‘Save America’s Businesses:’ US Chamber Calls for Tariff Relief

05.01.2025
Economy

Citing recession fears, the U.S. Chamber of Commerce is calling for the Trump administration to give small businesses immediate relief from wide-ranging tariffs on imported goods.

In an April 30 letter to senior administration officials, the chamber proposed automatic exclusions from import taxes for small businesses.

“We have heard from a historic number of small businesses who have made it clear: they need immediate relief from tariffs,” said chamber president and CEO Suzanne Clark.

“As each day goes by, small businesses are increasingly endangered by higher costs and interrupted supply chains that will cause irreparable harm.

“We applaud the administration’s efforts to negotiate as many new trade agreements as possible that expand market access for U.S. companies and benefit American workers, but these deals take time, and many businesses simply can’t afford to wait while negotiations proceed.”

The letter was sent to Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and U.S. Trade Representative Jamieson Greer.

Exemption Process

“The chamber request the administration take immediate action to save America’s small businesses and stave off a recession,” the letter, which was signed by Clark, reads.

The letter requests that while the administration negotiates trade deals with other countries, it “immediately use its tariff flexibility” and implement an exemption process that:

  1. Provides an automatic exclusion from the new tariffs for any small business importer.
  2. Provides automatic exclusions for all products that cannot be produced in the U.S. or are not readily available from domestic sources.
  3. Establishes a process for business to expeditiously obtain exclusions in situations where the company can demonstrate that, as applied, the tariff imposes significant risks to U.S. employment.

The letter notes that small businesses “do not have the margin or capital reserves to sustain the increased tariffs, nor do they have the ability to quickly modify supply chains.”

“Tariffs on coffee, bananas, cocoa, certain minerals, and other products not generally available in the U.S. only raise prices for small businesses and consumers,” it reads.

“The same applies to tariffs on many other bespoke industrial inputs critical to American manufacturers.”

Jobs Threatened

The letter adds that “more than 40 million American jobs depend on trade.”

“The administration should protect American workers facing imminent job loss from the impact of tariffs by allowing for exemptions for companies at risk of layoffs,” Clark said.

“We must work together to avoid a recession and to realize America’s economic potential.”

The Trump administration’s tariff policies will hike the cost of goods imported into Connecticut by at least $3.16 billion—a 14% increase over 2024.

“Tariffs will lead to higher costs for businesses and consumers and fewer exports and market opportunities for Connecticut companies.”

CBIA’s Chris DiPentima

Connecticut’s critical manufacturing sector will likely feel the brunt of the administration’s trade policies, both from the increased cost of imported materials and the expected impact on commodity exports.

The state imported $22.74 billion in goods in 2024, with manufacturing inputs such as aerospace components, equipment, primary production metals, petroleum and coal products, and fabricated metal products representing about two-thirds of all shipments.

Connecticut manufacturers face an estimated $600 million in tariffs on Canadian and Mexican steel and aluminum, $1 billion on Chinese goods, and $500 million on imports from other countries—at least $2.1 billion in total.

“Ultimately, these tariffs will lead to higher costs for businesses and consumers and fewer exports and market opportunities for Connecticut companies,” said CBIA president and CEO DiPentima.

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