Senate Introduces Small Business RELIEF Act to Help Mitigate Tariff Impacts

Strategic Insights -

U.S. Senator John Hickenlooper joined nine of his Senate colleagues to introduce the Small Business RELIEF Act, which aims to exempt small businesses from the Trump administration's tariffs and provide refunds for the tariffs they have already paid. The move comes as a federal court ruled that the Trump administration's broad tariffs were illegal, setting the stage for small businesses to receive relief for the "Liberation Day" tariff-taxes. The Senator, a former small business owner, has been a vocal opponent of the Trump administration's trade war and the harm it is causing Colorado businesses.

Key Takeaways:

  • The Small Business RELIEF Act seeks to exempt small businesses from the Trump administration's tariffs and provide refunds for the tariffs they have already paid.
  • A federal court ruled that the Trump administration's broad tariffs were illegal, setting the stage for small businesses to receive relief for the "Liberation Day" tariff-taxes.
  • Senator John Hickenlooper, a former small business owner, has been a vocal opponent of the Trump administration's trade war and the harm it is causing Colorado businesses.
  • Small businesses make up more than 99% of all U.S. companies, employ nearly half of the private-sector workforce, and contribute more than 40% of GDP.
  • Imposing emergency tariffs without exemptions for small companies threatens their survival, undermines local economies, and weakens supply chains.
  • Small businesses are experiencing higher operating costs due to tariffs, with 60% of businesses surveyed saying they are experiencing higher operating costs.
  • Cost increases have led small businesses to take drastic actions such as raising prices and pausing expansion plans.
  • Refunding import duties that small businesses have already paid and exempting them from tariffs going forward is seen as a way to bring small businesses immediate relief.

Statistics:

  • More than 99% of all U.S. companies are small businesses.
  • Nearly half of the private-sector workforce is employed by small businesses.
  • Small businesses contribute more than 40% of GDP.
  • 60% of small businesses are experiencing higher operating costs due to tariffs.
  • 26% of businesses surveyed said they import goods directly.
  • Nearly half of small businesses said they buy from American suppliers that import from other countries.
  • 60% of small businesses have increased prices due to tariffs.
  • 40% of small businesses have paused expansion plans due to tariffs.

Sources:

  • Small Business RELIEF Act press release, Colorado Senator John Hickenlooper (no date).
  • Richard Trent, Executive Director, Main Street Alliance, quoted in Small Business RELIEF Act press release, Colorado Senator John Hickenlooper (no date).
  • Todd McCracken, President and CEO, National Small Business Association (NSBA), quoted in Small Business RELIEF Act press release, Colorado Senator John Hickenlooper (no date).
  • Alexis D'Amato, Director of Government Affairs, Small Business Majority, quoted in Small Business RELIEF Act press release, Colorado Senator John Hickenlooper (no date).