Taxes
The US Chamber of Commerce membership is 90% small business. They were big supporters of Trump’s 2017 tax cuts that reduced their company taxes, increased their business deductions and reduced their estate taxes. Trump made them richer.
Boosters
The Democratic Party platform included cutting tax breaks for the wealthy. So the Chamber lobbied extensively for extending their tax breaks, overwhelmingly donated to Republicans, and endorsed Trump again. Small business members enthusiastically hung banners on their buildings, put campaign signs on their lawns, waved flags from their boats, widely bashed Democrats, and told their employees that Trump would make America great.
So How’s it Going?
Here’s a recent headline from Fox Business News.
Tariffs
Even though they donated to Trump’s inauguration, Trump did not listen to the Chamber on tariff policy. Here’s their complete statement on tariffs from their website (my bold). You may notice some differences with the Trump maladministration’s view.
A tariff is a tax on imported goods paid by the U.S. business or individual receiving those goods at their port of entry. Broad-based tariffs raise prices for consumers and businesses and harm economic growth. They cause uncertainty and disrupt supply chains and are an especially big problem for small businesses that don’t have as many resources to withstand them.
Tariffs also can spur retaliation against American products being exported, harming American workers. The Chamber shares the goal of increasing U.S. manufacturing, but not by raising costs and limiting markets. We encourage free trade agreements to help open up markets and create opportunities that will grow the economy.
Immigration
Despite buying all that MAGA merchandise, Trump hasn’t listened to the Chamber on immigration either. They support common sense, comprehensive immigration reform, not kids in cages and people hiding in their homes from masked armed goons. Again, from the Chamber’s website with my bold. You may notice a distinct lack of racist xenophobia when compared with the maladministration.
Workforce availability is a major challenge for businesses. When we hear from businesses across America about expanding and investing in their communities, workforce is one of the biggest impediments they raise. Businesses simply can’t grow without the talent needed to do it….
America's success has always relied on welcoming the most talented, hardworking people from around the world. This has been a significant driver in our nation's growth and prosperity.
Fallout
Tariffs have raised inflation, and immigration policies have exacerbated labor shortages. Small businesses lost 120,000 jobs last month alone, the worst decline since March of 2023. Small business bankruptcies are up 8% year to date, a record. But let’s hear from the Chamber again.
…inflation remains the top concern for 46% of small businesses. Many are raising prices (55%) or adjusting supply chains (36%) to offset higher costs.
Tariffs are compounding those pressures. The Trump administration’s tariff policies have increased costs for businesses and consumers throughout 2025.
…34% of small business owners had unfilled job openings, and nearly half (47%) said they couldn’t find qualified applicants. The shortages vary by industry, with higher rates seen in the construction, transportation, manufacturing, and wholesale industries….
Shortages could worsen in industries like hospitality, agriculture, and construction, where millions of workers could lose valid work authorization and leave small businesses scrambling for staff.
Conclusion
The Chamber of Commerce is still holding out hope that things will turn around, and that maybe AI will help small businesses, rather than only help big businesses put everyone else out of work.
Full disclosure, my Dad was a small business owner, and I started one too, earning an undergraduate degree in international small business. But I’m really more of a Fortune 100 MBA type. So, I probably don’t fully understand the subtleties of small business, like these Trump supporting chamber members.
But I’m pretty sure that your tax rates don’t mean a damn thing if you’re losing employees, suppliers, customers, and money.
