AmiSight 12/13: Tariff Talk: What’s on the Minds of Small Business Owners

Many small businesses are rethinking their plans after Donald Trump won the November election and vowed to impose tariffs on imports from China, Mexico, and Canada.

The Wall Street Journal reports that about one-third of 500 surveyed small business owners cited tariffs as the Trump administration policy change most likely to affect them. The survey, conducted by Vistage Worldwide—a business-coaching and peer-advisory firm—found that tariffs were second only to tax policy in terms of anticipated impact. 

While companies of all sizes are wondering how the tariffs will affect them, small businesses—which typically have less-diversified supply chains and thinner profit margins—are particularly worried.

Some businesses are taking actions now, such as counter sourcing production to other places like Vietnam or Kenya and ensuring large shipments arrive before the January inauguration. Others are taking a wait-and-see approach before they make any major decisions on production or pricing.