World trade: small shops, great worries: Trump’s tariffs meet US dealers

Noelie Ricey fights with the consequences of US President Donald Trump between treats and tennis balls. In 2022, together with business partners, she took over a small specialist shop for dog needs: “The Dog Park” in the Pittoresken old town of Alexandria in the state of Virginia, not far from the capital Washington. At that time, the sales figures were at its peak, says the former veterinary assistant. “Now they are at the low point.” The causes are diverse. However, she particularly worries Trump’s customs offensive against almost the whole world.

China-Zölle now at 145 percent

Although the US President most recently broken and initially exposed certain tariffs, he even attracted to China: for most goods from the People’s Republic, the duty rate is now 145 percent. Special tariffs also continue to apply to most other countries, including the neighbors Mexico and Canada.

It is still unclear what effects the measures will have in detail – it should take a while to arrive in supply chains and with consumers. But concern about rising prices is great. There are increasing reports on hamster purchases. According to the Yale University calculations, tariffs could lead to a long-term loss of purchasing power of $ 2,700 (around 2,400 euros) per US budget for 2025.

The trade conflict, which according to Trump, is supposed to lead the USA into a “golden age”, hits small companies such as that of shopkeeper Ricey. She has not yet raised her prices, but for a long time she will hardly be able to hold out. Many of their products do not come from the United States: food comes mainly from Canada. Toys, dog lines and other accessories made of fabric or plastic mostly from China.

Ultimately, the price counts

Many dealers with whom Ricey work are rather small and come from North America, as they emphasize – unlike large chains or online retailers who mainly put mass. But even the products of their business partners often come from China. “If I tried to only buy American products, the shop would look very different,” says Rickey.

In the end, the price is one of the price for most of their customers, especially in times of high everyday costs, explains-and the very practical need of the four-legged end consumers: “If a dog brings a toy every two weeks, you tend to use the $ 10th than for $ 40.”

Toys, clothing, electronics, household items

Whether directly or indirectly: China is a main supplier of cheap consumer goods for the USA. This applies to trade giants such as Walmart and Amazon as well as to small shops that sell toys, clothing, electronics or household items.

“Many entrepreneurs rely on Chinese supply chains. Be it to keep their business going or to fill their warehouse,” explains Alexis d’amato from the Small Business Majority Association, which according to their own statements represents around 85,000 small business owners. What is considered “small” in retail is a matter of interpretation: the US authority SBA is part of companies with up to 500 employees. Small Business Majority draws the border with about thirty employees.

“Main Street” vs. Wall Street

Even if the reality is characterized by structural change in many places, these owner -managed shops are embodied by the American ideal of the “Main Street” – that typical main street of small cities, where you know each other. It is the counter -design to the mighty, anonymous Wall Street. This picture is deeply anchored in the national self -image, across political camps.

In fact, even these shops have long been integrated into global supply chains. Unlike large corporations, however, they have hardly any scope to cushion price increases or change their sources of supply, says d’amato. She is criticism of Trump’s trading -political clever course: “Every other day there is new tariffs or changes.” Long -term planning? Practically impossible.

Some threaten financial ruin

The example of Beth Benike from the state of Minnesota shows how quickly this becomes a question of existence. At the US broadcaster CNN and CBS News, she described the emergency of her family company that has baby items in China manufactured. A new batch worth $ 160,000 was already ready for shipping when the tariffs rose to 125 percent in several steps. Instead of around $ 30,000 for importing the goods, the import should suddenly cost almost $ 200,000 – money that it does not have. In the meantime it would be even more.

Benike is not just about her employees. Your home is also at stake: it ensures a business loan.

There is a lack of locations and specialists

And then there are the financial markets. In the United States, old -age provision is closely linked to the stock exchange. Many self -employed people are based on their share depot. When the markets fluctuate, their future will also fluctuate, D’Amato warns. Trump’s customs policy is “a slap in the face” for many of her association members. What is actually needed is support. The government’s argument of ultimately strengthening domestic production through tariffs does not accept it. “There are enough other ways,” says d’amato.

Lady owner Rickey also sees it that way. If you really want to promote domestic production, you have to invest – in subsidies, locations, specialists. “There are no people who can operate a sewing machine and produce dog toys in large numbers,” she says, adding with a view to Trump’s hard migration policy: “If so, then we are putting it off as soon as possible.”

What Rickey is generally missing from this government is a conclusive concept. The tariffs are only part, she says. The fact that the sale at “The Dog Park” does not go well have some reasons: the Corona aids have now expired, at the same time Trump’s mass ceremonies were noticeable in federal authorities-a deep incision for the region in which many work in public service. In addition, tourism in Alexandria has decreased and the walk -in customers with him.

Rickey is also a pragmatic entrepreneur who has had different pillars for a long time. Even before Trump’s return to office, she also offered services to the offer: day care for dogs and a pet hairdressing salon. Cats are also welcome.