Large volumes of imported engineered wood products still entering the United States — including OSB and cross‑laminated timber panels used in data centres, mid‑rise and high‑rise plyscrapers — will now be subjected to 15% tariffs again as the Trump administration prepares to introduce never‑before‑used tariffs under Section 122 of the Trade Act of 1974 from tonight.
Running for 150 days from February 24, and capable of being rolled over if Congress permits an extension, the new tariffs authorise the president to impose an import surcharge of up to 15% in cases involving a “large and serious balance‑of‑payments deficit.”
According to the proclamation released by the White House, the new tariff will not be stacked on top of existing duties — meaning that lumber, currently subject to a 10% global tariff under Section 232 of the Trade Expansion Act of 1962, will be exempt from the surcharge.
“However, other building materials not already covered by a preexisting tariff could now face the 15 per cent surcharge,” according to a report from HSB Dealer. “(And) that means imported engineered wood products — including Oriented Strand Board (OSB), Cross‑Laminated Timber (CLT), and related products — may be subject to the new duty, with an exclusion for USMCA‑compliant imports from Canada and Mexico,” it warned.
Last year, the United States imported more than 6,344.7 thousand cubic metres of OSB (more than 93% from Canada alone), as well as 16.2 thousand cubic metres of CLT (62.8% from Canada and 29.2% from Austria). The new tariffs come just days after the U.S. Supreme Court ruled that the president lacked authority under the International Emergency Economic Powers Act (IEEPA) to impose tariffs on a raft of products entering the United States.
It comes as U.S. importers now face a labyrinth of legal and administrative hurdles as they attempt to claw back billions in tariff payments, and whilst many companies may technically be eligible for a refund, trade attorneys warn that the path to recovery is anything but straightforward. Refund claims could be denied, delayed, or tied up in years of litigation, depending on how the Court of International Trade interprets the ruling and how U.S. Customs and Border Protection administers any repayment process.
Meanwhile, tariff revenue continues to pour into federal coffers. Collections surged to $30 billion in January alone, pushing the year‑to‑date total to $124 billion — a staggering 304% increase compared with the same period in 2025.
In his dissent, Justice Brett Kavanaugh cautioned that the ruling may unleash significant short‑term disruption. “One issue will be refunds,” he wrote, noting that returning billions of dollars in duties could have “significant consequences for the U.S. Treasury.” He added that the Court offered no guidance on “whether, and if so how,” the government should return the money, warning that the process was likely to be a “mess,” echoing concerns raised during oral argument.
Trump himself foreshadowed the chaos in a social media post last month, writing that “it would take many years to figure out what number we are talking about and even, who, when, and where, to pay.” He added that the refund process “would be a complete mess, and almost impossible for our Country to pay.”
- To learn more about the Supreme Court decision, click here for Wood Central’s special feature from Saturday.
