YOUNGSTOWN, Ohio – Companies across northeastern Ohio that do business on a global scale say the first round of tariffs enacted by the Trump administration in March have sown a high degree of uncertainty, as well as an overwhelming negative reaction from their foreign trading partners.

Moreover, some of these firms have already experienced higher costs for raw materials, while others expect these costs to rise in the future.

It’s the result of a survey conducted by the Ohio Small Business Development Center’s Export Assistance Network at Youngstown State University, which reached out to a broad range of industries throughout a six-county region to sample how the Trump administration’s initial slate of tariffs have impacted business thus far.

Mousa Kassis, director of the Export Assistance Network, emphasizes the responses are based on tariffs put in place before the latest round of additional trade penalties were announced by President Donald Trump on April 2.

“These do not include the effects of the tariffs that started in April,” he said.

In March, the United States imposed 25% tariffs on all steel and aluminum imports and placed another 10% penalty against China in addition to a 10% tariff that was previously enacted on that country in February.

Kassis said the survey included companies engaged in the food safety equipment industry, industrial machinery manufacturing, iron and steel forging, steel manufacturing, industrial valve manufacturing, distribution centers and pumps used for molten metal manufacturing, among others.

All respondents to the survey were anonymous and consisted of companies located in Mahoning, Columbiana, Trumbull, Geauga, Portage and Tuscarawas counties. Approximately 36 firms took part in the survey.

According to the survey, 65% of these companies said they expected the tariffs to impact “business substantially.” The remaining 35% responded they were unsure.

Just 25% of the companies surveyed feel that the tariffs would benefit their business in the long-term, the survey shows. Of that segment, half of these firms believe tariffs would force foreign countries to stop dumping steel and aluminum on the U.S. market, while 49% think trade sanctions could force companies to manufacture products in the United States.

However, most companies – 65% – said tariffs in the long-term would not benefit their business. Another 10% were unsure.

Impact on Trade Relationships and Sales

Among the most striking findings, Kassis said, is that 80% of the businesses surveyed said the tariffs have impacted their relationship with foreign trade partners negatively.  The remaining 20% said the trade measures produced positive responses, the survey noted.

Kassis said the high rate of negative responses is likely because half of all exports in Ohio go to Mexico and Canada, countries that have been impacted by the new tariffs. These tariffs have caused a rift with the U.S., especially with Canada. “It’s high because of the souring relationship between the United States and these countries,” he said.

The companies that responded that tariffs had negatively impacted relations with foreign trade partners noted concerns over renegotiating prices and the stress on trade partnerships, increased costs, a decrease in sales overseas and uncertainty – including worries about Canadian partners boycotting U.S. goods.

Companies that reported positive feedback said they plan to arrange “stockpile buying” with foreign customers, the survey shows.

While the first round of tariffs has caused concerns and uncertainty, there was little evidence of an immediate impact on sales to China, the European Union or domestic customers, the survey shows.

Just 10% of the companies said they have experienced a decrease in sales to China, for example, while 70% reported they did not and 20% said they were unsure.

As for the European Union market, 65% reported that they did not experience a decrease in sales to the EU, while 5% reported a loss in business. However, those that reported a drop in sales to the EU witnessed declines as much as 40%, according to the survey. Another 30% said they were unsure.

Most companies, or 65%, said the tariffs have not caused sales to decline with domestic customers, while another 15% said they were unsure.

Yet some companies – 20% – have reported a decrease in business with domestic buyers, the survey noted, citing increased prices and uncertainty. These firms recorded business losses between 15% and 70%, the survey found. 

Prices and Costs

Prices of imported goods and materials for some businesses have already increased, the survey noted, with 35% of companies reporting hikes between 10% and 25% in the costs of imported goods or raw materials. Thirty percent of the businesses reported no increase; 20% said they were unsure; and 15% reported they do not import raw materials or goods.

However, 60% of the businesses anticipate that the cost of goods would increase soon, somewhere between 10% and 25%. Another 15% do not expect any price increases, and about one-quarter of the respondents said they were unsure.

Shipping and transportation costs have risen for at least 30% of the respondents, according to the survey, while 70% have not yet experienced increases.

But are these companies able to pass on rising costs to consumers? Nearly half of the respondents – 45% – said they could either pass the full costs (20%) to customers or half of the cost (25%) of the tariffs. Another 20% said they would be unable to do so, while 35% were not sure.

Assessing the Situation

Companies were also asked to comment on how the current trade policy could further impact their business.

The answers ranged from positive and those anticipating an increase in business to those expressing doubt.

“I am struggling to see how this will create growth for the U.S. economy,” one respondent said.  Another replied that the tariffs “will help our business.”

Others assessed that the full impact of the tariffs would not be felt for several months, especially since the Trump administration on April 2 announced sweeping penalties of 10% on most countries that took effect April 5. For China, another 34% tariff will be triggered April 9, for a total of 79% on that country.

On April 4, China retaliated with a 34% tariff on U.S. goods. Trump responded Monday by threatening to impose another 50% penalty if China does not rescind its retaliatory tariffs.

Imports from Canada and Mexico that are not part of the USMCA trade agreement are subject to a 25% tariff, while energy, energy resources and potash are charged a 10% tariff.

These are in addition to a 25% tariff on all foreign manufactured automobiles, which took effect April 3.

The most recent tariffs, along with retaliatory measures enacted by China, sent world markets reeling last week.

On Friday, the Dow Jones dropped 6.9%, its biggest one-day loss since June 11, 2020. The S&P 500 plunged nearly 6%, its largest drop since March 16, 2020.

Markets were in decline again Monday morning. By midday, the Dow had shed more than 770 points, and the S&P was off by more than 80 points.

Trump has said the tariffs are necessary to restore foreign trade equilibrium with the United States and, at the same time, bring in billions of dollars in revenue. On Sunday, the president said he was “open to talking” to world leaders over the tariff issue, but also affirmed he would not back down on trade policy.

Kassis observed that most respondents to the Export Assistance Network’s survey commented that the main concern is uncertainty and the inability to plan.

“Right now, many of the companies are in a wait-and-see mode, since many haven’t taken any action yet,” he said. The real impact of these trade measures may not percolate for weeks or months, and further assessment would be needed.

“In about six months, we’re going to send out another survey to gauge the latest round of tariffs,” he said.

Pictured at top: Shipping containers are stored at Bensenville intermodal terminal in Franklin Park, Ill., on April 6, 2025. (AP Photo | Nam Y. Huh)