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3471A small business owner in Idaho is facing financial ruin after President Donald Trump’s steep tariffs on Chinese imports sent his costs through the roof—and even Fox News is saying it out loud.
Casey Ames, who runs Harkla, a company that imports developmental and sensory toys for children with special needs, saw his yearly tariff bill explode from $26,000 to $346,000 overnight due to Trump’s 104% tariffs on Chinese goods, which now escalated to an effective rate of 145%.
“People in the U.S. don’t understand the tariff situation,” Ames told the New York Post.
“They think just foreign countries are paying the tariffs. That’s not true. Half of the tariffs are being paid for by U.S.-based companies.”
Fox News Covers the Fallout
Fox News picked up the story and aired a segment acknowledging the devastating impact of the tariffs. One anchor said, “He’s going to have to go ahead and close down part of his business.”
Ames, a father of two with a 10-person company in Boise, said he’s now looking at shutting down the entire physical product side of his business.
That includes popular items like the Sensory Swing, weighted blankets, and stuffed animals designed for children with autism and other needs.
“I may sound calm on the phone, but I’m really not,” he told the Post.
“Real jobs are on the line and at risk.”
No Good Options for U.S. Manufacturing
Harkla designs the toys in Boise but manufactures them in China.
Ames has looked into shifting production to the U.S., but says it’s just not feasible.
“The unit prices have been higher than retail,” he said.
“We’ve explored domestic production in the past, and are again right now, and every time it’s not feasible.”
Toy Industry in Crisis
He’s not alone. Other small business owners in the toy industry say they’re facing similar pressure.
One toymaker wrote on X that he’s fronting $400,000 in tariffs before holiday sales even begin.
“Trump’s tariffs will decimate small toy/game businesses,” he wrote.
Even large manufacturers are feeling the heat. Isaac Larian, CEO of MGA Entertainment—the company behind L.O.L. Surprise! Dolls and Little Tikes—told CNN that Trump’s 145% tariffs on Chinese imports could destroy his 46-year-old company.
“The life of my business is on the line,” he said.
Larian said that although he does some manufacturing in Ohio, most of his supply chain is in China.
It’s not just because of lower costs—it’s because some things, like doll hair, simply can’t be made in the U.S.
“There is no American factory anywhere that can make hair for dolls,” he said. “What am I supposed to do? Sell bald dolls?”
Coffee Shops Also Feeling the Pinch
The coffee industry is also getting squeezed. Wonderstate Coffee owner T.J. Semanchin told Fox News that the 10% tariff on imported coffee is making business unpredictable.
“It’s created a stressful and volatile, uncertain environment,” he said.
Coffee can only be grown in tropical regions, and the U.S. grows very little. He warned that customers should expect prices to go up if the tariffs stay in place.
READ ALSO: ‘Trade Policy Should Be Made By Congress,’ Says Peter Schiff—’This Is No Way To Run A Country’
Small Businesses Call for Relief
While Trump has argued that the tariffs are meant to bring jobs and manufacturing back to the U.S., the impact has been the opposite for many small businesses.
Instead of boosting production at home, they’re facing impossible costs and potential layoffs.
Ames said he once hoped for a business-friendly environment under Trump, even though he didn’t vote for him.
Now, he says the only hope is if the administration provides exemptions or allows small businesses to delay tariff payments.
“If we fail now, it certainly won’t be my fault,” he said.
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