The Squeeze on Local: Tariffs, Stockpiling, and Rising Costs

Are the headlines about tariffs making you dizzy? On again, off again. Anxiety, then relief. For local business owners, the relief is nowhere in sight.

Yesterday was Lowcountry Local First’s 12th annual Good Business Summit – a gathering for those who believe in business as a force for good. What I learned, and what I believe everyone should know, is that whether these tariffs stick, or not, they have already hurt local businesses.

For Liz Rennie, owner of The Charleston Mattress (a local, decades old, family-owned business) the cost of raw materials has already increased up to 25%. Even if tariffs are reversed, the damage is already done. Why? Because national brands, in order to insulate themselves, have gobbled up and stockpiled supplies, forcing Rennie to find new suppliers (if she can) and pay higher shipping costs.

The same is true for ALL our local breweries. Corporate giants are buying up huge quantities of aluminum cans, bumping locals to suppliers as far away as Mexico, according to Coast Brewing’s Jaime Tenny. Without warehouses to store surplus inventory, locals get stuck paying several thousand dollars more for every shipment, even without tariffs.

For Toni Reale, owner of Roadside Blooms - a floral design studio and gift shop in North Charleston, the price of her flower vases and plant pots has already seen an 8% increase due to tariffs, with more increases on the horizon. "This means I am left with a decision to either take a hit on our already slim profit margin or pass along the difference to my customers," says Toni. "It’s a no-win situation."

These are just three examples. These cost increases are erasing profit margins, increasing pressure on small businesses across sectors who are already bearing the brunt of higher costs and inflation.

These are our friends and neighbors. They create good jobs, pay taxes, and give back to our community. Now more than ever, we need to go out of our way to support our locals.