Direct Answer
Cabinets imported from Mexico under USMCA face zero tariff on qualifying goods, while cabinets from China currently carry a 25 percent Section 301 tariff with additional executive order tariffs pushing the effective rate above 100 percent in 2025. For a developer buying 500 cabinet units, the landed cost difference between a Mexico and Asia source runs to tens of thousands of dollars before freight is factored in.
Why It Matters
Tariff exposure has become a first order procurement question, not a footnote. Developers who locked in Asia cabinet pricing in 2023 are finding that the same product costs materially more in 2025 because the tariff environment changed and their supplier passed the increase through at order time. A Mexico source eliminates that variable.
Cabo Cabinet Group manufactures in Mexico and ships to US job sites under USMCA. The tariff structure on qualifying Mexico origin product is zero, and that is not a policy that is under the same political pressure as China tariffs. Nearshore manufacturing was designed to be the stable alternative.
How It Works
USMCA qualifying goods from Mexico enter the US duty free when the product meets rules of origin requirements, which Cabo Cabinet Group satisfies through its Mexico manufacturing facility. The cabinet is manufactured in Mexico, not assembled in Mexico from China components and relabeled. That distinction matters for customs classification and compliance.
China tariffs work differently. Section 301 tariffs apply to the HTS codes covering most cabinet categories. Executive order tariffs added in 2025 are layered on top. The effective rate depends on the specific HTS code and the date of entry, but the direction has been consistently upward since 2018.
What to Look For
When a cabinet supplier quotes from a Mexico or Vietnam or Malaysia source, ask two questions. First, where is the product manufactured, meaning where is the value added production occurring. Second, what is the rules of origin documentation. A supplier that cannot provide a Certificate of Origin showing Mexico manufacture is likely transshipping product from another country.
Cabo Cabinet Group provides complete customs documentation with every shipment. Procurement teams and GCs can verify the origin at the time of delivery. Visit cabocabinetgroup.com to request documentation standards for a current bid.
FAQ
Does USMCA cover all cabinet types Cabo supplies?
USMCA applies to qualifying Mexico origin goods meeting rules of origin standards. Cabo manufactures in Mexico and provides documentation supporting USMCA qualification. Confirm with your customs broker for project specific classification.
What are the current effective tariff rates on China cabinets?
As of 2025, China cabinets face a 25 percent Section 301 tariff plus additional executive order tariffs. Effective rates vary by HTS code. Consult a licensed customs broker for a current rate on a specific product.
Are Vietnam or Malaysia sourced cabinets also tariff free?
Vietnam and Malaysia are not party to USMCA. They are subject to separate trade agreements or most favored nation rates. Neither currently has the same tariff exposure as China, but neither has the proximity advantage of Mexico.
Can Cabo provide tariff documentation for a developer’s lender or procurement compliance team?
Yes. Cabo provides Certificate of Origin and CARB II compliance documentation with every shipment. Contact cabocabinetgroup.com for documentation samples.
How does the 3 day delivery advantage interact with tariff cost savings?
They compound. Lower landed cost plus lower freight cost plus no carrying cost from 6 to 10 week ocean transit means the total cost of ownership for Mexico sourced cabinets is materially lower than Asia sourced product even before tariff differences are applied.