Overview
- Prices for fake trees rose roughly 10% to 15% this season, according to the American Christmas Tree Association.
- U.S. sales softened as companies raised prices and cut costs, with Balsam Brands reporting a 5% to 10% drop domestically and a 10% workforce reduction.
- Production remains concentrated abroad, with about 90% of artificial trees made in China and most sold pre-lit, making reshoring economically impractical.
- Supply chains are being diversified, including National Tree Co. shifting some production to Cambodia, while tariff rates fluctuated to about 20% on Chinese trees and 19% on Cambodian goods after an initial 49% threat.
- Only a few U.S. manufacturers remain, including Lee Display in California, which makes about 10,000 trees a year and expects higher import costs for lights as inventories run low.