Christmas Tree costsโฃ Rise as Tariffs Add Pressure to Holiday budgets
American consumers face slightly higher pricesโ for โขartificial Christmas trees thisโ year,a โขresult of tariffs imposed on imports from China.Approximately 85% of โขthe 20 million artificial โขtrees sold annually in the U.S. are manufactured inโ China, representing around 90% of the total market. Earlier this year,threatenedโ tariffs reaching as high asโ 145% โcreated important disruption for โsellers.
While the tariff rate was later reduced to 20%, the โฃinitialโ uncertainty prompted some distributors โto pause production in China and explore optionโ manufacturing locations. According to industry leaders, this has โขtranslated into a price increase of 10% to 15% for consumers.
“Weโ have raised prices and I think most companies have โคraised prices,” stated Chris Butler, CEO of National Tree Co., a major distributor selling roughly one millionโฃ trees per year.
Despite the price โincreases, Butler noted potential for dealsโ as consumers may delay purchases. The average artificial tree is replaced every five years, and higher costs coudl encourage some to postpone buying a new โคone. A significant portionโฃ of sales – 80%โ – occur after November 1st, and most artificial trees are priced between $100 and โฃ$300,โ making the tariff impact noticeable โfor many shoppers already navigating economic concerns.
“We’re seeing a bit of softness early in the season for Christmas trees, andโฃ we may have to give back some of those price โincreases and promotions to get back to where we need toโข be,” โButler explained.
National Tree Co. has been proactively diversifying its supply chain, shifting production to countries like Cambodia, Vietnam, and Thailand.โ Currently, about 50% of their production โคis located outside of China. Major retailers, including Walmart and Home Depot, have already begun placing orders for the 2026 holiday season.
The industry โhas โbeen actively lobbying for tariff stability to avoid furtherโ disruption. Representatives from a group of ten largeโ distributors,โ including Butler, โhave met with officials such as U.S. Trade Representative Jamieson Greer, faith-based organizations at theโ White House, and five senators, advocating for โขaffordable Christmasโฃ trees.
the natural โChristmas treeโฃ market โขappearsโค largely unaffected by โขthe trade tensions. The majority of natural trees sold in the U.S. โขare grown domestically, with most imports coming โฃfrom Canada, which is exempt fromโค the tariffs under โคexisting trade agreements.
Rick Dungey, executive director of the National Christmas Tree Association, reported brisk business for natural tree farmers.He emphasized the enduring tradition โof purchasing โคa Christmas tree, stating, “It’s about memoriesโฆIt’s about feelings.And it’s once a year,right?”
