Thirty-eight female founders of consumer product startups have united to express serious concerns over President Trump’s recent sharp tariff increases. In an open letter released Thursday, the entrepreneurs warned that small businesses face potentially devastating impacts due to the substantial tariffs now imposed on products imported from China.
Earlier, President Trump announced a temporary 90-day pause on tariff increases for several countries, fixing rates at 10% for the duration. However, tariffs applied to Chinese goods surged dramatically to 145%, including the pre-existing 20% levy. These founders are now urging Trump and lawmakers in Congress to reconsider or pause tariff hikes long enough for small businesses to identify affordable alternative sourcing options.
Allison Luvera, founder of Juliet Wine, led the campaign, stating she herself faces a surprise annual expense of approximately $200,000. Her startup relies heavily on essential packaging supplies from overseas producers, with no available U.S.-based alternatives. Luvera says that this scenario is not isolated to her business alone; she points in the letter to another firm selling home-cleaning products, which similarly depends on foreign suppliers for refillable packaging. Tariffs have increased this company’s packaging costs by 80%, severely threatening profitability.
Collectively, the group indicated their startups generate a combined $800 million in revenue each year and employ thousands of American workers. While these small ventures source both local and global materials, founders argue they’re disproportionately impacted by supply-chain disruptions and tariff escalations compared to large corporations.
“Small businesses lack the leverage necessary to renegotiate supplier agreements or the financial flexibility to immediately absorb these increased costs,” said Luvera, further noting the limitations of smaller firms in quickly altering global supply chains.
The entrepreneurs are now appealing to other small business owners and concerned individuals to join their efforts in pressing government authorities. Specifically, they seek a formal assessment to clearly measure tariffs’ effects on small operations. Ultimately, their goal is either to secure an exemption for smaller businesses from elevated tariff levels or to have the government provide direct assistance via financial grants, tax incentives, or resources aimed at easing the supply chain crisis triggered by the recent tariff increases.
Prominent signatories of the letter include renowned fashion designer Rebecca Minkoff and Alison Wyatt of the Female Founder Collective, as well as Emily Doyle and Mei Kwok of Dune Suncare and Yanghee Paik of personal care brand Rael.
