As executive action on the federal level continues to create uncertainty and economic concerns for our region, I wanted to pass along the latest information and guidance. We recognize the challenges these changing policies place on businesses and are committed to helping you navigate this evolving business landscape.

Tariffs

WHAT TO KNOW:  

• 3/7/25 update: President Trump announced a temporary one-month delay on 25% tariffs for certain Canadian and Mexican imports that were announced earlier this week

• As of today, President Trump has implemented a 25% tariff on all imports from Mexico and Canada, except for a lower rate for Canadian energy, and raised the tariffs on Chinese imports to 20%.
• Canada has already implemented retaliatory measures, putting 25% tariffs on 30 billion CAD of U.S. goods, and the threat of 125 billion CAD more after a 21-day consultation period. The list of what would get tariffed immediately includes food — poultry, beef, fish, yogurt and more — along with various textiles and furniture.
• Mexico’s leadership is expected to meet with the Trump administration on Thursday and outline its plan for retaliatory measures on Sunday.
• While these measures were paused last month, they went into effect at midnight as part of the Trump Administration’s efforts to combat illicit drug trafficking into the U.S.
• There are additional tariffs planned over the next month including:
  • A global 25% tariff on aluminum and steel, set to go into effect on March 12.
  • A global tariff on all agricultural products and foreign cars, set to go into effect on April 2. The amount of these tariffs has not yet been specified.

WHAT WE’RE DOING:

• GLI continues to oppose tariffs and any practice that hinders free trade. These tariffs will undoubtedly raise costs for almost every Greater Louisville business and are likely to impact consumers directly. We are working closely with our partners at the U.S. Chamber and our federal delegation to minimize impact to businesses.
• As we continue to learn more about these impacts, please reach out if GLI can help connect you with any new, local suppliers that can mitigate price increases your industry might encounter. The Center for Nonprofit Excellence recently published an article to help nonprofits and other organizations navigate financial uncertainty. 
• Last month, I joined several GLI investors and participated in an interview with the New York Times, where I had the opportunity to detail the harmful impacts these tariffs will have on Greater Louisville businesses.

Other executive orders to watch:

Immigration

In January, President Trump instituted an executive order related to immigration and giving new authority to the Immigration and Customs Enforcement (ICE) to identify and apprehend undocumented immigrants. Given the complex nature of these policies, GLI turned to legal experts at Dentons Bingham Greenbaum LLP to share guidance on a business’ rights, responsibilities and liabilities in complying with this policy.

Read the article here.

Federal Funding Freeze

Freezing of federal funding, specifically for the National Institutes of Health, and educational institutions, are a major concern for our region. A few weeks ago, we drafted a letter on behalf of the business community expressing concern over the freeze of NIH funding and we continue to oppose any actions that are detrimental to our region and business community. We know that this is having a direct impact on the University of Louisville, which is a critical factor in the success of our regional economy.

Diversity, Equity, and Inclusion

Executive orders related to DE&I are primarily focused on penalizing federal contractors who operate “illegal DE&I programs” and encouraging large businesses to end these programs. The Trump administration has stated it will release further guidance on what constitutes an “illegal” DE&I program in the coming weeks and we are planning to share guidance from a local legal expert in the near future.

We want to hear from you!

GLI is proud to be the voice of the Greater Louisville business community. To serve as your voice, we need to hear how these actions are impacting you. While we can share anecdotal evidence and economist predictions, your stories are most impactful.

Please reach out to me or any member of the GLI team to share your concerns or experiences. This helps us communicate with our elected leaders and our partners who are working on your behalf.