Full Breakdown
Impact of Trump's Tariffs on Small Businesses During the Holiday Season
11/29/2025, 7:56:55 PM
Core Event: Small Businesses Struggle Under Tariff Pressure
Donald Trump's tariffs have significantly increased prices on a variety of holiday goods, leading to a substantial number of small businesses facing closure, according to industry leaders. As the holiday season approaches, many small business owners express concern over their financial viability, with some fearing that their investments may never yield returns.
Voices from Small Business Owners
Joann Cartiglia, owner of Queen’s Treasures, a toy company in Ticonderoga, New York, shared her distress, stating, “My husband and I invested a lot of our retirement money into this business, and now I have absolutely no hope of retirement.” She, along with many others, feels that government policies are directly threatening their livelihoods. Jared Hendricks, who operates Village Lighting Co in West Valley City, Utah, reported that his tariff costs are nearing $1 million this year, emphasizing, “At this point, we’ve kind of transitioned from working for profits to working for tariffs.”
Boyd Stephenson, owner of Game Kastle College Park in Maryland, noted that the rising costs due to tariffs have severely impacted his business. He remarked, “Most of my manufacturers and publishers don’t really have the space to absorb, or to pass on price increases to their customers, so they’re getting squeezed.” The sentiment among small business owners is one of fear and uncertainty as they navigate the complexities of the current economic landscape.
Survey Insights on Small Business Sentiment
A survey conducted by Small Business for America’s Future revealed that 71% of small business owners anticipate a negative impact from tariffs on consumer spending during the holiday season, with 44% expecting a very negative effect. Additionally, 44% of respondents reported raising prices due to tariffs, and 74% expressed concerns about their business's survival over the next year.
Official Statements & Responses
The Trump administration maintains that the costs associated with tariffs will ultimately be borne by foreign exporters, with White House spokesperson Kush Desai asserting that tariffs are intended to secure new trade deals and stimulate investments in the U.S. economy. Desai emphasized that the administration is also pursuing a pro-growth agenda through tax cuts and deregulation to support businesses.
Criticism & Opposition
Despite the administration's claims, many small business owners argue that the tariffs disproportionately affect them due to their smaller profit margins and inability to absorb increased costs. The ongoing challenges have led to a wave of closures in the toy and game industry, with many owners expressing frustration over the lack of support and relief from the government.
What's Next: Future Implications
As the holiday season progresses, small business owners are bracing for further challenges if tariff relief is not provided. Industry leaders warn that price increases seen this year may be minor compared to what is expected in the future, particularly if the current trade policies remain unchanged. The complexity of supply chains for holiday goods adds to the uncertainty, with many businesses fearing they may not survive the ongoing economic pressures.
