A Furniture Town Reels From Trump’s Tariffs (and Braces for More)

In the heart of Malaysia’s Johor state lies Muar, a town once renowned as the country’s “Furniture City.” For decades, Muar has been a hub for the production of high-quality furniture, with many manufacturers setting up shop in the area to capitalize on its skilled workforce and strategic location. However, in recent years, the town’s furniture industry has been facing significant challenges, and the imposition of tariffs by US President Donald Trump has only exacerbated the situation.

Muar’s furniture makers had already been struggling to stay competitive due to rising labor costs, a stronger ringgit, and increased competition from cheaper producers in countries like China and Vietnam. The town’s industry had been losing ground, with many manufacturers either downsizing or shutting down operations altogether. The Trump administration’s decision to impose tariffs on imported kitchen cabinets and other wood products has dealt another blow to Muar’s beleaguered furniture sector.

The tariffs, which were first imposed in 2018, have resulted in a significant increase in costs for Muar’s furniture manufacturers, who export a substantial portion of their products to the United States. Many manufacturers have been forced to absorb the additional costs, which has squeezed their profit margins and made it even harder for them to compete in the global market. Some have had to raise their prices, which has made their products less competitive in the US market.

“We’re really feeling the pinch,” said one Muar-based furniture manufacturer, who wished to remain anonymous. “The tariffs have made it very difficult for us to do business with our American clients. We’re having to renegotiate our prices and explore new markets, but it’s not easy.”

The Malaysian government has been trying to help the industry by providing support and incentives to affected manufacturers. However, many in Muar’s furniture sector are bracing for more pain, as the Trump administration has threatened to impose even more tariffs on imported goods. The uncertainty surrounding the trade tensions between the US and China, and the potential impact on global trade, has created a sense of unease among Muar’s furniture makers.

As the town’s furniture industry continues to reel from the impact of Trump’s tariffs, many are wondering if Muar’s “Furniture City” status is under threat. While some manufacturers are optimistic that the industry will bounce back, others are more pessimistic, warning that the tariffs could lead to a permanent decline in Muar’s furniture sector. One thing is certain: the people of Muar are anxiously waiting to see what the future holds for their beloved “Furniture City.”