Tariffs as well as uncertainty regarding tariffs have begun to harm small businesses, according to a recently Senate Joint Economic Committee – Minority report.
The report, released to coincide with National Small Business Week, also provides the experiences of 15 small-business owners.
“Small-business owners are innovative, driven, and scrappy – they often operate on razor-thin margins and are constantly finding new ways to grow,” U.S. Sen. Maggie Hassan (D-NH), committee ranking member said. “But President (Donald) Trump’s tariffs are needlessly causing immense uncertainty for small-business owners, forcing them to make layoffs, increase prices for their customers, and even close their doors. Through new data and the direct experiences of individual small business owners, this report demonstrates the ways in which tariffs are already hurting small businesses.”
The report found that, since Trump took office, employment at businesses with fewer than 10 employees declined 3 percent. During the first months of Trump’s first term, the decline was only 0.1 percent and when President Joe Biden took office, there was a 1.2 percent hiring increase.
In March, 30 percent of small business owners reported they plan to increase prices.
For the third consecutive month, the net percent of small-business owners expecting better business conditions declined to 21 percent.