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Panel Discusses California Small Business Impact From Tariffs and Asia Relationships

August 20, 2025 | California State Assembly, House, Legislative, California


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Panel Discusses California Small Business Impact From Tariffs and Asia Relationships
In a recent meeting of the California Assembly Appropriations Committee, significant concerns were raised regarding the impact of federal tariffs on small businesses and the broader economy. The discussions highlighted the urgent need for legislative support to bolster local enterprises facing unprecedented challenges.

One key speaker emphasized the dire situation many small businesses find themselves in, describing them as "victims of a system" that leaves them struggling to survive amid rising costs. The speaker illustrated this point with a personal anecdote about delays in production due to fluctuating prices for essential equipment, which halted job creation and delayed the opening of a new facility in Temecula. This situation underscores the ripple effect that tariff-related uncertainties can have on local economies, affecting everything from agriculture to hospitality.

The sentiment among small business owners is one of frustration and uncertainty, with many calling for the Assembly to provide assurances and support. The need for confidence in the government's ability to address these issues was a recurring theme, as stakeholders expressed a desire for proactive measures that could stabilize the business environment.

Another speaker, representing the Small Business Development Center (SBDC), highlighted the importance of continued state investment in programs that support small businesses. They noted that since 2019, the state has made strides in providing funding packages that help organizations like theirs offer technical assistance. However, they stressed the need for a stronger voice from California to advocate for small businesses at the federal level, particularly in navigating the complexities of federal requirements.

The discussions also touched on the potential for California to enhance its economic ties with Asia, emphasizing the importance of building multigenerational relationships rather than viewing interactions as purely transactional. This approach could open new avenues for small businesses to connect with counterparts in Asia, fostering collaboration and trade.

In conclusion, the Assembly Appropriations Committee meeting underscored the pressing challenges faced by small businesses in California due to federal tariffs and economic uncertainty. The call for legislative support and a more robust state-federal partnership reflects a growing recognition of the need to protect and empower local enterprises. As the committee moves forward, the focus will likely remain on developing strategies that not only address immediate concerns but also lay the groundwork for long-term economic resilience.

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