Small business owners await Supreme Court decision on Trump tariffs

Tariffs imposed under emergency powers have squeezed profits and forced some to delay expansion or lay off workers

Published on Feb. 17, 2026

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Small business owners across the U.S. are anxiously awaiting a Supreme Court decision on the legality of tariffs imposed by former President Donald Trump under emergency powers. The tariffs, which were meant to address trade deficits and fentanyl smuggling, have increased costs for businesses that rely on imported goods, forcing some to raise prices, delay expansion, or even lay off workers. The outcome of the case could determine whether businesses can recoup the tariff costs they've paid over the past year.

Why it matters

The Supreme Court's decision on the legality of Trump's emergency tariffs will have major implications for small businesses that have been squeezed by the increased costs. If the tariffs are ruled unlawful, businesses may be able to recoup some of the money they've paid, but if the tariffs are upheld, many fear the president could be emboldened to impose even more. The case highlights the broader debate over the president's authority to unilaterally impose tariffs in the name of national security or other emergencies.

The details

Businesses across various industries, from cider makers to dog apparel producers, have been impacted by the tariffs. They've had to raise prices, delay expansion plans, and in some cases, lay off workers to offset the increased costs. The tariffs have been a major financial burden, with the U.S. Chamber of Commerce estimating they will cost small businesses around $200 billion annually.

  • Trump began imposing tariffs under emergency powers just over a year ago in February 2025.
  • The Supreme Court heard arguments on the case in early November 2024 and is expected to issue a ruling by February 20, 2026.

The players

Tristan Wright

Founder and president of Lost Boy Cider in Alexandria, Virginia, who has seen his costs for aluminum cans increase due to the tariffs.

Beth Benike

Minnesota-based inventor and seller of baby products who ran out of inventory and lost income for months last year due to the trade war with China.

Barton O'Brien

Owner of the Annapolis, Maryland-based Baydog company, who had to pull the plug on a new line of Irish-style fisherman sweaters because importing from India became unfeasible.

Walt Rowen

Third-generation owner of Susquehanna Glass Company in eastern Pennsylvania, who worries about his tariff bill each time he replenishes stock.

Shawn Phetteplace

National campaigns director for the advocacy group Main Street Alliance, which is preparing to help its small business members if the Supreme Court strikes down the emergency tariffs.

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What they’re saying

“If there's one thing that's universal in business, no matter what you're doing, it's that stability and calmness create a positive market.”

— Walt Rowen, Third-generation owner, Susquehanna Glass Company (South Dakota Searchlight)

“We've been waiting on it. Nobody's sure what really is going to happen — are they going to decide one way or another, and then what will happen?”

— Walt Rowen, Third-generation owner, Susquehanna Glass Company (South Dakota Searchlight)

“They don't have another way of getting us out of this debt situation (and) you can point all the fingers you want over the last couple of decades.”

— Tristan Wright, Founder and president, Lost Boy Cider (South Dakota Searchlight)

“If I look at other dog harness manufacturers, the prices have gone up everywhere. We have chosen not to raise prices, but to take that money out of our own pocket. So instead of everybody paying five bucks more for a dog harness, basically everyone at Baydog makes less money, myself included.”

— Barton O'Brien, Owner, Baydog company (South Dakota Searchlight)

“The Supreme Court has proven they can issue decisions very quickly when they want to. Every day that goes by, they're making the mess bigger.”

— Barton O'Brien, Owner, Baydog company (South Dakota Searchlight)

What’s next

The Supreme Court is expected to issue a ruling on the legality of Trump's emergency tariffs by February 20, 2026. The outcome of the case will determine whether businesses can recoup the tariff costs they've paid over the past year.

The takeaway

The Supreme Court's decision on Trump's emergency tariffs will have major implications for small businesses that have been squeezed by the increased costs. If the tariffs are ruled unlawful, businesses may be able to recoup some of the money they've paid, but if the tariffs are upheld, many fear the president could be emboldened to impose even more, further damaging the economy and hurting small businesses.