
The Hidden Tax That’s Driving Up Local Prices
It’s easy to think of tariffs as something abstract, part of the political chess match between global superpowers. But what happens in Washington and Beijing doesn’t stay in Washington and Beijing. The impact shows up right here in Eagle County, in ways you might not expect.
A recent report from the U.S. Chamber of Commerce lays it out clearly: new tariffs imposed on $18 billion worth of Chinese imports are raising costs for American businesses, especially small and mid-sized operations. These aren't just numbers on a spreadsheet. They are higher costs for local construction firms sourcing electrical equipment, for the contractor trying to install solar panels, for the auto shop working on newer EV models, and even for the local hospital ordering medical supplies.
Every two weeks, the Census Bureau surveys approximately 200,000 American businesses about what they’re paying and what they’re charging. The trend is clear: prices are going up across the board. And as businesses adjust to higher costs from tariffs, especially when they think those tariffs will stick around, they begin to raise prices on customers. That includes all of us.
The price increases are passed on to retailers, and ultimately to consumers. This is especially true when companies/business owners believe that higher tariff rates are more likely to remain in place over an extended period.
Tariffs on electric vehicles, semiconductors, solar equipment, and key medical technologies are jumping substantially (some more than doubling). Supporters call them protective. But make no mistake—these tariffs are taxes, and they land squarely on American shoulders. That includes Eagle County residents and businesses.
We’re not a manufacturing hub, but we are a place where goods, services, and people flow in and out every day. Our economy is built on tourism, construction, healthcare, real estate, hospitality, and recreation. And each of those sectors depends on access to reliable, affordable materials and equipment, much of which is sourced globally.
Need an MRI machine for a local medical facility? Tariffs just made that pricier. Installing rooftop solar on a home in Eagle? Add a surcharge. Ordering new e-bikes for a rental fleet in Vail or a retail store in Avon? Good luck keeping prices competitive.
And because small businesses rarely have the buying power or profit margins to absorb these rising costs, prices go up for consumers. That means locals and visitors alike pay more, at a time when affordability is already a major concern in our mountain communities.
There’s also a ripple effect. Retaliatory tariffs can hit Colorado’s agricultural producers and manufacturers trying to access overseas markets, hurting our rural communities and local jobs.
Eagle County might feel like a world away from global trade wars, but our economy is directly connected to global trends and is impacted by trade policy. Supply chains matter. Trade policy matters. And when costs go up due to tariffs, the burden falls disproportionately on small businesses and working families on Main Street.
It’s easy to wave the flag and cheer for American-made. But if the tools we use to get there hurt small businesses, limit access to healthcare, and unnecessarily increase local prices, we need to ask: Is this the right path?
For the sake of Eagle County’s economy, let’s hope policymakers trade the sledgehammer of tariffs for something more precise—and far less painful. Let’s not fall for the illusion that tariffs are someone else’s problem. We need thoughtful policy, not political posturing. Our ongoing economic health depends on it.
Chris Romer is president & CEO of Vail Valley Partnership, 3-time national chamber of the year. Learn more at VailValleyPartnership.com
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Organization Name : Vail Valley Partnership