America may run out of Christmas decor this year. Here’s why.

If you’re hoping to deck your halls with boughs of (faux) holly, now would be the time to head to the store.

A potential shortage of artificial trees, wreaths, garlands and other seasonal adornments is looming thanks to a tariff-induced frenzy that caused companies to pause or cancel imports during peak manufacturing season, industry experts warn.

Meanwhile, consumers should expect to pay as much as 18% more on such items compared with last year, company leaders said.

Early this year, imports surged as companies rushed to preempt the expected tariffs. Then, when President Donald Trump announced in April that tariffs would reach 145% on Chinese imports, there “was basically a 30-day freeze,” said Chris Butler, the chief executive of National Tree Company. “All factories, all retailers, all manufacturers stopped ordering, canceled orders … and the factories stopped producing.”

Once the administration delayed the steep levy in April to keep negotiating with China, retailers, wholesalers and suppliers shifted to a more conservative approach, said James Gellert, the executive chairman of RapidRatings, a financial analysis firm. “That means holding less inventory or buying ahead less … and reducing the amount of things that they produce.”

Trump said this month that he would hike tariffs on China by an extra 100% by Nov. 1, in response to Chinese leader Xi Jinping’s move to limit raw minerals exports. The two are set to meet at South Korea at the end of the month.

Butler estimates that about 75% to 80% of production resumed after the initial pause this spring. Imports from China in the Christmas decorations category in July — typically the start of the busy season for holiday merchandise, and the last month for which U.S. Census Bureau data is available — were down 14.3% since January and 5.7% year-over-year. The dollar value of those imports was down 12.5% since January and 10% compared to last year.

The decline means inventories are much more depleted than usual.

“I’m not saying shelves are going to be bare … but we certainly believe that supply will be lower than normal this year,” Butler said. “We believe a lot of people will shop early.”

Christmas decor is the latest consumer goods sector to experience tariff shock. Industries that primarily manufacture in China are especially vulnerable, and many are passing the cost to consumers, prompting the prices of toys, electronics, appliances and apparel to climb. And for most companies, moving to other countries in Asia has proven equally expensive after factoring in labor, tariffs, freight fees and the cost of the moving materials, business owners said.

Dan Casterella — whose company does elaborate displays in New York City spots including Rockefeller Center, Radio City, Saks Fifth Avenue and Cartier — has about 20% less inventory than he did last year. The chief executive of American Christmas, which also has an e-commerce business selling decor, said he makes his orders a year in advance, and by the April tariff announcement, most of his inventory was ready to ship.

Since then, though, he has shaved down his additional orders by 25% to 30% compared to last year and raised prices by 8% to 17%. He’s already started selling out of Mark Roberts elves, large nutcrackers and Christmas village figurines.

“If everyone is down anywhere from 15% to 30% of inventory, that’s a lot less in the marketplace,” Casterella said. “If there’s something that someone wants, they should act sooner than later. I also think things will continue to get more expensive into the future. It’s the world we live in today.”

The added cost is weighing particularly hard on small and midsize retailers and suppliers. Jared Hendricks, the chief executive of three Christmas-themed companies offering light-installation training, Christmas decor and storage — Village Lighting, TreeKeeper and Santa’s Bags — said he has had to pay $750,000 to $1 million in tariffs, all of which he paid for through a line of credit.

“Usually I wake up in a panic three, four, five times a night,” he said in a phone interview, his voice shaking. “I’m just scared out of my mind. … I owe so much money right now and we just have to sell.”

National Tree Company, one of the largest makers and distributors of faux Christmas trees, faces a $5 million to $10 million annual tariff hit and raised prices about 10%, Butler said.

Casterella has had to lay off staff and raised prices by 8% to 17%. Tariffs used to cost the company about $600,000 annually but now will total “in the millions,” he said.

“Everyone is working harder in my company, and we’re making less,” Casterella added. “It doesn’t feel right.”

But in this economy, being a little short on inventory as opposed to too much could be helpful as consumers pull back on discretionary purchases ahead of the holiday season, said Katherine Butler, a partner at consulting firm Kearney.

“I’m not hearing a lot of retailers saying, ‘Oh, jeez, this is going to end up being rosier than I thought,’” she said. “I’m hearing a lot of uncertainty. It’s as much on the consumer side as it is on the supply side now.”

Still, some importers ordered just as much this year. Bob Worth, the chief executive of wholesale holiday decorations and artificial floral company Worth Imports, is hopeful that customers will embrace the Christmas spirit and stick with him this holiday season, despite raising prices 8% to 10%.

“Christmas is a traditional holiday, and people are going to buy Christmas,” he said.