Southern California Small Businesses struggling under ICE raids, tariffs: Survey Posted on January 26, 2026January 23, 2026 (small.news) — Small businesses in Orange County, California, are feeling “overwhelming economic pain” from President Donald Trump’s tariffs and the ongoing ICE raids, according to a survey from UC Irvine. The study gathered responses from 375 small business owners in September 2025, with the Second District Supervisor’s office reaching out to local chambers of commerce, nonprofits, and trade groups to share the survey. Supervisor Vicente Sarmiento said the purpose of the survey is to “drill down on the regional impact” of Trump’s tariffs and the ICE raids on Orange County’s small businesses. Sarmiento said, “The goal of the study is to say, ‘You don’t have to have an emotional or passionate response to these policies, you just agree with it or not, you certainly are going to be impacted negatively.” Over 80% of Respondents Have Fewer Than 10 Employees Only 5% of the respondents in this survey own businesses with more than 50 employees. 81% of respondents have fewer than 10 employees, and 12% have 11 to 50 employees. Most of the surveyed small business owners work in retail and trade. Around 70% of respondents were born in the United States, and white small business owners made up a little over half of the survey sample. Latinos made up a quarter of the sample size, according to SiliconValley.com. Orange County Latino Small Business Owners Losing Revenue Since ICE Raids SiliconValley.com reported that Latino small business owners in Orange County saw a loss of nearly $59 million in revenue and $4.5 million in sales tax in the eight weeks following May 15, 2025. That’s the day when ICE announced workplace raids and massive arrests, according to the research. Now, those who have been impacted have had to ask for grants, loans, and tax relief, as well as marketing support and “Buy Local” campaigns. The survey also showed that many small businesses have had to ask for legal aid and rights awareness workshops. The survey revealed that some respondents experienced greater financial strain in 2025 than during the COVID-19 pandemic. This is due to being unable to apply for assistance programs like the one funded by the American Rescue Plan. Orange County Can’t Provide Much Financial Help: Supervisor Sarmiento explained that the county can’t offer much financial relief to these small businesses. The county already relies heavily on federal and state funding, which has allegedly decreased with the current administration. Overall, small business owners in the county are feeling extremely cynical about the state of the economy. Two-thirds of respondents reported a negative future outlook, according to the study. When it came to ICE raids, around 60% of respondents said they had a “somewhat” or “very” negative impact on their local economy. Around 13% of respondents reported a “very positive” impact. And, over 60% of respondents said that Trump’s tariffs have harmed Orange County’s economy. Only 9% said the impact has been “very positive.” Southern California Small Businesses Shed 175,000 Jobs in 2025: Report According to SiliconValley.com, businesses in Southern California had to let go of 175,000 jobs in 2025. They only added 20,600 employees, which is 80% slower than the normal higher rate. A lot of immigrant families have reportedly expressed fear about going outside of their homes and buying groceries from local shops. Sarmiento said this has had a ripple effect on the economy as a whole. “What’s not measured is the purchasing power of the immigration population. There’s money in the immigrant community that sustains businesses,” he explained. Latest Stories