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San Francisco businesses preparing for financial impacts of tariffs

March 11, 2025
in Business
San Francisco businesses preparing for financial impacts of tariffs
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As tariffs on products from Canada and Mexico went into effect this week. Some businesses have taken steps to offset potential impacts. 

Tacolicious in San Francisco sent out a notice warning customers about a price hike on their guacamole.

Tacolicious started as a modest taco stand at the farmers market in 2009. Now, it has three Bay Area locations. 

Bear and Emily Barnes have been coming to the Marina location for about six years. They’ve noticed firsthand how hard it’s been for small businesses to survive on Chestnut Street.

“We see a lot of turnover in this street alone,” said Emily Leaden Barnes. “Having a restaurant like this be around for so long, we were just talking about how it’s ones of our favorites to go to for just a random night of the week. We want to keep them open.”

So, instead of being scared away by higher prices, Bear and Emily say they’re committed to helping out during tough times.

“I think it’s a challenging climate for all businesses, and like anything we can do to help support local businesses like this is super important just to keep the neighborhood thriving,” said Bear Barnes.

Tacolicious sent out this letter on social media to its customers about the changes. Citing the orders from the White House to impose tariffs, the restaurant had to make its most significant price increase to its guacamole. From $13.50 to $16.75.

“Our hearts are set on providing that value,” said Jerome Dees with Tacolicious. “This is definitely not what we wanted to charge for guacamole but as a business we also have to make sure we have enough to pay the staff and keep the lights on.”

Dees said the cost for limes has increased as well, forcing the company to switch to a lemon/lime base for the margaritas to take advantage of California-grown lemons. The goal though will be for the company to be able to lower prices and go back to serving up their original recipes.

“We’re watching it very carefully and that’s why we’ve done the adjustments the way we’ve done them that if this all goes away, we can revert to the menu that we had,” said Dees.

In the meantime, customers like Bear and Emily say it’s a price they’re willing to pay for now.

“Hurts in the short term for us to get the tacos it’s definitely worth it to support the business,” said Bear Barnes.

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