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Impact of Trump’s Tariffs on Small Businesses: A Growing Concern

9/19/2025, 9:00:13 PM

Overview of the Tariff Challenges

On September 18, 2025, Senator Maria Cantwell (D-Wash.) joined small business owners from the Northwest at the U.S. Supreme Court to address the detrimental effects of President Donald Trump’s tariffs on their operations. The Supreme Court is set to hear arguments in November regarding the legality of these tariffs, which were enacted under the International Emergency Economic Powers Act. Cantwell emphasized that small businesses are struggling to survive under tariffs that can reach as high as 50%, creating an unstable environment for planning and growth.

Voices from Affected Businesses

Travis McMaster, owner of Cocoon, a travel gear company based in Wenatchee, Washington, recounted his experience of shifting manufacturing from China to India to avoid tariffs, only to face a sudden increase in tariffs on Indian imports. He stated, “Did the right thing, shifted out of China to a country where there was opportunity. We need to put a stop to this, these quick changes.” Similarly, Michael Buechli, co-owner of Boise-based Mike’s Organic Curry Love, expressed despair over a 19% tariff on ingredients sourced from Thailand, stating, “The grocery business is pretty tough without tariffs... it’s basically impossible to continue the business.”

Legislative Responses and Perspectives

Senator Cantwell criticized Congress for not reclaiming its authority over tariffs, warning that without timely relief, millions of jobs could be lost. She stated, “Small businesses are paying the Trump tariffs... If relief doesn’t come fast enough, millions of jobs will be lost and livelihoods will be decimated.” In contrast, Senator Mike Crapo (R-Idaho), chair of the Senate Finance Committee, indicated that even if the Supreme Court rules against Trump’s tariffs, the president could invoke other authorities to maintain similar policies.

Broader Implications for Small Businesses

The National Retail Federation has highlighted that small businesses are particularly vulnerable to the impacts of high tariffs, which contribute to rising costs and supply chain uncertainties. Retailers like Greg Shugar, owner of Beau Ties of Vermont, noted that even domestic manufacturers face increased costs due to tariffs on raw materials imported from abroad. “Tariffs contribute to increased costs... some of which we have to pass on,” he explained.

Criticism and Opposition

Democratic lawmakers have voiced strong opposition to the tariffs, particularly regarding their disproportionate impact on Asian-American businesses. Congresswoman Grace Meng (D-NY) stated, “Asian-American businesses and communities are treated as collateral damage,” highlighting the struggles of small businesses forced to choose between raising prices or closing down. This sentiment was echoed by Congresswoman Judy Chu (D-CA), who described the tariffs as a “cruel betrayal” causing “needless pain and uncertainty.”

Conflicting Reports & Gaps

While many small business owners report severe financial strain due to tariffs, some lawmakers and business advocates argue that the long-term benefits of Trump's trade policies may justify short-term hardships. However, the lack of clarity regarding future tariff policies and their implementation creates significant uncertainty for small businesses, complicating their ability to plan effectively.

Verbatim Quotes

  • “Small businesses are paying the Trump tariff,” — Maria Cantwell, U.S. Senator
  • “I’ve had to stop ordering product from Thailand because I just can’t really afford to pay the tariffs that are necessary, and also we wouldn’t make any profit,” — Michael Buechli, Co-owner of Mike’s Organic Curry Love
  • “Did the right thing, shifted out of China to a country where there was opportunity.” — Travis McMaster, Owner of Cocoon
  • “Asian-American businesses and communities are treated as collateral damage,” — Grace Meng, U.S. Congresswoman

As the Supreme Court prepares to hear arguments regarding the tariffs, the fate of many small businesses hangs in the balance, underscoring the urgent need for a stable and predictable trade policy.