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Tariffs Are Squeezing Main Street Businesses

Tariffs aren’t just affecting supply chains—they’re hitting the heart of America’s small towns.


As letter signer Kelli Winchester, owner of Margaret’s Boutique, Inc., explains, even thriving local stores are struggling to stay afloat under new tariff costs:

“I cannot impress upon you enough how impactful these tariffs are on small businesses. My store is in vibrant Decorah, Iowa. We are one of the few main streets that are flourishing in our state. I know of other small businesses debating on how long they will be able to last into the new year. The tariffs are causing us to reach a point where customers will not pay for our products if we pass on the tariffs charged to us. If we don’t pass on the cost, we will have no profit margins and will be unable to afford staff, lights, heat, etc.”

For Kelli and countless other small business owners, tariffs aren’t an abstract policy debate—they’re a day-to-day crisis. On already tight margins, there’s no room to absorb massive new costs. Yet passing them on risks losing customers who can’t afford higher prices.


These pressures threaten not only small business owners but also the local economies they sustain. Shops like Margaret’s Boutique provide good jobs, support local suppliers, and keep money circulating on Main Street. When tariffs squeeze small businesses out of the market, it’s not just one store that suffers—it’s the entire local economy.


If policymakers want to keep Main Streets strong, they must take action to relieve the tariff burden on small businesses before more are forced to close their doors.



 
 
 

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