Small Businesses Struggle Under Trump Tariffs

Supreme Court ruling could provide some relief, but uncertainty remains

Published on Feb. 28, 2026

Got story updates? Submit your updates here. ›

Small business owners like Beth Benike of Minnesota and Dan Turner of Pennsylvania have faced major challenges due to the tariffs imposed by former President Donald Trump. Benike had to cut staff and dip into her savings to stay afloat, while Turner has had to provide open-ended price quotes to customers due to the unpredictable tariff environment. A Supreme Court ruling against Trump's use of emergency powers to impose tariffs could help, but the damage has already been done for many small businesses.

Why it matters

The tariffs imposed by the Trump administration have had a significant impact on small businesses across the country, forcing them to cut costs, reduce staff, and struggle with uncertainty. This highlights the real-world consequences of trade policy decisions on the backbone of the American economy.

The details

Beth Benike, the founder of Busy Baby Mat, was hit with a $230,000 tariff on a $160,000 shipment of products from China, forcing her to keep the items stuck overseas. This led to two months of her product being out of stock and over $500,000 in lost revenue. Dan Turner of Turner Hydraulics had to provide open-ended price quotes to customers due to the unpredictable tariff environment, and saw his company's revenue drop more than 10% in 2025. Hanna Scholz, owner of Bike Friday, was unable to provide pay raises, had to cut hours for some employees, and did not replace two retirees due to the tariff impacts.

  • In 2017, Benike created the prototype for the Busy Baby Mat.
  • Benike made her first sale in 2019 and later got a deal to sell her product in Target and Walmart.
  • On April 2, 2025, Trump announced his 'Liberation Day' tariffs.
  • In 2025, Turner Hydraulics saw its revenue drop more than 10%.
  • In 2025, Bike Friday saw its U.S. sales drop about 17%.

The players

Beth Benike

The founder of Busy Baby Mat, a small business in Oronoco, Minnesota that was hit hard by Trump's tariffs.

Dan Turner

The owner of Turner Hydraulics, a Pennsylvania-based small business that struggled with the unpredictable tariff environment.

Hanna Scholz

The owner of Bike Friday, a custom bicycle company in Oregon that was impacted by tariffs on overseas components.

Donald Trump

The former president who imposed a series of tariffs that caused significant challenges for small businesses.

Got photos? Submit your photos here. ›

What they’re saying

“My tariff was going to be like an additional $230,000 on top of that. I would have had to come up with that money within the 30 to 45 days it takes for this stuff to get to America.”

— Beth Benike, Founder, Busy Baby Mat (The Dispatch)

“We're just hoping either the ship sinks or somebody comes to their senses before it hits the dock.”

— Dan Turner, Owner, Turner Hydraulics (The Dispatch)

“Chaos is really expensive. We're getting the tariff impact by pricing, but also disruption for timing—vendor availability, shipping timing.”

— Hanna Scholz, Owner, Bike Friday (The Dispatch)

What’s next

The Supreme Court is expected to rule soon on whether Trump overstepped his legal authority in issuing tariffs under the International Emergency Economic Powers Act (IEEPA). If the court rules against Trump, small businesses like Benike's could potentially get refunds for some of the tariffs they paid, but the uncertainty around future tariffs would likely remain.

The takeaway

The Trump administration's use of tariffs as a trade policy tool has had a significant and detrimental impact on small businesses across the United States. Even if the Supreme Court rules against Trump's emergency tariffs, the lasting damage and uncertainty created by these policies will continue to be a challenge for entrepreneurs and small business owners.