Tariffs keep material costs high — rebate bills proposed
U.S. manufacturing output rose only marginally in February, but ongoing import tariffs continue to push building‑material costs up — two new bills would create 'tariff rebates' to offset some of that pain reported reported. If passed, rebates could materially affect pricing dynamics for core categories like lumber, drywall, and hardware.
Federal Reserve data show industrial production rose 0.2% in February and manufacturing output also increased 0.2% that month. (federalreserve.gov) Senators Jacky Rosen and Chris Coons introduced the Housing Tariff Exclusion Act (S.3943) on Feb. 26, 2026 to automatically exempt many homebuilding materials from current and future tariffs, noting a new 10% global tariff the administration implemented last month. (coons.senate.gov) Industry groups including the National Lumber and Building Material Dealers Association backed S.3943 and said the bill would exempt “hundreds” of product codes for building materials from recent duties. (redbooklumberdata.com) The American Consumer Tariff Rebate Act (H.R.7865), introduced by Rep. Henry Cuellar on March 9, 2026, uses a Congressional Budget Office/Joint Economic Committee estimate that $231.35 billion in consumer costs are attributable to those tariffs and would exclude taxpayers with adjusted gross income over $400,000 while adding a $125 per‑child bonus. (congress.gov) Sen. Martin Heinrich’s Tariff Refunds for Working Families Act, filed March 12, 2026, proposes a $600 rebate for individual filers under $90,000, $1,200 for joint filers under $180,000 and an extra $600 per dependent, citing a JEC estimate that the tariffs have cost families roughly $1,700 each. (heinrich.senate.gov) Sen. Josh Hawley earlier proposed the American Worker Rebate Act that would pay at least $600 per adult and child from tariff revenues, a parallel GOP plan introduced on July 28, 2025 that has drawn debate over targeting and cost; similar rebate mechanics now appear across competing bills. (hawley.senate.gov)
