Minnesota small business owner says tariffs could devastate her business
A Minnesota small business owner is saying new U.S. tariffs on China could be devastating to her business.
Beth Benike, the CEO of Busy Baby, which designs and manufactures baby products, just landed a deal with Walmart and Target. But now, she says she can’t afford to get her products out of China.
“It’s terrifying. It can’t get more personal. This is our everything, this was our dream,” she said.
Benike says U.S. tariffs on China are more than doubling her costs.
The company uses materials that are sourced in Asia, and the products are manufactured in China. She says she has about four months’ worth of product left in her warehouse in Zumbrota, Minnesota, but if she doesn’t find an alternative, she is worried she will lose her business.
“My house is leveraged. My children’s home is leveraged against this business, so in four months’ time when I run out of inventory and can’t figure out a way to pay the bills, I don’t even want to think about the consequences of that. I just have to figure out a way to sell my products in a different way,” she said.
Benike is working with policymakers and some Minnesota lawmakers on possible solutions. She is also exploring the idea of trying to sell her product in Europe or Australia instead.