MrBeast is voicing concerns about Donald Trump’s fresh import tariffs, arguing that they could significantly increase production costs, not only for his business but for small companies nationwide. He even suggests that it would be more cost-effective to produce his own product, “Feastables,” abroad.
New Tariffs Equal Higher Costs
The President, Donald Trump, is considering imposing high taxes on goods from other countries, with the intention of making imports more costly. This, in theory, would encourage companies to manufacture their products domestically once again and stimulate local employment and factory growth. However, there’s a potential catch: these new tariffs might unexpectedly lower production costs for businesses such as MrBeast’s Feastables, causing them to continue producing outside the U.S., which goes against the initial objective of the plan.
Interestingly, due to the recent tariffs, it turns out that producing our globally sold chocolate bars becomes significantly less expensive – not in the United States, but rather overseas. This is primarily because many other countries do not impose a 20% or more tariff on our raw materials (cost of goods).
— MrBeast (@MrBeast) April 8, 2025
MrBeast’s Chocolate Might Leave The U.S.
According to MrBeast, the cost of producing chocolate bars in the United States has increased by more than 20%, which is quite significant. The main reasons for this hike are additional taxes imposed on ingredients such as cocoa and sugar. Consequently, manufacturing Feastables’ chocolate bars abroad and shipping them to the U.S. is a less expensive option. Although shifting production isn’t an ideal solution, it may soon be necessary to remain competitive in the market.
The Real Victims: Small Businesses
While MrBeast’s extensive resources allow him to handle changes, he emphasized that this matter transcends his capabilities. For smaller businesses, these new tariffs could be catastrophic as many lack the funds to relocate production or immediately adapt to sudden price hikes. Costs have been escalating for some time now, and small businesses are still grappling with the financial impact of COVID-19. The prospect of a looming recession only adds to their woes. With these new tariffs on top, the outcomes could be disastrous. Most small brands lack contingency plans or financial reserves – an overnight increase in costs could push them into serious difficulty.
By the way, we ensure our farmers receive a fair wage and use beans that are certified fair trade. As a result, I was already spending quite a bit on cocoa. Frankly, an unexpected price increase was tough to handle.
We’ll find a solution. However, I empathize with small businesses; such a price hike could potentially be their downfall.
— MrBeast (@MrBeast) April 8, 2025
Smaller businesses such as Feastables’ competitors could potentially face extinction due to this issue, with many struggling local stores and individual creators finding themselves in a fight for survival instead. MrBeast described the situation as harsh, and for these small entities, his words hold truth.
Feastable’s Future
MrBeast mentions that Feastables continues to strive for an ethical approach in their chocolate production, ensuring fair labor conditions and wages for everyone involved, including factory workers and farmers. This commitment has been a part of their brand ethos from the start. However, due to rising production costs in the U.S., they might need to reconsider the location where the chocolate bars are manufactured.
Who Really Wins?
Trump’s strategy aims to support American businesses, but it seems to be having the opposite effect. Smaller brands are finding it difficult to thrive due to increasing expenses, whereas large corporations either transfer these costs to consumers or relocate production overseas. Consequently, imported goods become more expensive, prompting consumers to purchase from established U.S. companies instead. Thus, in the long run, it’s primarily the wealthy elite who reap the benefits – they can adapt, safeguard their profits, and come out on top while the majority of people are left struggling.
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2025-04-10 16:10