Small business owners on damage from Trump’s tariffs

Beth Benike, a mom, veteran, and small business owner, is raising concerns about the impact of President Trump’s 145% tax on Chinese imports on her company, Busy Baby. After serving in the Army for a decade in various countries, Benike started Busy Baby in Minnesota, producing placemats and utensils for babies and toddlers, all made in China. With the new tariffs in place, Benike is facing a significant financial burden to import her products into the country.

“We have three months’ worth of products sitting at the factory,” Benike explained. “And now, in order to get it here, we need $230,000 on top of what we’ve already paid for the product, just to get it in the country.” This added cost is threatening the survival of her business, as she struggles to find a way to cover the expenses.

Despite striking a deal with major retailers like Target and Walmart, Benike is now in a precarious position. The tariffs have forced her to take out a loan from the Small Business Administration, with her house serving as collateral. The uncertainty of the situation has left her with dwindling inventory in her warehouse, with no new products on the horizon.

One of the retailers that Benike supplies, Little Roo’s, has noticed a shift in customer behavior due to the tariffs. Customers are now stockpiling baby registry gifts to ensure they can still get the products they need, as prices continue to rise and availability becomes uncertain.

Economists predict that the tariffs will lead to increased prices and potential shortages in various industries, affecting households across the country. Families may see an additional $5,000 in household expenses each year due to the tariffs, creating financial strain for many.

While the Trump administration justifies the tariffs as a way to bring manufacturing back to the U.S., small business owners like Benike find it unfeasible to produce their goods domestically due to the high costs involved. Benike remains hopeful that the situation will improve in the future, but for now, she is exploring options to become a global brand and weather the storm of the current trade environment.

Despite the challenges she faces, Benike draws inspiration from her military background, embracing the motto of “improvise, adapt, and overcome.” She remains determined to keep her business afloat and believes that eventually, things will turn around. The uncertainty of the current trade landscape has forced small business owners like Benike to navigate uncharted waters, but their resilience and determination may prove to be their saving grace in the face of adversity.