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Valentine's Day Tariffs: The Only Thing Getting Crushed This Year Are American Small Businesses
Small jewelry and chocolate businesses face devastating cost increases; Popular Valentine's Day gifts faced over $3 billion in extra tariffs in just 9 months FOR IMMEDIATE RELEASE WASHINGTON, D.C. – February 12, 2026 – As Americans prepare to celebrate Valentine’s Day, small businesses that supply the holiday’s most iconic gifts, including jewelry and chocolate, are warning that tariffs are forcing them to raise prices or risk closing their doors. We Pay the Tariffs, a grassr
We Pay the Tariffs
2 days ago
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Small Business Stories
Tariffs Are Raising Costs for a Michigan Manufacturer Making Products in the U.S.
A small manufacturer in Michigan designs and produces sewn products in the United States, supporting U.S. jobs and building products locally . Like many manufacturers, the company sources inputs from a mix of U.S. and international suppliers. But some of the materials they need simply aren’t available in the U.S. today . When tariffs raise the cost of those essential inputs, the impact is immediate. The added costs don’t reflect a change in how or where the company manufact
We Pay the Tariffs
4 days ago
An American Manufacturer Still Paying Tariffs on What the U.S. Doesn’t Make
In Monroe, North Carolina, a 10-employee eyewear company has been manufacturing in the United States for nearly eight decades: designing, producing, and assembling eyewear domestically. But even a company with that history can’t escape today’s tariff reality. As the business explained: “We are a fully integrated manufacturer of eyewear in the U.S. since 1947. We import a lot of raw materials and components that simply aren’t made in the U.S. ” That reality leaves the c
We Pay the Tariffs
4 days ago
From 3% to 55%: Tariffs Are Overwhelming a Third-Generation Ohio Business
For a third-generation, family-owned company in Ohio that wholesales and manufactures equine products, tariffs have gone from a manageable cost to an existential threat. The business supplies equine products to many other small companies across the United States — a supply chain built over decades. Before 2018, tariffs averaged around 3%. That changed dramatically with the China Section 301 tariffs, which pushed rates to 25%. Now, the latest round of tariffs has pushed the
We Pay the Tariffs
Jan 20
A One-Person Shop, Squeezed by Rising Input Costs
A sole proprietor who designs and hand-builds craft amplifiers entirely in the United States expected that making products domestically would shield the business from trade disruptions. Instead, rising tariff-driven input costs have made it harder than ever to keep building here . Every amplifier is designed, assembled, and tested in the U.S. — but the electronic components required to build them are sourced globally, and many simply aren’t made domestically at any viable s
We Pay the Tariffs
Jan 20
Tariffs Are Shrinking Construction Pipelines for Small U.S. Manufacturers
For Harding Autoparts Systems (APS), a 12-employee company based in Denver, tariffs are doing far more than raising the cost of steel and equipment. They are shrinking the entire pipeline of construction projects the company depends on. Harding APS supplies mechanical parking systems and steel components used in real estate developments nationwide. This year, the company has paid over $500,000 in additional tariffs — but the most damaging impact is what happens after those
We Pay the Tariffs
Jan 20
A Texas Manufacturer Paid Over $1 Million in Tariffs — While Producing in the U.S.
In Missouri City, Texas, a manufacturing company with fewer than 50 employees is doing exactly what policymakers often say they want: producing goods in the United States . Yet this year, the company has paid more than $1 million in additional tariffs . The reason is straightforward. While final production happens domestically, some raw materials must be sourced overseas — inputs that simply aren’t available in the U.S. at the scale or specifications required. As the company
We Pay the Tariffs
Jan 12
Building Instruments in America — and Fighting Tariffs at Every Step
Cosmodio Instruments is a five-person company in Bedford, Massachusetts, designing and hand-assembling electronic musical instruments in the United States. It’s exactly the kind of small manufacturing business policymakers often say they want to support . But tariffs are making that work harder, not easier. While Cosmodio designs, builds, and assembles its products domestically, it relies on materials like PCBs and electronic components that are largely unavailable in the U.S
We Pay the Tariffs
Jan 12
After 22 Years in Business, Tariffs Are Pushing This New Jersey Company to the Brink
Babco Foods International, a New Jersey–based company, has spent more than two decades building a stable business. This year, that stability has unraveled — not because of falling demand or mismanagement, but because of tariffs that have drained the company’s cash flow at an unprecedented rate . Babco shared the reality they are facing : “Babco Foods is suffering huge cash-flow issues as a result of paying 50% in tariff on goods imported from India. We are a 22-year-old comp
We Pay the Tariffs
Jan 12
For Importers, Tariffs Stack and Jobs Are the First to Go
In Lakeville, Massachusetts, a small spirits importer distributes French spirits to customers in 40 states . Nearly 95% of the business depends on imports from France — a model that worked for years under stable trade and currency conditions. This year, that stability disappeared. The company is now facing a 15% tariff on imported spirits — on top of a 12–15% loss from currency exchange rates . Together, those forces have created cost increases that simply can’t be pa
We Pay the Tariffs
Jan 7
Even “Reduced” Tariff Rates Are Still Too Much for Small Breweries
For a small brewery and café in Bellingham, Washington, recent trade “deals” and reduced tariff rates haven’t brought relief. They’ve simply locked in higher costs that are still difficult — and in some cases impossible — for a small business to absorb. The brewery produces about 500 barrels a year and imports malt directly from a German maltster. Even at a 15% tariff , combined with a 10% decline in the value of the U.S. dollar , the cost of malt has risen sharply
We Pay the Tariffs
Jan 6
Tariff Volatility Is Costing Jobs at a Small California Game Company
Cephalofair Games, a seven-person company based in Rocklin, California, designs and publishes board games enjoyed by families around the world. It’s a U.S. company that hires U.S. workers — and one that has been hit hard by sudden tariff swings. As the company shared: “ Tariff volatility has meant job eliminations, company-wide furloughs, and product delays . We are a U.S. Company. We have U.S. employees. We have U.S. families. WE pay these U.S. imposed Tariffs.” For a bu
We Pay the Tariffs
Jan 5
Tariffs Are Breaking Fixed-Price Contracts for Small Suppliers
A small company that sells housewares and sewing supplies primarily to schools operates under a common but rigid system: year-long state contracts . Once those contracts are signed, prices are locked in — even if costs change months later. That’s exactly what happened when tariffs took effect. Most school orders arrive eight months after contracts are signed , long after suppliers began raising prices. Some increases were steep — 20% to 40% — even on products labeled “M
We Pay the Tariffs
Dec 23, 2025
$1.5 Million in One Year: How Tariffs Are Reshaping a Women’s Accessories Company
For HOBO Bags, a women’s accessories company designing and selling handbags across the U.S., tariffs are no longer a marginal cost. They are a defining feature of the business. In 2025 alone , tariffs added $1.5 million in unplanned costs . And the pressure is accelerating — in 2026 , the company is already tracking $1.1 million in tariff costs in just the first quarter . These aren’t abstract projections. They’re real dollars pulled away from operations, inventory plan
We Pay the Tariffs
Dec 23, 2025
Missouri Home Decor Company Says Tariffs Are Stopping Hiring and Expansion
In Kirbyville, Missouri — a rural community in southwest Missouri — VHC Brands, Inc . employs 23 people designing, importing, and distributing home décor products sold across the United States. The company’s products are sourced in India, a supply chain built over years and not easily replaced. But in recent months, tariffs have become an overwhelming burden. The company shared this reality: “The tariffs are drafted directly from our checking account by U.S. Customs and Bo
We Pay the Tariffs
Dec 23, 2025
Tariffs Are Stalling Growth for New Small Businesses
Austri Aura, a small gift shop in Woodstock, Illinois, is just over two years old — a point when many small businesses are ready to take their next step: hiring help, expanding offerings, and investing back into their operations. But tariff uncertainty has put that progress on hold. The owner explained the situation simply: “My business is just a little over two years old and has been growing to the point I need to hire an employee. But with the uncertainty of tariffs, I ca
We Pay the Tariffs
Dec 19, 2025
Tariffs on Essential Inputs Are Hitting U.S. Manufacturers
In Kennesaw, Georgia, a six-person specialty chemical manufacturer is being squeezed by tariffs on raw materials that are not produced in the United States — and that cannot be easily replaced. The company relies on chemical inputs sourced from China, Japan, and India , materials that simply don’t have domestic alternatives . When tariffs were imposed, the cost didn’t fall on foreign producers. It landed squarely on this small U.S. manufacturer. They described the impa
We Pay the Tariffs
Dec 18, 2025
When Tariffs Hit Low-Margin Businesses, Sales Disappear
For a family-owned business in Anaheim, California, tariffs aren’t a line item that can be absorbed or offset — they’re an immediate threat to survival. Operating in a highly competitive market with extremely low margins , this small company prices its products directly based on what it costs to produce them. There’s no cushion. No room to absorb sudden increases. They explained it plainly: “ As a small company, we are unable to absorb the tariffs . We face extremely low
We Pay the Tariffs
Dec 15, 2025
How One Tampa Store Was Blindsided by Tariff Costs
Before this year, EndlessPens — a four-person stationery shop in Tampa — operated with stable, predictable tariff rates. Just a few percentage points here and there. Nothing that disrupted planning or threatened the business. That changed overnight. In April, tariffs on the pens and stationery they import from multiple countries jumped from 2.75%–4% to 15%–25% . The timing couldn’t have been worse: the company had already placed orders, paid deposits, and locked in contrac
We Pay the Tariffs
Dec 11, 2025
When Tariffs Hit What the U.S. Can’t Produce: A Maine Seafood Importer’s Story
In Portland, Maine, a two-person seafood importer is facing an impossible situation. Their business depends on fresh fish from Iceland and Norway — species that U.S. boats cannot harvest in sufficient quantities due to long-standing sustainability regulations designed to prevent overfishing in American waters. Under normal circumstances, the company operates on a 10–15% margin, competing with a wide range of center-of-the-plate proteins. But since this summer, nothing abou
We Pay the Tariffs
Dec 9, 2025
Atlanta Small Business Faces $300,000 in Tariffs with No Way to Recover Losses
For a 10-person company based in Atlanta, Georgia, this year’s tariff shocks have been financially devastating. Despite careful planning, stable supplier relationships, and long-term purchasing contracts, they’ve been hit with more than $300,000 in additional tariffs — a burden that no small business can absorb. They explained their situation: “We had previous orders from 2023 and 2024 that didn’t arrive until 2025. There’s no chance to recoup the 15%–50% tariff on the di
We Pay the Tariffs
Dec 8, 2025
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