The Asian American Hotel Owners Association, AAHOA, which is predominantly made up of Indian Americans, welcomed President Donald Trump’s decision to delay the scheduled increase in tariffs on upholstered furniture, kitchen cabinets, and bathroom vanities for an additional year.
The tariff hikes, originally set to take effect on January 1, 2026, were postponed as the Administration continues negotiations with trade partners to address trade reciprocity and national security concerns related to wood products, a January 2, 2026 press release from AAHOA said. The existing 25% tariff will remain in place during this period.
“Furniture, cabinetry, and related fixtures represent significant capital investments for hotels, particularly for small business owners undertaking property improvement plans, brand-mandated renovations, and new development,” AAHOA said.
“This decision provides breathing room for America’s hotel owners and small businesses,” said AAHOA Chairman Kamalesh (KP) Patel. “We thank President Trump for recognizing the real-world impact these tariffs have on entrepreneurs who are reinvesting in their properties, employing millions of workers, and supporting local economies. This pause is not just prudent—it’s pivotal.”
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AAHOA is the largest hotel owners association in the nation, with Member-owned properties representing a significant part of the U.S. economy. AAHOA estimates that it’s 20,000 members own 60% of the hotels in the United States and are responsible for 1.4% of the nation’s GDP. More than 1 million employees work at AAHOA member-owned hotels, earning $51.3 billion annually, and member-owned hotels support 4.2 million U.S. jobs across all sectors of the hospitality industry.