There is a moment in every major disruption when the industry either learns to adapt or gets left behind. I’ve watched this happen with the rise of systems furniture, the open plan revolution, the post-pandemic scramble to rethink the office entirely. Each time, the companies that asked “How do we respond?” fared far better than those who waited for things to return to normal.

The tariff situation affecting our industry right now is one of those moments. And if you’re hoping it blows over, I’d encourage you to think again. In this column, I’m setting aside all politics and my own opinions about whether we should or should not impose tariffs as part of our nation’s trade strategy. Consider this column Switzerland.

Here’s where things stand: After the courts recently struck down broader tariff measures, President Donald Trump moved quickly to impose a new, across-the-board 10% tariff on many imports, later indicating the rate would increase to 15%, though that policy has not yet been finalized. The move relied on a rarely used provision known as Section 122 of the Trade Act of 1974, a measure that had not previously been invoked by any president.

Section 122 carries clear limits compared with earlier tariff actions. The provision caps tariff increases at 15 percent and restricts their duration to 150 days unless Congress approves an extension. It is also intended for a narrow set of circumstances, including efforts to address trade imbalances such as the U.S. trade deficit. The new tariffs do not apply universally. Certain categories are exempt, including some agricultural goods that had previously received tariff relief, as well as imports already subject to duties imposed under national security authorities. The directive also leaves untouched goods covered under the United States–Mexico–Canada Agreement. The administration has also indicated it may pursue additional tariffs using another provision of the same statute, Section 301 of the Trade Act of 1974. That authority allows the president to impose tariffs in response to unfair trade practices after a federal investigation.

Where will tariffs ultimately land for the office furniture industry? Who knows? And for many companies, that is the real problem. Not knowing; not being able to plan for tariffs is almost as bad as the promise of higher costs.

For an industry as deeply woven into global supply chains as ours this is a structural challenge that touches every segment of the channel, from manufacturer to dealer to end user. So what should companies in our industry actually do about it?

First, get honest about your supply chain. Many companies have been lax about sourcing for years, and some haven’t done a serious audit of where their components and finished goods actually come from. That needs to change now. Companies need to map their exposure country by country, product by product, and material by material. You can’t manage what you haven’t measured.

Second, don’t assume China is the only problem. Yes, Chinese-sourced goods carry a tariff burden. But Canada and Mexico — long treated as safe, friendly sourcing neighbors — are now subject to the same elevated rates. Companies that thought they were insulated by near-shoring have been surprised. Know your full exposure.

Third, consider accelerating your domestic sourcing, but be realistic about it. The tariff structure is explicitly designed to make U.S. manufacturing more competitive, and for companies that already produce domestically or can credibly shift production stateside, this is a genuine opportunity. When news of furniture tariffs hit, shares of La-Z-Boy — a predominantly domestic producer — rose while import-dependent competitors fell. The market is telling us something. That said, domestic production still requires raw materials that are themselves subject to tariffs. American-made doesn’t automatically mean insulated from cost pressure.

Fourth, talk to your customers about this now, not later. The worst thing a dealer or manufacturer can do is let a project get deep into the specification process before the conversation about price reality happens. Clients who specify today for delivery six months from now could get sticker shock depending on what happens with tariffs. The companies that are communicating transparently with their clients by explaining what’s driving costs, offering alternatives and helping them make decisions earlier in the cycle, are the ones building trust right now.

Fifth, don’t let the chaos distract you from design. This is important. The office furniture industry has always recovered by innovating its way forward, not by racing to the bottom. Successful companies use the pressure to rethink their product offerings, not just their pricing.

I’ve covered this industry long enough to know that it is remarkably resilient. It survived the financial crisis of 2008. It navigated the supply chain chaos of the pandemic. It has reinvented itself more times than most industries. This moment is hard, but it isn’t the end of the story. It’s the beginning of the next chapter.