Chinese product represents a small portion of the company’s total offering.
FONTANA, Calif. — Due to additional 20% tariffs placed onto China since President Donald Trump took office, New Classic Furniture is implementing a 5% price increase on all its product sourced from China.
In a letter to dealers, the company said that, as of March 3, all direct-container shipments have the increased price. For products shipped from U.S. warehouses, the increase goes into effect April 1.
The company said that 98% of its product comes from outside China, so the price hike only affects a small portion of its business.
“Currently, we have just four motion frames and a limited number of outdoor and accent pieces still produced in China,” the company told Furniture Today. “As we transition motion frame production to other countries, we have absorbed as much of the cost as possible.”
“We have proactively communicated with all customers with pending container shipments, and we’re pleased to report that nearly all have been understanding and supportive. They continue to move forward with their orders despite the slight increase, reinforcing our strong partnerships.”
Chinese imports are now tariffed at 45%, as 25% tariffs were already in place, the company noted, highlighting that its 5% increase is comparably modest.
In an earlier statement, the President of Sales Scott Hill told Furniture Today that New Classic’s main sourcing regions for the foreseeable future are Vietnam and Malaysia.
“We source all our goods in Asia and have relationships going back 25 years with some of these owners and factories,” he said. “Vietnam and Malaysia are our two largest countries of origin for case goods and motion furniture.
“We are continually looking at other countries to source goods but are careful when going into other countries as there are a lot of other things in play besides just buying product.”
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