Majority of US Businesses Have Lost Profits due to Tariffs
Recent global surveys of senior executives show that unpredictable tariff changes now pose a major risk to corporate earnings, as 76% of businesses report that tariff-related disruptions have already reduced their profits.
The findings were uncovered by Enable, a leading AI-driven rebate and pricing management platform. The research, which was conducted by Censuswide, among 1,500 senior business leaders with pricing responsibility across retail, FMCG, manufacturing and wholesale distribution in the US, UK and DACH region. The data was collected between 19 June and 30 June 2025.
It has also found that 91% of businesses are concerned about tariff impacts over the next 12 months, with a third (33%) "extremely concerned".
With 34% of the average business's cost base exposed to tariffs, this anxiety reflects a significant risk to profits.
The speed gap: When response lags behind reality
These findings have exposed the dangerous gap between the speed of tariff changes and businesses' ability to respond. As 84% of companies plan to increase prices to offset the impact from tariffs, 59% of respondents confess to it taking weeks or even months to put these price changes into effect.
Andrew Butt, Founder and CEO of Enable, says: "With costs shifting unpredictably and 93% of businesses admitting their current pricing responsiveness risks further profit loss, pricing agility has become an essential survival skill.
"The lag between tariff updates and implementing price changes creates a window where competitors with faster pricing capabilities can capture significant market advantage."
Drastic measures: Retreat and restructure
The scale of planned business responses shows just how severe the challenges truly are. Beyond just raising prices as their primary response to tariff pressure, 52% will reduce costs elsewhere and 46% are considering reducing or even withdrawing from the high-tariff markets entirely.
Even though 96% see pricing as a strategic lever, 26% do not have confidence in their pricing strategy.
Customer relationships are also adding more complexity to the whole situation. As 85% are fearful of their customers' sensitivity to tariff-related price changes and 94% of businesses are concerned about having a negative impact on the relationship due to these changes to prices.
The research has shown how in today's dynamic business environment there are critical flaws in conventional pricing strategies. Companies are struggling to adapt their pricing models to rapidly changing market conditions, leading to widespread recognition that existing approaches fall short of current demands.
This awareness has sparked a wave of investment in enhanced pricing capabilities. The research identifies outdated systems as a primary obstacle to pricing flexibility, ranking just behind customer resistance as the top challenge businesses face when trying to implement more agile pricing strategies.
The urgency of this transformation is reflected in companies' investment plans. 80% of businesses expect to invest in new pricing tools within the next 12 months, demonstrating the widespread acknowledgement that current tools are insufficient.
Similarly, market turbulence has already prompted 79% of companies to reassess and modify their pricing frameworks, highlighting how external pressures are forcing immediate strategic adjustments.
Andrew adds: "As trade tensions show no signs of abating, the research highlights that building pricing resilience has become an urgent strategic priority. Organisations that can rapidly assess tariff impacts, model response scenarios, and execute changes will be best positioned to protect margins and establish a competitive market advantage."
Earlier this year, Enable launched its Tariff Price Planner, a new application which allows businesses to model the impact of tariff scenarios in real time, helping them to navigate shifting trade policies.