As a small business owner, I watched the 2024 campaign closely as then-candidate Trump promised to support entrepreneurs by cutting taxes and slashing regulations. Like many others, I hoped for policies that would boost economic growth and help my business grow. But today, the instability caused by ever-changing trade policy overshadows my optimism.
Business owners have struggled to keep up with the whirlwind of trade headlines, from “Liberation Day” and reciprocal tariffs to a 90-day pause on most import levies except those on China. It seems like U.S. trade policy changes by the day — or hour. This all leaves me wondering what could be next, and unfortunately, I’m not confident the answer will work in our favor.
This kind of uncertainty is harmful for small businesses like mine. Unlike large corporations, we find it harder to absorb financial shocks, and we lack a team dedicated to navigating global supply shifts. We depend on long-term planning, reliable supply chains and customer loyalty built on consistent pricing.
According to the U.S. Small Business Administration, small businesses account for more than a third of all U.S. imports. That means any disruption to trade policy hits us — hard. When input costs rise because of tariffs, we’re forced into tough decisions: raise prices, cut staff, or delay expansion. For many of us operating on already-thin margins, it may mean closing our doors.
These disruptions could not come at a worse time. Inflated costs persist for everything from materials to shipping, and some experts are warning of a potential recession. We’re doing everything we can to stay afloat, but with the rules constantly changing, it’s difficult to plan for the future.
Despite how policymakers try to frame tariffs, we should call them what they are: price increases. They will raise costs for both businesses and consumers. It’s reassuring to know I am not alone in this concern: a recent Zilliant survey found that 44% of U.S. businesses plan to pass tariff costs directly to customers. Meanwhile, consumer confidence plunging to record lows shows American shoppers are well aware that tough times are ahead. Amid the uncertainty with tariffs, consumers have cut down dramatically on spending, with retail sales dropping by nearly 1% in May.
Policymakers claim tariffs are meant to protect American workers and level the playing field for American businesses. But the reality is, small businesses will be placed at a significant disadvantage. How can we compete with corporations that have deep financial reserves and the ability to hedge risk?
To protect the future of small businesses, leaders in Washington must consider a course correction when it comes to trade. While we should embrace the goal of protecting American industries, the current approach misses the mark. Imposing sweeping tariffs and constantly changing trade rules have already created unnecessary chaos for businesses like mine. All we’re asking for are stable trade policies that allow us to plan, invest and grow with confidence.
Let’s not forget that small businesses remain the lifeblood of the U.S. economy. We employ nearly half the American workforce and contribute over 40% of the country’s GDP. Our success strengthens America’s global competitiveness just as it drives the economy of our local communities. I urge the Trump administration to keep us in mind and think twice before making the next move on tariffs.