27-03-2025
Support ‘Made In America' Businesses—Don't Undermine Them
Suzanne Lerner is co-founder and CEO of Michael Stars, an L.A.-based fashion & lifestyle brand and Certified B Corporation founded in 1986.
The ability to build something meaningful, something that creates opportunity for others, is why people say, 'only in America.' I still lead the contemporary fashion and lifestyle brand I co-founded with my late husband, Michael, and I'm proud that our company is an 'only in America' story.
My husband was an immigrant from South Africa who wanted the freedom to create and build his own path. As a woman in the fashion industry, I found the doors to advancement closed. So, I built my own businesses, eventually partnering with Michael to grow Michael Stars.
When policymakers talk about tariffs as 'short-term pain for long-term gain,' I wonder—have they ever run a small or medium-sized enterprise (SME)? Do they understand what it takes to be a 'made in the U.S.A.' company—let alone one that has kept production in the U.S. for the past 40 years?
I'm no trade policy expert, but I do know business. Since 1986, we've produced most of our clothing in Los Angeles—cutting, sewing and knitting from yarn and cotton sourced in the U.S. Some specialty yarns and fabrics we must import—not by choice, but because they're no longer available domestically.
Proposed tariffs will raise costs on imported materials, creating a ripple effect: higher production costs leading to higher prices for consumers. That leaves businesses with two bad options: absorb the extra costs or raise prices without adding real value for customers.
Like many purpose-driven companies, we price our products intentionally, reflecting the quality that comes with local production and ensuring that customers know they're getting real value. Tariffs disrupt that balance, forcing price increases unrelated to product value. We don't want to raise our prices just to offset the effects of poor trade policy—we want people to buy our clothing because what we make is worth it.
When Michael and I started our company, we chose to produce in the U.S. because we believed (and still do) in American values—quality, community and opportunity. Over the years, we were advised to 'move everything offshore'—that manufacturing in America was a mistake.
We refused. We've seen what happens when businesses prioritize short-term cost-cutting over long-term impact. That approach has ruined many fashion brands that were once known for quality. Today, we can see the effects of that approach—fast fashion filling landfills, closing of American mills and loss of skilled workers. Recent reports say that America is down to its last 100 cotton mills.
Tariffs are supposed to support American businesses. But if that's the case, why do companies that have put America first in manufacturing and sourcing for decades feel like they could be caught in the crossfire of what The Wall Street Journal called the 'dumbest trade war in history'?
Jay Timmons, CEO of the National Association of Manufacturers, notes that, 'A 25% tariff on Canada and Mexico threatens to upend the very supply chains that have made U.S. manufacturing more competitive globally.' The ripple effects extend beyond manufacturers to consumers.
The National Retail Federation estimates tariffs could strip $46 to $78 billion from consumer spending each year the tariffs are in place. Tariffs are projected to add 0.5 percentage points to inflation.
If policymakers want to support 'made in the USA' companies, they have to collaborate with SME leaders on real solutions. That means investing in manufacturing infrastructure and targeting unfair competition—not making it more expensive for American businesses to operate.
Now is the time for business leaders to speak out. Here are some ways to take action:
• Educate your customers: Help them understand how tariffs impact pricing and business operations. Use social media and direct communication to explain why American-made goods deserve consumer support.
• Engage with policymakers: Call your representatives and demand policies that truly support U.S. manufacturers.
• Explore industry coalitions: If you're in fashion, organizations such as the National Retail Federation, the American Apparel & Footwear Association, United States Fashion Industry Association and Made in LA can help amplify your voice. (Disclosure: My company joined Made in LA.)
• Strengthen domestic supply chains: Seek partnerships with local suppliers where possible. It won't happen overnight, but you can start now.
• Share your perspective: Write op-eds, speak at industry events and use your platform to push for fair trade policies.
As the shift to offshore production in fashion intensified, I remember being repeatedly told that customers didn't care where their fashion was produced. But they do. We see it firsthand. Customers tell us they come for the style but stay for the quality and for the values we represent.
'Only in America' has always meant the freedom to build something of your own. But that freedom doesn't end at starting a business—it must include the ability to grow and sustain it. If we want to honor that ethos, trade policy must strengthen—not weaken—the businesses already investing in this country.
Because if 'Only in America' means anything, it should mean that businesses that build here can thrive here.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?