Fed survey reveals Trump’s tariff gut punch to the backbone of the U.S. economy: small business

A Federal Reserve survey reveals that Trump-era tariffs have significantly impacted small businesses, which employ nearly 40% of American workers and drive most hiring. The tariffs effectively functioned as a new tax that consumed small business hiring budgets last year.

• →Small businesses employ almost 40% of working Americans and are responsible for the majority of new hiring.
• →Trump's tariffs acted as a new tax burden that reduced small business hiring budgets.
• →The Federal Reserve survey highlights the significant economic impact on the backbone of the U.S. economy.
• →Small business hiring capacity was materially affected by increased costs from tariff policies.
• →The policy impact demonstrates how trade measures can directly affect employment and business operations.