PHOENIX – As Attorney General Kris Mayes spearheads the multistate lawsuit to block the Trump Administration’s illegal tariffs, more than 50 Arizona business leaders have spoken out about the price increases and uncertainty President Trump’s tariffs are causing in Arizona. The multi-state coalition co-led by Attorney General Mayes will argue case again this morning at 7 AM MST in the U.S. Court of Appeals for the Federal Circuit. You can listen to it live here.
“I will not stand by as Arizona businesses, the economy, and Arizona consumers are hurt while these tariffs drive prices even higher, create uncertainty, and make already-high inflation even worse,” said Attorney General Mayes.
Their suit argues that the law President Trump is using – the International Emergency Economic Powers Act (IEEPA) – does not empower the President to impose tariffs. Experts estimate the tariffs will raise the cost of living for the average Arizona family by thousands of dollars a year.
The case is led by Arizona Attorney General Kris Mayes and Oregon Attorney General Dan Rayfield. Also joining the lawsuit are the attorneys general of Colorado, Connecticut, Delaware, Illinois, Maine, Minnesota, Nevada, New Mexico, New York and Vermont.
Here’s what Arizona business leaders have to say:
- “No matter what anyone else will tell you, a tariff is paid by those of us in this country who import goods, and then those costs get passed down to consumers. So, you know, it is essentially a producer and consumer tax," said Danny Seiden, Arizona Chamber of Commerce and Industry President and CEO.
- “These tariffs have the potential to mitigate a lot of the progress we’ve made,” said Rob Fullmer, executive director for the Arizona Craft Brewers Guild. “We’re getting ready to see some real price increases.”
- “If this is a longstanding tariff issue, yes, sadly we will have no choice but to have to push those to menu price increases,” said Steve Chucri, the longtime president and CEO of the Arizona Restaurant Association.
- “Consistency is really what businesses need to make big decisions,” said Todd Sanders, President and CEO of Greater Phoenix Chamber. “At the end of the day, what that could cause here is lost opportunity for Arizona companies that are looking to ship or sell overseas in China, but it also could mean higher prices for us here at home.”
- Philip Bashaw, Arizona Farm Bureau CEO and executive secretary, said, “When it comes to tariffs, the agriculture industry typically bears the brunt of retaliatory tariffs. I feel deeply connected with the agriculture industry in our state. I know a lot of people, they’re really good business owners, that are going to be impacted by this.”
- “Everyone has been having to reevaluate all their partnerships, supply chain. It’s already had an effect,” said Lance Jungmeyer, president of the Fresh Produce Association of the Americas, a Nogales trade group representing 120 companies along the Southwest border that import and distribute Mexican produce.
- “Uncertain is the key word here. We really don’t know. When we look at what’s actually happened, today, we have this universal 10% tariff, and when I look at the impact of 2025 on Taylor Morrison, it’s fairly modest, it’s a couple hundred to few hundred dollars a house,” said Sheryl Palmer, CEO of Arizona-based Taylor Morrison. ”We’re going to have to wait and see [...] when you think about worst case, and what the impact will be in 2026 and moving forward, it could have quite a few-thousand-dollar impact.”
- Scottdale-based Axon Enterprise shared “[tariffs could have a significant impact on our business,” in an SEC Filing. They said “We might also consider increasing prices to the end consumer; however, this could reduce the competitiveness of our products and adversely affect net sales.”
- Bill Sandweg, the owner of Copper Star Coffee in central Phoenix, called the tariffs “taxation without representation” and warned that, if they aren’t reduced, his costs will eventually be transferred to consumers.
- "Any tariff could have an impact on our bottom line," said Bob Dixon, co-owner with his wife Jules of 1764 Vineyards, located in the higher-elevation hill country southeast of Tucson. "Wineries here are not running on large margins."
- “They are hurting us as a small business,” said Mia Ortiz, owner of Mia’s Flower Shop in Phoenix. “We've already been told from our wholesalers that prices will increase due to them getting shipped out from overseas. At this point, we will have to just raise our prices.”
- “How do you deal with the 140% tariff?" Former Santa Cruz County Supervisor Bruce Bracker, who owns a restaurant and a clothing store with clothing sourced from abroad, asked. "How do we even deal with a 30% tariff? What does that do to us? These are impactful numbers for small businesses.”
- “I don’t think the real pain has been felt because it takes (container ships) 90 to 120 days to arrive,” said Alex Macias, vice president at DelSol Furniture & Mattress. His company operates three stores in Phoenix and one in Mesa, importing roughly 80% of its merchandise, largely from Vietnam. “We’re bracing for what’s coming,” he said. “We’re worried about what’s coming.”
- "The cargo companies are raising their prices because the demand is so high," said Erica Campbell, who runs the e-commerce website, “Be A Heart,” selling Catholic-inspired products from Phoenix. "We don't know what is going to happen one day to the next."
- “It really depends on the make and model and import or domestic, but I don’t think it’s incredible that there could be a $10,000 increase [in case price],” said Chris Knaub, general manager of Bill Luke Chrysler Jeep Dodge Ram in Phoenix.
- Dynamic Auto Glass Owner John Ryder says his vendor in the Valley warned him that prices will rise, explaining ““Everybody’s talking about it. We’re all bracing for this impact and how pricey are the windshields going to be. It’s kind of cutting into our bottom line.”
- “The uncertainty is definitely not easy to plan around,” Gabe Hagen, owner of Brick Road Coffee in Tempe, said. “So, not knowing what direction things are going is definitely impacting small businesses.”
- Jaime Chamberlain, a produce importer based in Nogales, said there are still difficult decisions in his lap even though the tariffs have been temporarily delayed. “I think you have to budget, and you have to act, as if tariffs are going into place,” Chamberlain said. “The worst thing to do is to not be prepared.”
- “I will have to take out a loan to pay this extra expense. ... Something has to be done because this is unfairly punishing small business owners. It is also important to note that none of these items are made here in the U.S., so it’s not like I can buy Made In The USA even if I wanted to!" said Ginger Price, founder and owner, Dr. Ginger's Healthcare Products in Phoenix
- “Everyone is going to see an impact, whether you're a business owner or not," said Adriana Zapata, the owner of Cocina Adamex, an authentic Mexican restaurant in downtown Phoenix.
- Eddie Ramirez, owner of Fast Eddie's RC Hobbie in Yuma, says, "Take like a $200 truck, that would be $500 you'd pay, and that's just not going to happen."
- “Wait and see – almost everybody I talk to is just ‘wait and see,’” says David Tyda, who owns BARCOA, a bar and restaurant in downtown Phoenix. “I do have room to increase prices but I don’t want to.”
- "I will have to increase my prices, which means that my product won't reach as many people. The other thing I have to look at is cutting expenses here at my facility," said Jennifer Walkovich, whose Tucson-based company 'Morton Glass Works' assembles cutting jig kits.
- “With the current tariffs in place, which is in total about 66% from China to us, it puts our product out of the marketplace," Shannon Schulz, a farmer in the Harquahala Valley said. “It could break us. It could break a lot of farmers.”
- Scott Murtaugh, a service advisor at Parker Automotive in Tucson, said “If tariffs stay in place, we're going to see a parts price increase, without a doubt. If our costs go up, it'll have to be passed to the consumer.”
- “We are putting pressure on our suppliers in Pakistan and in India to offset some of those costs that we’re seeing potentially come into play, and we’re also prepared ourselves to absorb a little bit of those costs in order to keep prices reasonable for our clients,” said Asian Trade Rug Company CEO Hannah Massarat in Tucson.
- “We’re waiting with bated breath,” said Jasmine Young, owner of Buds Blooms and Bad Asses, a small flower shop in downtown Tucson. “We’ve already been notified several of the farms in South America will no longer send us flowers and the local supply wholesaler just said that we’re looking at 30 percent increase,” she said.
- Corbin Edwards is a third-generation owner of Tucson Appliance. When asked how soon he expects to see tariff-related price increases, he said "We expect to see it now."
- "We are now having to pay 25% of what any imported load costs us," said Sonia Rivera, owner of RS Produce in Phoenix.
- Jon Lane, the owner of O.H.S.O. Brewery, said he’s wary of expanding his business while dealing with additional fees and less staff. “We can’t have $30 burgers, I’m not going to have a customer. We can't have $15 beers, or I’m not going to have a customer, and as each thing rises incrementally, so do our prices,” Lane said.
- “Our cotton is mainly exported, and the price is already not in a good position. If that gets any worse, that could be devastating for all of us,” said Cassy England, a fourth generation farmer at Sierra Farming. “It’s a lot scarier to see the changes that are happening. … We all stay positive, but it’s definitely going to be challenging.”
- “I want to grow,” said Arizona’s Hundred Mile Brewing Co owner Sue Rigler. “(Tariffs weigh) heavily and we need stability.”
- “Good leadership is needed right now to stop what I call the insanity and go back to what’s working,” Arizona Wilderness Brewing Co CEO and founder Jonathan Buford said. “I would ask for better leadership and less whiplash.”
- Eric Gruber, chief operating officer of Acanthus Senior Living, a senior living developer in Arizona, said the tariffs “will compress profits” and that’s a big detriment to developing much-needed housing.
- “If avocados and tomatoes go up, and shipping is more expensive, and things go up, consumers know that,” said John Stidham, owner of the Original Breakfast House in Phoenix. “Consumers know things go up. We will have no choice but to pass it along.”
- In her over 10 year career, things have never been so "chaotic,“ said Yvonne Mayer, owner of the Mayer Group CHP, a broker between importers and U.S. Customs “Everyone has been in a disarray because of all of this.”
- Matt Heinz owns Tinajas Wine and Beer in Arizona’s Catalina Foothills. He said “This is going to be something that is going to be passed on eventually to our customers [...] The president, the Congress should not be coming in between me and my guests in terms of their wine selection”
- “Last year and the year before that it was inflation and this year it’s tariffs,” said Tucson’s Tandem American Eatery chef and co-owner Patrick Malarchick. “Even if you think ‘Hey, this cow was raised in Sonoita 50 miles away, it shouldn’t be affected by any of this because it just lives down the street’, there are other factors that contribute to that cost set going up because at the end of the day, the rancher, he has to make his money, too.”
- "I don't know what is worse, the tariffs or the constant starting and stopping of them, because for me, and I think for a lot of small business owners, you have to make decisions today for what tomorrow is going to look like,” said the owner of Seirra Vista bar Tell Mama, Vanessa Laurin.
- Ken Phox is the president and creative director of Tequila Corrido. The company has been stockpiling bottles that would normally be stored in Mexico, doubling their stateside inventory “as a safety precaution.” Phox said, “Without knowing what Trump does on a daily basis, we would rather plan for the worst.”
- Skip Hulett is with NatureSweet, which grows tomatoes in Willcox and various states in Mexico. “It's very disruptive,” he said, “We grow about 175 million pounds a year that we bring over, and so we're really struggling through this whole just the uncertainty. What business wants more than anything and needs more than anything is just certainty, especially in fresh produce.”
- “We are watching the impact of tariffs closely and trying to update business plans quickly,” said Sharon Harper, CEO of Arizona commercial real estate firm Plaza Cos. “It’s a tense time for developers.”
- “It’s absolutely awful, anxiety-ridden. You can’t future plan. You can’t even next-week plan,” said Sabrina Hallman, president and CEO of Sierra Seed Company in Nogales. “That 25% puts us out of business.”
- “The full impacts of the tariffs haven't developed yet, but we're already dealing with pricing uncertainty,” said Arizona contractor and business owner Eduardo Barboza. “The flooring, the tile, it could all go up overnight[...] Instead of renovating homes to flip, investors are just selling homes as is, which hurts our business. Just in the past week, we lost two major projects.”
- “It’s really hard to make business decisions when you don’t know what’s going to happen tomorrow, or next month, or next year,” said IPR Fresh owner José Luis Obregón, a fresh produce importer and distributor in Nogales.
- Guillermo Valencia, a Nogales-based U.S. Customs broker through his company Valencia International, said, “It’s definitely uncharted territory, and who knows where we’re gonna be next month.”
- “I am very concerned tariffs are going to raise construction costs across the board,” said Arizona developer Steve Betts, Managing Director of Development for Holualoa Companies. “We are already budgeting 5% to 10% higher costs on our projects.”
- “Everything is going to cost more to build. If you’re repairing something or fixing something it’s going to cost more to do it now,” said Christian Hernandez, manager at Remington Industrial Supply in Yuma County.
- “It could be anywhere from $3,000 on average for locally (U.S.) produced vehicles to $6,000 for imports,” said Jason Church, chief operating officer at Courtesy Automotive Group in Phoenix. “We’ll see across-the-board price increases.”
- “The growers are not sending product right now because it’s not good for them," said RCF Distributors Rio Rico Warehouse Manager Antonio Verdin. “It will be a big impact for consumers here in the states.”
Statements included in this release from business and industry leaders are publicly available and linked to their sources. They do not necessarily imply agreement with or endorsement of the Attorney General’s lawsuit.