Coalition of Over 700 Small Businesses Files Supreme Court Brief Detailing Devastating Impact of IEEPA Tariffs

We Pay the Tariffs coalition amicus filing includes testimonials from 30 small businesses; Brief details how U.S. small businesses face closures, layoffs, and over $100 billion in costs

WASHINGTON, D.C. – We Pay the Tariffs, a grassroots coalition representing more than 700 small businesses from across the United States, today filed an amicus curiae brief with the U.S. Supreme Court in support of legal challenges to tariffs imposed under the International Emergency Economic Powers Act (IEEPA). The brief provides detailed testimony from American businesses documenting the severe economic harm caused by the tariffs.

The Supreme Court will hear oral arguments on November 5, 2025, in consolidated cases (Nos. 24-1287 and 25-250) that challenge the legal authority used to impose sweeping tariffs on imported goods. The Court fast-tracked review of these cases, which could mandate over $100 billion in tariff refunds if the justices rule the tariffs were imposed illegally.

"We file this brief to demonstrate the major economic impact of the IEEPA Tariffs on American small businesses," the brief states. "These testimonials represent the real experiences of American businesses and offer critical insight into the ruinous economic impact of the IEEPA Tariffs."

VOICES FROM MAIN STREET AMERICA: SWORN TESTIMONIALS

The amicus brief features sworn testimonials from business owners across industries, from game manufacturers to food importers to retailers, detailing how tariffs have devastated their operations:

COO of Cephalofair Games (Rocklin, CA): "Tariff volatility has meant job eliminations, company-wide furloughs, and product delays/cancellations. We've paid approximately $144,027.46 in NEW U.S. tariffs in the last few months alone, and had multiple products stuck overseas for months during tariff volatility. We are a U.S. Company. We have U.S. employees. We have U.S. families. WE pay these U.S.-imposed Tariffs."

Owner of Mike's Organic Foods (Boise, ID): "Tariffs have made it incredibly difficult to sustain our business as the margins in the packaged food industry are slim even without the imposed tariffs, which are now collectively 26% for Thailand. We have used all of our savings, maxed out credit and borrowed to keep the business afloat. Due to the 26% tariffs, we have stopped production until further notice as we do not see a way forward unless these tariffs are removed and repaid. We will begin to close down operations by the end of the year if this situation persists."

President of Deer Stags Concepts, Inc. (New York, NY): "We are a family-owned footwear company founded three generations ago, in 1964. When the tariffs were raised to an additional 145% in April, we were forced to halt all shipments from China, as we simply could not afford to pay them. In an effort to protect our shelf space and long-standing retail partnerships, we resumed shipments from China, but doing so has forced us to take on losses that threaten the survival of our 61-year-old family business."

Owner of WorldFinds (Westmont, IL): "As a small business working in fair trade, we have faced unique challenges due to the huge tariffs on our handmade, small batch jewelry and accessories from India. It's put an incredible strain on our finances; we already operate on razor thin margins, and we don't have large cash reserves to cover a stacked tariff rate that's currently 61%. To be clear, I pay the tariffs. For every $10,000 in artisan product I import, I now need to have $6100 sitting in my bank for Customs to take out as soon as the items are cleared."

Owner of Sarah Wells Bags (Fairfax, VA): "The compounding effect of the new 2025 tariffs on top of the existing Section 301 tariff has been devastating for my small business. We have had to lay off employees, leave open roles unfilled, and run out of key inventory going into the holiday season. The instability created by these tariffs has left us with no ability to plan, and it threatens the long-term viability of my small business."

CEO of EarthQuaker Devices (Akron, OH): "We have spent more than $40,000 in tariffs this year. By 2026 we will experience a 30% increase in our cost of goods sold. Our sales revenue is down 10% year over year. Our exports are down 25% year over year. We have implemented a hiring freeze. We have delayed or cancelled product launches."

CEO of Greenbar Distillery (Los Angeles, CA): "As one of America's oldest craft distilleries, 21-year-old Greenbar Distillery prides itself on sourcing and showcasing local ingredients, as well as making and bottling all of our own products in house. Given the current situation, we're planning to automate and cut our production workforce by ~40%. It's not something we relish doing but we're left with few other options."

CEO of REEKON Tools (Massachusetts): "At REEKON Tools, money we are paying in tariffs is directly being taken from hiring and working on more R&D projects while we try our best to maintain pricing. R&D and startups are the backbone of innovation in the US and other countries are laughing at us as they continue to pour hundreds of thousands to millions into R&D while we stay scrappy to keep up."

Owner of Flora (Nashville, TN): "We are a plant care technology company featured on Shark Tank for the invention of a smart plant sensor. Our production has been delayed by 6 months, and our development and innovation efforts have been delayed by another 6-8 months. We have also had to reduce headcount by approximately 25%. Tariffs have been an existential threat for us."

Owner of Mojo Spa (Chicago, IL): "The recent tariffs have severely increased costs, with some ingredients rising up to 400%. This has forced me to discontinue more than half of my product line, including product bestsellers. I have taken out loans, paused projects that would have generated growth, implemented a hiring freeze, and cut staff hours simply to stay afloat."

Owner of Scottish Gourmet USA LLC (Greensboro, NC): "We have already paid over $5,000 in extra tariffs this month. The net effect is we have postponed a move to a larger facility, deferred hiring on additional staff by months, and have had to borrow money at high rates to pay the tariffs as the product arrives here for our busy Christmas season."

Owner of Charles R. Gracie & Sons, Inc. (New York, NY): "Since 1927, Charles R Gracie & Sons Inc. has imported hand painted Chinese wallpaper. On Liberation Day, we had many confirmed orders in production for our interior design clients, and no option to pause imports when tariffs jumped to 145%. We absorbed $117,000 in tariffs during the following weeks. We were recently presented with an opportunity to expand our showroom space in New York City; however, due to unpredictability and reduced profits resulting from the tariffs, we have decided not to proceed."

Owner of Planetary Design (Bonner, MT): "The tariffs are so capricious and arbitrary in nature it makes running a business extremely difficult. We raised our prices by 20% in the USA ONLY to offset the taxation and impact of these unplanned tariffs. We have absorbed several hundreds of thousands of dollars impacting our bottom line and ability to invest in people, innovation and growth. We reduced our US workforce by 10% and plan on no additional hires for the foreseeable future."

Owner of Rokland LLC (Gainesville, FL): "On March 3, 2025, the White House announced EO 14228 which increased an earlier 10% tariff imposed on China to 20%. This particular EO did not include an exemption for shipments on vessel, so shipments we had already paid for and that were en route to us were subject to additional tariffs upon clearance into the USA. This would be akin to going to file and pay your taxes on Tax Day and being told a new executive order requires you to pay twice as much."

Owner of Village Lighting Co. (West Valley City, UT): "To date, we have paid more than $500,000 USD in tariffs, with additional shipments still inbound. This amount was entirely unbudgeted and has placed significant strain on our company's finances. We're just trying to survive this year, if something doesn't change, I'm not sure we can survive another."

Owner of Hiblow USA, Inc. (Saline, MI): "We have paid over $575k year to date in 2025 and our tariff bill could be over $2 million per year if the current rates stay in effect. Covid was a huge financial hit for us, we never laid off any employees. We were finally back in a growth phase and planning to purchase buildings in both Michigan and Texas and increase head counts in both locations. However, the reciprocal tariffs have cancelled all plans for growth and expansion at this time."

Owner of Wild Rye (Ketchum, ID): "The tariffs on our ~$1.5M worth of product for Spring 2026 (ordered almost 6 months ago, back in June 2025) would lead to a $2.25M tariff bill, taking our total cash outlay from the pre 2025 expected $2M to $3.75M (an increase of $1.25M paid by us, an American business, employing American citizens and selling almost exclusively to US customers and retailers)."

Owner of 2 Hounds Design (Indian Trail, NC): "The impact on Mental Health and the impact on Small Business Owners having to run their company while also trying to figure out what fresh hell today brings. I have a team of 50+ humans making products, marketing, and selling and I feel a huge responsibility to make good decisions because I am very well aware that the choices I make will impact many lives (not just my team, but their families)."

ECONOMIC IMPACT BY THE NUMBERS

The brief highlights that small businesses represent 99.9% of all U.S. businesses and account for nearly 46% of U.S. employment. U.S. small businesses are critical participants in international trade, with the majority being both importers and exporters.

"American small and micro businesses, whether traders, manufacturers, retailers, or wholesalers, are the bedrock of the United States economy," the brief argues. "For many, the IEEPA Tariffs—imposed without legal authority and with no public participation, comment, or even sufficient notice—pose an existential threat to survival."

KEY ARGUMENTS IN THE BRIEF

While constitutional questions have been addressed by the parties in the case, We Pay the Tariffs focuses its brief on demonstrating real-world economic consequences in six key areas:

Business shut-downs and struggles to survive: Companies with years or even decades of operations have been forced to close or teeter on the edge of bankruptcy.

Layoffs and hiring freezes: Businesses have eliminated positions, frozen salaries, and halted expansion plans that would have created American jobs.

Loss of competitive advantage: Small businesses cannot invest in research and development while paying unexpected tariff bills, causing them to lose market share to larger competitors.

Increased consumer prices or lowered product quality: Businesses face impossible choices between raising prices for customers or reducing product quality.

Unanticipated costs for previously purchased goods: Products ordered months in advance suddenly face massive unexpected costs, with no ability to adjust pricing or sourcing in time.

Business insecurity in the name of national security: The unpredictable and ever-changing nature of tariff implementation has created chaos for businesses that depend on predictable trade conditions.

The brief was filed by Gilbert Lee Sandler of Sandler, Travis & Rosenberg, P.A., serving as counsel of record for the amicus.

ABOUT WE PAY THE TARIFFS

We Pay the Tariffs is an ad hoc coalition of small and micro businesses launched in 2025 to advocate against tariffs imposed under IEEPA. The coalition provides a platform for businesses to share their experiences and coordinate advocacy efforts. Members include restaurants, small manufacturers, retailers, game companies, importers, and other enterprises from every region of the United States. The vast majority of coalition members have eight or fewer employees.

For more information, visit www.wepaythetariffs.com or contact press@wepaythetariffs.com.

To view the full amicus brief, visit https://www.supremecourt.gov/DocketPDF/24/24-1287/380530/20251024133649660_Tarrifs%20Amicus%20Document%20E%20FILE.pdf

To view an impact map of small businesses in the coalition and state specific tariff data visit: https://www.wepaythetariffs.com/impact-map