American companies say that 100% “made in USA” is not practical

Going to 100% “made in the USA” is not practical for many American companies – just ask them.

Although one of President Donald Trump’s declared objectives is to ensure that companies produce more products in the United States, several American companies have told Business Insider that the trade war is likely to make the task more difficult to do so.

Trump’s roller coaster trade policy, which has seen it announce a 90 -day break from many reciprocal rates, has small American businesses – many of which assemble their products in the United States – forward.

The designer of household items based in North Carolina, Bari Ackerman, told BI that she was considering a price supplement of 25% on her line of textiles and tailor-made prints, most of which are printed or finished here in the United States, but require basic materials imported from places like South Korea and China.

“I want consumers to understand why these prices have increased, and I don’t think everyone will do it,” she said.

“None of these basic products is made here,” she added. “We do not have the kind of textile factories that we had before in the early 1900s in the mid-1900s. After the 1970s, they all left.”

“ Made in America ” sounds well on paper, but it is often impractical

California-based jewelry manufacturer Ariel Gordon said international suppliers on which its products manufactured in the United States depend.

“I would love the opportunity to get their supplies from all jewelry in America, but it is not the nature of my industry,” she told Bi.

“The supply chain which is learned in the jewelry industry is global and has been formed over the decades,” she added. “You can’t mine the stones where the earth doesn’t push them. So where does it leave me?”

It should be noted that even if Ackerman and Gordon produce a large part of their products in America, the rules of the Federal Trade Commission are strict on what is considered to be “qualified” or “unskilled” complaints during the advertisement of a product as “manufactured in the United States”. To reach the threshold, “all or practically”, the supply and labor of components must be domestic.

Does this brand look at us use Japanese or Swiss movements? No good. Does this American-made gold ring use imported metal? Sorry.

This is why many brands will say that their products are “assembled” in the United States with imported components. (Apple, which supplies and assembles its products in dozens of countries, a sign celebrates its products “designed by Apple in California”)))

And while the products manufactured under the strictest definition of “Made in America” ​​can indeed benefit in a certain way from Trump prices, this is only part of what companies design and do here.

Mandy Kellogg Rye, owner of an Atlanta Home Goods store, told Bi that it was the first time in 13 years of activity that she was afraid of what happened.

“Many of my products are manufactured by craftsmen who could never do here. Even if we have built their infrastructure,” she said. “Basically, all the table vouchers are handcrafted and painted by several craftsmen who are specific to their region and transmitted during generations.”

“My seller in Portugal said that if we have no answers, we are considering a possible increase from 50 to 75%,” she added. “None of them explored the idea of ​​creating these products in the United States because it is absolutely not possible.”

Haley Pavone, CEO and founder of the California -based shoe brand, Pashion, underlined the enigma in a Tiktok sketch in which she depicts a conversation on prices with a fictitious government agency. The clip has become viral this weekend, amazing more than half a million Likes and nearly 12,000 comments.

Pavone did not immediately respond to an interview request, but in a Tiktok follow -up video, Pavone said that his business had no realistic option to make his product outside of China.

“I went to my suppliers in China. They have factories that are like San Francisco size,” she said. “These places are huge. As, imagine five costcos stacked together, all really sophisticated and expensive equipment.”

“I would like to have, as, an additional $ 40 million to be launched, but I don’t do it, that’s why you outsource manufacturing. This is what makes it accessible for small businesses,” she added.

Pavone underlined a combination of labor, installations and supply chains in matters where China and other countries are currently present significant advantages in the United States.

“Even if things are not done in China,” she said, “the materials of this product – nine times out of 10 – came from China. They have the most complete material supply industry in the world.”

On Tuesday, the National Federation of Independent Businesses said that its optimism index for small businesses – a long -standing survey of business owners – fell to 97.4 in March, against 105.1 in December.

YouTube’s star Jimmy Donaldson, better known as MRBEAST, also weighed on Tuesday, saying that it could be cheaper for him to produce less from his product in the United States, because everything that is manufactured and sold outside the country would not be affected by Trump’s prices.

“We will understand. I feel for small businesses,” he wrote. “Could really be a nail in the coffin for them.”

The remarks echo the feelings shared by the CEO of Butterfly Bakery, based in Vermont, Claire Georges, who previously declared to Bi that she had tried to obtain glass bottles for the spicy sauce of her business of an American supplier.

Not only were American manufacturing bottles, but she said there were serious quality control problems that created additional headache for her team.

“I don’t think the prices as a whole are bad. I think they just need to have a reason and an advantage,” she said. “I am committed to local for the good he does, but I am not an isolationist.”

Uncertainty should continue as companies sail in the latest developments, which include a continuous 10% rate on most countries, with the exception of China, whose price that Trump declared would be 125%, in the midst of the 90 -day break.

“Always a disaster for Small Biz,” said Ackerman about the news.