Small businesses around the country are speaking out about tariffs — the months of worrying about levies and countermeasures, trying to prepare amid uncertainty, and the impacts that came into devastating focus on April 2 as the Trump administration announced "reciprocal" tariffs on approximately $3 trillion of imports.
And now, there is more worry and uncertainty amid a 90-day pause as they wonder what might be next and how to plan.
As they spoke of the biggest tax increase in America in 50 years, they shared stories of canceled bookings, rising costs, stockpiling supplies, and, ultimately, the fear of having to pass the cost of tariffs on to consumers. Or worse.
Even those that can pass the cost on to customers immediately say they are worried the added costs will impact their ability to remain competitive and profitable — or to grow.
Here’s what they’re saying.
MORE: U.S. Chamber to Administration: Small Businesses Need Immediate Relief from Tariffs
Businesses Face Immediate Impact
“These tariffs are threatening our survival. Six layoffs were made on May 5, 2025. We recently signed a milestone deal with a big box retailer — a breakthrough after decades of hard work. But with the cost of goods up 145% overnight due to tariff hikes, our buyer has placed the order on hold. If canceled, the financial loss could be catastrophic. We have already invested in production and borrowed from our community to fund the opportunity.”
— Andrew Fraser, managing director, Bunnies By The Bay, Anacortes, Washington
“I will be in business 40 years next year. ... At the end of this year, my once successful family business is done. Without warning, we may have to close unless the tariffs are taken away. I do not have time to change suppliers or build a shoe factory.”
— Jeffrey Savoca, president, Up-Front Footwear, Mount Joy, Pennsylvania
“How can we tell our customers — which consist of food service distributors, grocery chains, and party stores — that we'll be increasing their pricing by 145%? It's an impossible task and will force us to go out of business. Four families and all of our employees who work for us depend on this business. We are a small company and have been in business for over 30 years — we can't afford to have these tariffs imposed on us."
— Donald Modugno, co-owner, NorthWest Enterprises, Elk Grove Village, Illinois
“We cannot live at these new tariff costs. If these prices remain, the same goods budgeted will cost us an additional $1.5M to bring into the U.S. That's on a budget of breakeven. We don't have enough cash to last through the summer at this rate. ... We need help.”
— Greg Wittreich, CFO, True Linkswear, Tacoma, Washington
"I have an oral care company and all of our empty containers such as tubes, bottles and tins, as well as dental floss come from China. Currently, I have an order of 5,000 bamboo lip gloss tubes at port. The order cost me $5000. The tariff I have to pay is $9,983. Obviously, this triples the COG for this item, cutting into our profit in a huge way. I will have to take out a loan to pay this extra expense. ... Something has to be done because this is unfairly punishing small business owners. It is also important to note that none of these items are made here in the U.S., so it’s not like I can buy Made In The USA even if I wanted to!"
— Ginger Price, founder and owner, Dr. Ginger's Healthcare Products, Phoenix, Arizona
“We export to Australia, Canada, and South Korea. We import from India, China, Italy, Turkey and the Netherlands. ... This is going to have a tremendous effect on us. I don't think the administration understands that we cannot put up factories quickly enough, let alone buy the machinery quickly enough.”
— Diana Mini, president, Shark Industries, Rockford, Minnesota
“To us, it feels very existential. It feels like if nothing changes, there is a good likelihood that our business will not be in business by next year. We’ve been buying more heavily than we ever would have, but we never expected 145 percent [tariffs]. You can’t continue to absorb those kinds of increases, because you have to pay your rent, your staff, you know. It’s so tenuous.”
— Dean Smith, co-owner, jaZams, Princeton, New Jersey, to The Daily Princetonian
“We are a manufacturing company who employs 55 people. With our current offshore strategy, we are able to provide those employees with great wages, benefits and most importantly, a work-life balance. We do not have the location space, equipment or people to be able to manufacture all our demand in-house. It would take a major overhaul to our business to even make this a possibility, which would include millions of investment dollars that we do not have.
We have put a halt on our facility upgrade plans and have also stopped the imports. We will not be able to meet our customer demand without an outside supply source but we had to put a stop to our normal business plan due to the trade war. We pride ourselves on the fact that we are an American, employee-owned corporation. ... We value our people and kept them employed during the housing crisis and COVID, choosing people over profitability. This situation is putting that in jeopardy.”
— Michele Derrigo-Barnes, president and CEO, Plattco Corporation, Plattsburgh, New York
“We have no choice [but] to raise prices. Tariffs are paid by Americans, by American businesses.”
— Mike Brey, owner, Hobby Works, Laurel, Maryland, to DC News Now
"The reality is that the U.S. simply doesn’t have the factories that 'produce for others' or can re-tool machinery on a constant basis, labor force, or infrastructure right now to absorb the kind of 'hand-crafted' production deficit we’d face by bringing all toy production immediately back home. I’ve looked. I’ve asked members of Congress for years about this. No one has an answer.
I face this challenge not due to a lack of innovation or a failure to adapt, but because I, along with thousands of other small businesses, simply cannot survive the crushing tariffs on an industry that has always been previously exempted. ... For industries like toys, not being excluded from these tariffs is leaving thousands of other small business owners like me on the verge of having to close up shop, let go my employees, and file for bankruptcy.”
— Joann Cartiglia, founder and president, The Queen’s Treasures, Ticonderoga, New York
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"A few months ago we received an order for a Chinese shipment that 'cost' us about $51,000, for a steel mill (that's the ironic part, since tariffs are much about protecting American steel), knowing that we would have a 25% tariff and expensive freight to get it here. ... We are told we will have to pay 145% plus 25% ($84,000) tariff on this product, so our total cost will be about $140,000 with tariff and freight. Our customer already paid for it, so both of us thought the financial transaction was finished. It is possible that we will end up with a total loss of over $50,000."
— Dan Turner, Turner Hydraulics, Carlisle, Pennsylvania
“Americans think that Chinese companies or the Chinese government are paying for these tariffs. I want to assure [them] that they are not. We are paying these tariffs. We have stopped all production.”
— Jeff Damir, co-owner, SwaddleDesigns, Seattle, Washington, to The Seattle Times
“Ever since the tariffs have become a reality, it's [been] absolute chaos and insanity. ... Regardless of where you fall on the politics of this, just remember that there are real people behind these products; these aren’t just pieces on a chessboard.”
— Matt Caputo, CEO, Caputo’s Market and Deli, Salt Lake City, Utah, to Fox 13
"Many of the components impacted by these tariffs are not available from U.S. manufacturers, leaving us facing skyrocketing tariff costs, disrupted supply chains, and a shrinking ability to compete in our own market. Worse still, these policy shifts have occurred with little notice and no structured plan for transitioning to domestic production. As a company working toward onshoring our manufacturing in Kentucky, we are now watching that vision become financially impossible due to the very tariffs meant to encourage domestic industry."
— Nathan Rowton, president, HVAC Distributing & MRCOOL, Hickory, Kentucky
"These tariffs create harmful consequences: forcing price increases on essential products, penalizing our use of sustainable materials, and disproportionately impacting small businesses like ours."
— Libby Anderson, community manager, Esembly, Brooklyn, New York
“We have just shipped a container of Sonic Alert products that we paid around $250,000 that will arrive in the U.S. in the next week or so. We have no idea how much tariffs we will have to pay. The current rate of 100% is more than the profit we will make from selling the product. We do not have the cash available to pay that amount. It probably does not make sense to borrow that much money to pay the tariff as we will not be able to recoup that when we sell the products.
Our company that has been in business since 1979 could be forced to close since we had no opportunity to plan for these changes to our operating environment. The deaf community will lose the largest supplier of products developed to help them be alerted to their doorbells, telephones, and most importantly, smoke and fire alarms.”
— Adam Kollin, owner, Sonic Alert, Troy, Michigan
“We’re already dealing with inflationary pressure, and these tariffs are just going to add to that. I’m afraid to say it, but there’s going to be some small businesses that won’t be able to absorb this. It just might be the thing that puts them over the edge.”
— Randy Peers, president and CEO, Brooklyn Chamber of Commerce, to Brownstoner
"The best way to empower American businesses and workers is by removing regulatory barriers. Free markets and free trade benefit the greatest number of people. It’s far better for America to let businesses succeed or fail on their own merits, rather than forcing them to adapt to artificial constraints like tariffs…"
— David Boyd, vice president, Payne Oil Company, Burlington, North Carolina
“If this is the end of my American dream, I'm going to go down swinging. We can't survive the short-term pain, and especially without any sort of plan in place to create the infrastructure here. ... It would take years and millions and millions of dollars to build such a thing that's been built overseas over decades. It's just not sustainable. And it's truly catastrophic to so many businesses, and big businesses and small businesses alike. But I really think small businesses are gonna be the casualty of this trade war.”
— Emily Ley, Simplified, Pensacola, Florida, to CBS News
“I’m terrified for my business, and I’m terrified for all the other small businesses in the United States right now, because we don’t know what to do, and we’re invested in our businesses. I could lose my home, and I don’t understand it, and I don’t know what to do.
After today’s announcement [pausing for 90 days], and the impending 104% tariff, I am abandoning my products in China. I am leaving them there because I simply cannot afford to ship them here. … It [the China tariff] has completely stifled my growth in big box retail, which has been our main goal for three years – to grow into that space because as a teeny, tiny business, that’s a huge achievement, huge for our brand. And now it’s halted.”
— Beth Benike, owner, Busy Baby, Zumbrota, Minnesota, to The Guardian
“The ongoing tariffs are having a direct impact on our vacation rental business, with cancellations from Latin American and Canadian guests and a noticeable drop in new bookings from these markets. While European travelers haven't begun canceling, they are holding off on making reservations, adding to the uncertainty. Combined with rising costs and broader economic volatility, these shifts are creating real pressure on our family business.”
— Heleena Sideris, general manager, Park City Lodging, Park City, Utah, and a U.S. Chamber Small Business Council member
"The proposed tariffs on Chinese imports will be devastating to small businesses like mine. These aren’t tariffs on luxury goods for mega-corporations; they’re affecting American-made wellness products built by entrepreneurs like me who are creating jobs, paying taxes, and promoting healthy living. We’re trying to grow and thrive, but these policies put that at risk.”
— Tyler Fish, founder, Sun Home Saunas, San Diego, California
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Reaction to 'Liberation Day' and the 90-Day Pause
“The 90-day pause does not really move the needle. Last week's tariffs will have a long-lasting impact, even if the tariffs have been lifted on all countries except for China. People around the world are skittish right now in doing business and visiting the United States. In terms of China directly, we currently have 50 bar stools for our brand-new restaurant on their way from China, and now we are facing tariffs on those chairs that were ordered six months ago.”
— Brooks Kirchheimer, co-founder, Hill Top Hospitality, and a U.S. Chamber Small Business Council member
“The 90-day pause in U.S. tariffs is a welcome relief, but as a business owner, it leaves me uncertain. This temporary measure does nothing to change the fact that the situation could shift at any moment without warning. … Clear and consistent policies are essential for businesses to thrive, make long-term investments, and ensure the well-being of our workforce. The time for decisive action is now to prevent further disruption and to foster a climate where businesses can grow and contribute positively to the economy.”
— Traci Tapani, owner and co-president of Wyoming Machine, and a U.S. Chamber Small Business Council member
“These [tariffs] are devastating. We ordered about $200,000 of product, already sold to customers, with pricing based on a 28% tariff. The extra 84% tariff threatened will cost us an extra $168,000 in tax that we can't even pass on to our customers. We are a very small company and don't have a lot of extra funds. If this tariff stays, we could be put out of business due to decreased demand, and our 10 employees will be out of a job. If the tariffs had not been increased, we were hoping to hire another engineer or two.
The 90-day pause does not help us at all because we import from China, whose tariffs have increased greatly since I wrote [the paragraph above]. Even if our products had been included in the pause, the uncertainty makes it extremely difficult to make any business plans. With tariffs changing daily, no one can accurately estimate their Cost of Goods Sold.”
— Lynnette Stokes, co-owner and CFO, Stokes Robotics, Carl Junction, Missouri
“With the expiration of the 90-day pause occurring well before our holiday order can reach the U.S., and compounded with the fact that producing in China is no longer an option at current tariff rates, we either place an order without understanding what our costs are, or we die a slow death.
— Adam Fazackerley, COO and co-founder, Lay-n-Go, Alexandria, Virginia, and U.S. Chamber Small Business Council member
“The 90-day pause on most tariffs has done little to change the situation at hand for millions of small businesses. Consumer confidence is at a 75-year low, and businesses are back in the position of not knowing how to plan for their Q3 and Q4 sales. A strong government gives American-owned companies the runway to execute their business plans for growth and profit; it doesn’t hamstring them with a poorly planned and unnecessary trade war. All we're asking for is the freedom to do our jobs and do them well.”
— Hadley Douglas, founder, The Urban Grape, Boston, Massachusetts, and Washington, D.C., and U.S. Chamber Small Business Council member
“I'm grateful for the 90-day pause on tariffs—it gives us a temporary window of stability and the ability to focus on the areas of our business we can actually control. That said, the constant back and forth creates uncertainty that's difficult to navigate for us and our clients and vendors. It’s hard to plan long-term when the rules can change so quickly. Stability is critical for small businesses trying to grow responsibly and those that rely on them.”
— Victoria Thomas, CFO and co-owner, Kellymoss, Fitchburg, Wisconsin, and U.S. Chamber Small Business Council member
“It’s a big shock to the system. We're going to have no choice but to pass this on, a portion of it, to our customers. It's a matter of survival.”
— Craig Freedman, CEO, Freedman Seating, Chicago, Illinois, to ABC 7 Chicago
Watch: In a recent special event for small businesses, the U.S. Chamber's Neil Bradley and John Murphy shared the latest on tariffs and how they are impacting small businesses.
Impact on Business Growth
Impact of Tariffs
Are tariffs impacting your business?
“We are a small custom metal products manufacturer. The increase in steel and aluminum tariffs directly impacts the input costs of our business, whether or not the metals we are buying are imported or not. Domestic producers are increasing their prices too...It's a simple tax increase for us that we can't absorb. We are raising our prices also, and seeing customers delay or cancel projects.”
— Sandra Ryan, vice president of operations, Ryan Industries, Inc., Hillsboro, Oregon
“My firm specializes in long-term growth consulting, and our five-year strategic plan rests strongly on expansion into international markets. Trade talks, tariffs, and shifting international relations will have a major impact on our ability to build the networks that we need to reach our goals.”
— Josh Brockway, founder and CEO, Key and Crown, Keller, Texas
“These are ridiculous tariffs that make no sense. Small businesses like mine have to pay these tariffs, and it’s not a small thing. It’s a lot. So, there’s no way to see this as something that’s good for anybody. ... People buy my shoes because they like them, but it’s a luxury item. ... If you feel like your job is shaky and the economy is shaky, your way of life is shaky, you go into survival mode. And in survival mode, most people don’t spend. And that comes back to hurt the small business owner.”
— Devlin Carter, founder, SIA Collective, New York, New York, to NBC News
Scrambling to Adapt
Small business owners say tariffs will impact their ability to grow and hire and are already making them less profitable.
Anxious Business Owners
“We’ll now be paying an additional 10% or more for all of our cocoa beans on top of their already elevated prices. This is not going to bring cocoa farming jobs to the U.S. or increase American manufacturing—it’s just going to hurt American chocolate manufacturers.”
— Matt Weyandt, co-founder, Xocolatl Small Batch Chocolate, Atlanta, Georgia to CBS News
“Our company, DensityUSA, a security fog business located in St. Louis, Missouri, is concerned about experiencing significant challenges due to the looming threat of new tariffs, and the uncertainty surrounding potential retaliatory measures. As a growing small company, these tariffs and tariff threats could not only hinder our capacity to expand and create jobs but also serve as a substantial obstacle for many similarly situated small companies. While the negative impact of tariffs on consumers is well-known, it is crucial to recognize that they also pose serious barriers to growth for businesses like ours.”
— Mike Egel, president, DensityUSA, St. Louis, Missouri
“We pursued our dreams 25 years ago and opened a manufacturing company for mountain bike components in Grand Junction, Colorado.
While we manufacture many of our products in the United States, we still import some key components and raw materials to support our production. And more importantly, we also export to Europe and Asia resulting in almost 50% of our annual revenue. Additional tariffs on the components and raw materials we are importing will increase our costs and increase the likelihood of retaliatory tariffs on our exported products adding additional headwinds against our small business.
I want to be optimistic that the new tariffs will be lifted soon and allow our company, and our dream, to continue to flourish. But being realistic, I am very concerned about the negative impacts of a trade war and our ability to continue to support our employees and our community.”
— Tim Frey, president and CEO, MRP Bike, Grand Junction, Colorado
“Since we sell aluminum and steel products for the commercial truck market, we are deeply concerned about the ramifications of tariffs being imposed. Inflation has negatively impacted the automotive industry and our aftermarket industry, and as a small business, it's been challenging to navigate in the last year. I cannot even imagine more bad news at this point.”
— Leslie Scafidi, president, American Automotive Aftermarket, Billerica, Massachusetts
More on Tariffs
Weighing the Cost of Staying Open
“There is no way for my business to buy cheaper without [lowering] quality, [and] that would risk my business reputation to stay in business. [I’m] not sure if I am willing to do that.”
— Ellen Randleman-Eldridge, owner, The Appliance Store & More, Berryville, Arkansas
One Company's Story
Cost to Consumers
"We are very concerned that most designers will have to add the tariffs. This will destroy our margin on past sales and most likely substantially reduce our future sales since we will have to increase prices for the tariffs. As a family business, we are very concerned.”
— Franco Salerno, co-owner, Darianna Bridal & Tuxedo, Warrington, Pennsylvania
“The recent increase in tariffs on imported goods will have a significant negative impact on my business. Many of the products I sell are imported, higher tariffs will directly raise my costs.
These increased costs will force me to either raise prices, which may drive away customers, or absorb the costs, which will threaten the sustainability of my business. Many of my customers are from immigrant communities who rely on these products as part of their cultural and dietary traditions, and price increases may make essential goods unaffordable for them.
I urge policymakers to consider the real-world consequences of these tariffs on small businesses like mine and the diverse communities that depend on them.”
— Bridget Ofor, owner, Nana African Market, Aurora, Colorado
See the State-by-State Impact
Impact on Americans
While the U.S. Chamber shares concerns about issues including border security, the scourge of fentanyl, and unfair trading practices around the globe, tariffs won't solve those problems and instead would lead to higher prices for Americans.
"The bottom line is this: tariffs are a tax paid by Americans, and their broad and indiscriminate use would stifle growth at the worst possible time," Chamber President and CEO Suzanne P. Clark said in her annual State of American Business address. She stressed that to boost economic growth, America must participate in the global economy. That includes seizing opportunities to increase trade.
In 2024, the Chamber unveiled the Growth and Opportunity Imperative for America, an initiative to urge policymakers to focus on a goal of 3% annual real economic growth, which will raise wages for workers and create new opportunities for Americans to reach their dreams.
