said TDUK was keen to hear from members.
The EU may impose countermeasures by mid-April, but it isn’t yet clear what part wood may play in this.
TDUK members can view the Trade Note at TDUK.
