Will Newly Imposed Tariffs Impact Your North American Strategy In 2026?
Section 232 Tariffs on Medium-Heavy Duty Trucks, Cabinetry, Furniture and Pharmaceuticals Announced
U.S. President Donald Trump announced recently that medium and heavy duty trucks imported to the U.S. will face a 25 percent tariff beginning on November 1st.
Key trading partners including Mexico, Canada, Germany, Japan and Finland are anticipated to be most impacted by the Section 232 tariff on medium and heavy duty trucks.
On September 25, 2025, President Trump announced that tariffs will be imposed pursuant to the conclusion of other Section 232 investigations:
- 25 percent tariff on medium and heavy trucks (Nov. 1, 2025)
- 50 percent tariff on kitchen cabinets and bathroom vanities (Jan. 1, 2026) pursuant to the Section 232 investigation on timber and lumber [U.K. 10%, EU and Japan 15%]
- 30 percent tariff (Jan 1, 2026) on upholstered furniture, pursuant to the Section 232 investigation on timber and lumber [U.K. 10%, EU and Japan 15%]
- 100 percent tariff potential on pharmaceutical products, unless the manufacturer has broken ground on construction of a U.S. manufacturing plant; The White House has since announced a pause on the pharmaceutical tariff as of October 1, 2025 to further negotiate agreements with pharmaceutical providers and finalize regulations.
Section 232 tariffs allow the U.S. President to impose restrictions on imported goods or enter into negotiations with trading partners if the U.S. Secretary of Commerce determines, following an investigation, that the quantity or other circumstance of those imports “threaten to impair” U.S. national security.
At Maxis Advisors, we’re committed to staying ahead of these policy shifts to help our clients make strategic, informed investment and location decisions – to minimize tariff impacts and position your U.S. supply chain for long-term success. Contact the @MaxisAdvisors team www.maxisadvisors.com to help you gain an edge on the competition through optimized site selection strategies and maximum incentives.