HIGH POINT — While many consumers might not understand the potential impact of tariffs on imported goods, the possible consequences are part of 2025 business strategies for many furniture executives.
Ernie Rockhill is president of upholstery resource Hi-Rock Home and, like most of his counterparts in the home furnishings industry, he is balancing the “what if” questions with the aftermath of a successful High Point Market.
“We take the threat of tariffs very seriously,” Rockhill told Furniture Today. “However, it’s still too early to know exactly what effect they will have until they are officially announced. In general, tariffs are a tax on the American consumer; so regardless of their form, they will adversely affect the consumer’s spending power and ultimately the upholstery business.”
Despite the challenges that might result from increased tariffs on imports and disruptions to the supply chain, Rockhill sees opportunities as well.
“Sourcing products and components from new regions can offer relief and being nimble and creative is key,” he said. “Having strong relationships with the supply base will also play a huge role in any company’s success.”
Although a relatively new player on the upholstery scene, Hi-Rock Home has found an audience of buyers that respond to the style and materials innovation that Rockhill uses as the starting point for his business strategy.
“Since our first market in 2020, we haven’t stopped producing new, innovative products, and that won’t change,” he said, adding that projected improvements in the housing market “will benefit everyone” who can respond to increased demand.
“Due to soft business conditions, most factories are operating at low capacity, and it will take time to ramp up,” said Rockhill. “As a newer company, we are still growing and increasing capacity at our factory. We will be prepared for an uptick at retail.”
Noting that “hope springs eternal,” Rockhill said that he is very optimistic that the “new normal” is already in progress.
“The best way for our industry to evolve is by adding prestige to our offerings,” he said. “There are customers who aspire to nicer things and by offering superior features and benefits, we can sell prestige, ultimately leading to higher-ticket sales at retail.”
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