kitchen

How Tariffs Could Impact Interior Design & Residential Remodeling

LEAVE COMMENT 0
5 min read

Interior design and residential remodeling are deeply connected to economics, global trade, and shifting market dynamics. When tariffs—government-imposed taxes on imported goods—are introduced or increased, they can send ripples through the entire industry. From rising costs to supply chain disruptions, these economic policies have a direct impact on designers, contractors, and homeowners alike. If you’re planning a renovation or working on a design project, here’s what you need to know about how tariffs could affect your timeline, budget, and sourcing decisions.

Six Ways Tariffs Might Affect the Interior Design Industry

#1 Rising Costs of Materials and Products

For designers and builders, materials are the foundation of every project. Many of these—like hardwood, stone, and metal—are sourced internationally, making them vulnerable to tariffs. When import taxes are placed on raw materials like steel, aluminum, and lumber, the cost of everything from kitchen cabinetry to custom millwork and structural beams goes up.

For example, if tariffs on European oak increase, expect to see higher prices on flooring, paneling, and furniture made from this sought-after wood. Similarly, if tariffs target stone imports, high-end marble slabs from Italy or Portugal could become significantly more expensive. NAHB data shows that China supplies 27% of imported residential construction materials, making it the single largest supplier. Tariffs on Chinese goods could drive up the cost of everything from tile, quartz countertops, and kitchen cabinets to lighting and furniture. Meanwhile, Mexico (11%) and Canada (8%) supply wood, stone, and metal materials.

These cost hikes don’t just affect large-scale projects—smaller home upgrades can feel the squeeze too—making high-quality materials less accessible for homeowners on a budget.

#2 Luxury Appliances and Fixtures Might Get More Expensive

A beautifully designed space isn’t complete without the right appliances and fixtures, but if you’ve been eyeing a sleek Italian range or a German-engineered refrigerator, be prepared for potential price hikes. Many high-end kitchen appliances, plumbing fixtures, and lighting elements come from Germany (4%), Japan (4%), and South Korea (3%)—all of which appear in the NAHB import data. If tariffs increase on European or Asian imports, expect price hikes on brands like Miele, Gaggenau, Sub-Zero, and Dornbracht. Manufacturers pass the additional costs onto consumers.

Fuel your creative fire & be a part of a supportive community that values how you love to live.

subscribe to our newsletter

*please check your Spam folder for the latest DesignDash Magazine issue immediately after subscription

It’s not just kitchen appliances that are impacted. High-end bathroom fixtures—like Fritz Hansen faucets, Dornbracht shower systems, or artisanal sinks from Spain and Japan—can also be subject to import taxes, driving up costs for designers and homeowners who prioritize quality craftsmanship. Even lighting from European brands like Flos and Artemide may see price increases, making once-accessible luxury pieces feel out of reach.

#3 Supply Chain Delays Could Slow Down Projects

Long lead times are already a reality in the design world, but tariffs can make things even trickier. When import taxes disrupt global manufacturing and shipping, availability becomes unpredictable. A container of Moroccan zellige tiles or French limestone may take weeks longer to arrive, pushing project deadlines further than anticipated.

The pandemic already exposed how fragile supply chains can be, and tariffs add another layer of uncertainty. For custom orders—like bespoke furniture, tailored upholstery, or intricate millwork—the unpredictability of tariffs can lead to frustrating delays, forcing designers and contractors to either wait it out or pivot to alternative solutions.

#4 There Might Be a Shift Toward Domestic Sourcing

With tariffs driving up the cost of imported goods, many designers and contractors are rethinking their sourcing strategies. This shift can be a silver lining, as it encourages the use of American-made materials and supports local craftsmanship. Brands that manufacture domestically, such as Vermont-based Hubbardton Forge for lighting or North Carolina’s Baker Furniture, may become more appealing alternatives to imported options.

However, domestic sourcing isn’t always a simple swap. Some materials and finishes—especially those traditionally sourced from Europe or Asia—may not have a perfect U.S. counterpart. For example, a designer trying to replace Carrara marble countertops with a domestic stone might struggle to find the same veining and finish. Similarly, U.S.-made ceramic tile options might not offer the same range of colors and patterns as Spanish or Italian tiles. While supporting American manufacturers is a positive move, it also requires adjusting expectations and design choices.

#5 Expect to See Budget Pressures on Contractors and Designers

For designers and contractors, the rising cost of materials presents a difficult dilemma. Do they absorb the increased costs to maintain client satisfaction, or do they pass those costs along and risk losing business? Either way, it’s a financial balancing act.

Smaller design firms and independent contractors may feel the pressure the most, as they lack the bulk-buying power of large firms. A local remodeler who regularly sources high-end brass hardware from Italy might suddenly find those materials cost-prohibitive, forcing them to either cut into their margins or offer clients a lower-quality alternative.

On the client side, higher bids on remodeling projects can lead to sticker shock. Homeowners who planned to splurge on custom cabinetry, imported wallpaper, or high-end finishes might start second-guessing their choices. Designers need to be proactive in managing expectations and offering creative, budget-friendly alternatives that maintain the integrity of a project without breaking the bank.

#6 Homeowners Might Delay or Scale Back Renovations

Rising costs don’t just impact professionals—they trickle down to homeowners, influencing when and how they choose to renovate. If the cost of materials, appliances, and fixtures continues to rise, some homeowners may put major projects on hold or opt for more modest upgrades instead.

Rather than a full kitchen remodel with imported countertops and cabinetry, a homeowner might refinish existing cabinets and install a lower-cost American stone. Instead of replacing all the flooring in a home, they might limit renovations to key spaces like the entryway or kitchen. These shifts impact not just interior designers but also contractors, artisans, and suppliers who rely on a steady stream of renovation projects.

Some clients may even choose to DIY more projects to offset the increased costs of materials. While this can be a fun and cost-saving approach, it also has its pitfalls—especially if DIY attempts result in mistakes that require professional fixes later on.

The Big Picture: Adapting to an Evolving Market as Designers

The impact of tariffs on interior design and remodeling isn’t quite black and white. On one hand, higher costs and supply chain delays present challenges that can test the patience of designers, builders, and clients alike. On the other hand, a renewed focus on domestic sourcing, sustainability, and craftsmanship could bring exciting changes to the industry.

For designers and contractors, adaptability is key. Finding creative sourcing solutions, maintaining clear communication with clients, and staying ahead of market shifts can make the difference between a frustrating project and a successful one. Whether you’re a homeowner planning a renovation or a design professional navigating shifting costs, understanding the impact of tariffs can help you make smarter, more strategic decisions in an unpredictable market.

POST COMMENT