Deena Ghazarian, founder of the California-based company Austere, has faced substantial obstacles due to trade policies and tariffs that emerged during the Trump administration. After launching her business in 2018 and securing contracts with major U.S. retailers for high-end audio and video accessories made mainly in China, the implementation of tariffs in 2019 took a toll on her operations. The 25% surcharge on imports led to a near collapse of Austere, forcing her to absorb the additional costs.
As of 2025, with Trump back in the political arena, businesses like Ghazarian’s are once again confronting challenges with the recent increase of tariffs on Chinese imports by 20%, along with added taxes on goods from Canada and Mexico. Trump defends these tariffs, claiming they are necessary to tackle illegal immigration issues and rectify trade imbalances, however, the broader consequences are troubling. Many previously exempt goods are now subject to these tariffs, placing additional financial pressure on American importers.
The Consumer Technology Association (CTA) highlights that these tariffs will predominantly impact U.S. businesses and consumers. In 2023 alone, nearly $146 billion worth of electronic products were imported from China, underlining the dependency on Chinese manufacturing. Products essential for daily technology use, such as smartphones, laptops, and tablets, are facing steep tariffs, which is likely to lead to increased prices for consumers.
This same scenario unfolded during Trump’s earlier administration, when companies began to adjust to the uncertain trade environment. While sectors like automotive and technology express cautious hope that these measures could help revive domestic manufacturing, the immediate effects suggest a tough playing field for businesses that rely on imports.
Emerging companies like Austere must remain agile in their strategies to cope with these shifting trade dynamics. This current climate is crucial; resilience and innovative approaches may provide pathways to mitigate the adverse impacts of the tariffs on business operations.
This situation underscores the intricate relationship between government policies and the business landscape. While tariffs are intended to boost domestic production, they also risk elevating costs for consumers, which could diminish demand and induce economic pressure. To navigate the unpredictability of this terrain, ongoing vigilance and strategic planning is essential for companies as they seek to find ways to thrive amid these challenges.
Leave a comment