If you’re a small business owner who imports products or materials, you’ve probably heard the word “tariff” tossed around lately. And if your costs have gone up without much explanation, tariffs might be the reason.
Let’s break down what they actually are, what’s changing in 2025, and why this matters—especially if you’re running a lean business.
TL;DR: What You Need to Know
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Tariffs are taxes on imports.
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Small, low-cost imports now get hit with a 54% tariff.
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Costs are going up, even if you don’t notice it yet.
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Planning ahead and adjusting your sourcing is key.
So… what are tariffs?
Tariffs are basically taxes placed on products coming into the country from abroad. The government uses them to:
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Make imported products more expensive (so local ones are more appealing)
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Raise money
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Respond to unfair trade practices (like when another country dumps cheap goods into the market)
If you’re a small business that buys supplies or finished goods from overseas—stickers, ingredients, packaging, merch, or even tools—tariffs can directly impact what you pay.
What’s New in 2025?
Here’s what’s happening now that’s worth your attention:
1. Big Tariff Hike for Imports Under $800
Before: If you bought something from overseas and it was under $800, you didn’t have to pay any tariffs.
Now: That exemption is gone. As of May 2025, imports under $800 (like those from Shein, Temu, or bulk orders from China) now have a 54% tariff. Yes—fifty-four percent.
This affects a lot of small businesses that rely on affordable overseas goods.
2. Tariffs Are Being Legally Challenged
Some businesses are pushing back. A group of importers is in court arguing that the government overstepped when it imposed tariffs without Congress. If they win, the tariff landscape could shift again—but for now, the higher rates are in place.
3. Temporary Cuts Aren’t a Guarantee
The U.S. recently negotiated a slight drop in tariffs on certain Chinese goods—from as high as 145% down to 30%. But this doesn’t cover everything, and it’s temporary.
Now: Why should you care?
Tariffs might feel like a big-picture issue, but they trickle down fast, especially when you're running a small business with tight margins. Here's how they hit:
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Your costs go up — You might not notice right away, but your materials, supplies, or finished goods get more expensive.
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Shipping gets more complicated — If you’re importing often, you’ll have to factor in new duties and fees.
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Your pricing strategy takes a hit — If you pass the extra cost to your customers, sales might drop. If you eat the cost, your profits shrink.
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Planning gets harder — It’s tough to budget when international rates keep shifting.
What can you do about it?
You can’t control trade policy, but here’s what you can do: Read more about it on.... How To Navigate The Tarrifs: A Business Survival Guide
Tariffs might feel like something only big businesses worry about, but they affect small businesses first. Know where your materials are coming from, ask questions, and adjust your strategy early so you’re not caught off guard.
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