Tariffs aren't enough to bring furniture manufacturing back to the U.S., Jim Cramer says
Investment
CNBC

Tariffs aren't enough to bring furniture manufacturing back to the U.S., Jim Cramer says

August 26, 2025
11:09 PM
3 min read
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CNBC's Jim Cramer told investors that he believes extensive domestic furniture manufacturing is largely a thing of the past.

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3 min read

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investment

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Published

August 26, 2025

11:09 PM

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CNBC

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moneywealthstockstradingconsumer discretionaryindustrialsmarket cyclesseasonal analysis

In this articleETDWSMRHW your favorite stocksCREATE FREE ACCOUNTwatch now0:4700:47We're in an 'anything goes' moment with tariffs, says Jim CramerMad Money with Jim CramerCNBC's Jim Cramer on Tuesday told investors that he believes domestic furniture duction is largely a thing of the past, even as President Donald Trump continues his efforts to make companies manufacture in the U.S."Some of these industries aren't bably going to come back," he said. "Companies will tell you that you can't vent a workforce that knows how to make upholstery

That ship's sailed."Last week, Trump announced the administration had begun an investigation into furniture imports

Trump wrote on his Truth Social platform that the inquiry would be within the next 50 days and that furniture from abroad would be subject to tariffs "at a rate yet to be determined." He said this action would bring the furniture back to states North Carolina, South Carolina and Michigan.But to Cramer, it's unly those states will return to being hubs of furniture duction because the U.S. has favored a cheaper import supply chain for years

This system is "the bargain of globalization," he said, where the U.S. sacrificed domestic jobs in exchange for inexpensive goods.He pinpointed Wayfair, RH and Williams-Sonoma as leading furniture makers that source heavily from other countries.Cramer mentioned that Wayfair in particular does the bulk of its manufacturing abroad, suggesting that higher tariffs would only lead to price hikes on ducts, not a resurgence of domestic duction

While RH and Willams-Sonoma are taking steps to increase domestic manufacturing, Cramer said it is difficult for them to find skilled labor that can make high-quality items

He suggested U.S. workers who made furniture have "simply moved on to other things, or they retired," and tariffs won't be enough to bring them back.However, he said tariffs could actually bode well for Ethan Allen, which has said it makes 75% of its ducts domestically

The furniture company might be at an advantage if it keeps prices low while competitors implement hikes to compensate for tariffs, Cramer said

But that dynamic isn't ly to make a big difference in the long run, he suggested.While the federal investigation was launched under a national security statute, Cramer said he doesn't think furniture trading necessarily fits into that category

He suggested it's more important to U.S. security to make goods semiconductors or rare earth minerals domestically."At the end of the day, I'm skeptical that we can bring back the American furniture industry as we remember it, and even if we could…would it be worth the cost?" Cramer asked. "I don't know

It's not, , a national security need for tables and chairs."watch now3:3003:30There will ly not be a revival of these furniture cities, it's too late, says Jim CramerMad Money with Jim CramerJim Cramer's Guide to Click here to download Jim Cramer's Guide to at no cost to help you build long-term wealth and invest smarter. now for the CNBC to Jim Cramer's every move in the market.DisclaimerQuestions for Cramer? Call Cramer: 1-800-743-CNBCWant to take a deep dive into Cramer's world? Hit him up! Mad Money Twitter - Jim Cramer Twitter - Facebook - InstagramQuestions, s, suggestions for the "Mad Money" website? madcap@cnbc.com