SCOTUS Tariff Decision Opens Door to Much-Needed Relief for Small Businesses

“America’s small businesses are grateful that the U.S. Supreme Court has placed limitations on a president’s ability to impose tariffs. This decision is critically important because small businesses can do very little to avoid the rapidly rising costs of goods that result from tariffs. In fact, sweeping tariffs have already forced many small firms to make difficult decisions, including limiting or even ceasing operations. Others have been forced to pass higher costs on to customers. And while small businesses struggle, larger businesses have greater flexibility to absorb increased overhead and the power to negotiate exemptions from tariffs, allowing them to keep their prices lower and undercut their smaller competitors. Moreover, small businesses do not have the adaptability of large firms that are better equipped to withstand the uncertainty caused by ever-changing tariff levels that sometimes fluctuate from month to month.

Small business concerns about tariffs are reflected in Small Business Majority’s research, which found that half of small business owners have increased the price of certain materials or products, 29% have delayed importing materials or goods and 22% have delayed business expansion plans due to recent changes in tariff policy.

Although bringing an end to most tariffs will undoubtedly benefit Main Street, we know that tariffs have already caused significant and irreparable harm to many small businesses. We hope that today’s decision is a step forward for small businesses that need more certainty as well as relief from high prices in order to continue operating.”