By Rachel Johnson Greer
All this talk lately of Trump and his tariffs has not only reignited debates about American manufacturing and international trade, it has reignited my disdain for the “reality TV” approach to governance used by the President.
As a small business owner who experienced the direct (negative) impact of Trump’s policies the first time around, I feel compelled to share my perspective on why these tariffs don’t, and never will, deliver on Trump’s promises.
But First, A Reality Check
Let’s be honest about American manufacturing: it cannot be rebuilt overnight. When manufacturing moved to China decades ago following bilateral trade agreements in the 1990s, entire ecosystems were established there. The infrastructure, experienced workforce, supply chains, and facilities are all firmly rooted overseas. (Re)Building comparable systems in America would take at least a decade and require substantial incentives beyond simple tariffs.
How Tariffs Actually Work (Or Don't Work)
The fundamental problem with the current tariff strategy is twofold:
- Insufficient margins: Even with tariffs of 10-20% (on top of previous 25% tariffs), the price gap between American-made and Chinese-made goods remains enormous. From my experience running a cut-and-sew business in Tennessee, we would have needed tariffs greater than 200% to compete fairly. The current rates simply don’t level the playing field.
- Easy circumvention: Chinese factories that own their entire production chain can simply declare lower prices on their paperwork, resulting in lower tariff payments. They can still offer products on platforms like Amazon at prices American businesses can’t match. They can also shift operations to countries like Thailand while maintaining ownership and profits, which is another thing American businesses aren’t easily able to do.
The Real Victims: Small American Businesses
The short-term effects are clear: American small businesses will suffer because we can’t match the prices of Chinese competitors. Large corporations with significant cash reserves can weather the storm better, but many small businesses—like my former cut-and-sew operation—simply won’t survive. And the Trump Administration doesn’t care.
Most small business owners, like most Americans, operate on tight margins. We don’t have the luxury of enduring “temporary hardships” that these policies create. The notion from lawmakers that we should simply accept these difficulties for some nebulous future benefit shows a profound disconnection from economic reality.
My Personal Experience
My cut-and-sew business was devastated during the previous Trump administration. When COVID hit, we lost 99% of our business since we primarily made Halloween costumes and dance wear. The Paycheck Protection Program (PPP) offered only 2.5 months of coverage—woefully inadequate for a business facing two years without revenue.
I had to lay off 90% of my workforce and eventually transitioned to offering storage in our warehouse just to cover basic expenses. Despite tariffs supposedly protecting American businesses, we were left vulnerable and ultimately couldn’t survive.
Who Really Benefits?
The real beneficiaries of current tariff policies are clear: large corporations with deep pockets and, to a lesser degree, Chinese companies capable of shifting production to avoid the impact. Small American businesses—which employ more than half the country’s workforce—are left struggling, along with consumers. But again, though Trump ran on promises of caring about small business, and the American people, he just doesn’t.
Organizations like the Chamber of Commerce, despite claiming to represent business interests, primarily advocate for big business. Small businesses, the backbone of the American economy, continue to lack meaningful representation in policy decisions. It’s infuriating.
Moving Forward
For tariffs to genuinely help American businesses, they need to be part of a comprehensive strategy that includes:
- Substantial grants and incentives for rebuilding American manufacturing infrastructure
- Realistic timeframes that acknowledge the complexity of reshoring production
- Protections specifically designed for small businesses such as emergency loans or grants (such as the EIDL program)
- Measures to prevent circumvention by foreign manufacturers
Until policies reflect the actual challenges faced by small business owners, claims about “bringing back American manufacturing” remain hollow promises that harm the very businesses they claim to protect.
As someone who has built and lost businesses under these policies, I can confidently say that the current approach doesn’t help Americans—it hurts us. Anyone who claims otherwise simply doesn’t understand the realities of running a small business in today’s world.
