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August 22, 2025

Canadian lumber duties and tariffs raise pressure on U.S. pallet industry

The U.S. pallet industry is bracing for a wave of higher costs as tariffs on metals, components and imported lumber ripple through supply chains, ending more than two years of relative stability in pallet pricing. The structure of current U.S. tariffs has had unintended effects, discouraging domestic production while doing little to deter imports. A finished car imported from Japan faces a 15% tariff. But assembling the same vehicle in the United States would incur far higher duties on inputs: 50% on steel, aluminum and copper; 55% on Chinese-made batteries and rare earths; 25% on electronics ...

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