On April 2, 2025, the announcement of sweeping new tariffs by the Trump administration hit inboxes and newsfeeds like a thunderclap. Tariffs on imports from key trade partners—meant to “protect American interests”—sent business owners and enterprising families scrambling to assess the impact.
And yet, for many, the strongest response wasn’t strategic. It was emotional. Emotion is a physiologic and biochemical reaction - it is not something we can avoid. Emotion is something we should avoid denying.
In this case it is anxiety, frustration, a low hum of panic, and a bit of shock. Not unlike how it felt in March 2020, when COVID-19 first upended the world.
So what’s going on? Why are so many leaders finding themselves unusually reactive to what is, in theory, just another policy shift?
The answer lies in the compound nature of trauma and uncertainty.
This Isn’t Just About Tariffs—It’s About Control
During the early days of COVID, every business owner had to wrestle with some version of the same reality: “I can’t control this. I don’t know what’s coming. I have to make impossible decisions.”
For some, it meant furloughing loyal staff. For others, it meant watching long-term plans dissolve overnight. And for almost everyone, it meant adapting to a relentless stream of disruption with little warning and no playbook.
Fast forward five years. The wounds may not be visible anymore, but they’re there—stored in the nervous system, the boardroom, and the family dinner table. And now, just 24 hours after the April 2, 2025 tariff announcement, many are feeling the stirrings of a second traumatic event beginning to unfold. The ground is shifting again, and for many leaders, it doesn’t just raise new questions—it reopens old wounds.
Compound Trauma in the Business Context
Trauma isn’t just about big, catastrophic events. It’s about the accumulation of stress, unpredictability, and powerlessness—especially when leaders feel unable to protect their people or secure their future.
In business families and owner-led companies, that weight is even heavier. Decisions aren’t just financial—they’re personal. They affect siblings, spouses, and long-time employees who feel like family.
When new disruptions hit (like these tariffs), the emotional memory of COVID comes flooding back:
The fear of not knowing what else might be coming or how bad it could get.
The exhaustion of reactive leadership.
The isolation of holding the burden of decisions that impact people we care about – employees, customers, vendors, family members.
Even if the facts are different, the “felt experience” is eerily similar.
Why This Matters Now
For many low to mid-market business owners, the reaction to the tariffs isn’t just about pricing models or margin erosion. It’s about the wear and tear of prolonged uncertainty.
We’re entering a new era of volatility. Trade policy, geopolitical tension, and election cycles are going to keep throwing curveballs. What distinguishes resilient leaders won’t be the ability to predict the future—but the ability to recognize when old fear is driving new decisions.
This is especially critical for family businesses, where unspoken stress can quietly shape how decisions are made—who gets included, what gets delayed, and how succession and investment conversations unfold.
The Trap of Short-Term Thinking
One of the most common—and costly—mistakes leaders make in moments like these is defaulting to short-term thinking.
When anxiety spikes, the instinct is to cut fast, defer projects, or chase 'safe' solutions. While sometimes necessary, these quick decisions often come with long-term consequences: reduced capacity, delayed growth, weakened culture, and loss of trust among teams or family members.
The goal isn't to avoid action, but to act with intention. A pause to assess doesn't mean you're not moving. It means you're steering, not reacting.
What to Do Now: Practical Steps
Name the Reaction: Start by acknowledging the emotional residue. “This reminds me of COVID” is not a weak statement—it’s a strategic insight. It signals that your brain is reacting not just to tariffs, but to stored uncertainty.
Distinguish Between Past and Present: Ask, “What is truly the same, and what is different?” You have more tools now. More data. More resilience. Don’t let emotional echoes cloud your clarity.
Talk Openly with Your Team and Family: Invite a conversation about how people are feeling, not just what they’re thinking. Powerlessness thrives in silence. Connection builds capacity.
Revisit the Foundations: You don’t need to panic, but you do need to prepare. Use this moment to shore up your decision-making, get clarity on the business levers you can pull and then determine how hard you can pull them. Take the time to asses long-term impact of short-term decisions.
Invest in Your Own Stability: Leadership requires emotional regulation. Whether through peer groups, coaching, or trusted advisors, make sure you have space to process—not just perform.
Final Thought: You’re Not Overreacting
If you’re feeling off-balance, it’s not just you—and it’s not just the news. These moments of disruption ripple through all the past decisions, stressors, and emotional investments you've carried.
The most grounded leaders know this. They don’t just manage the numbers—they manage their nervous systems.
This isn’t just about tariffs. It’s about learning to lead in a world where uncertainty is no longer the exception—it’s the backdrop. And the leaders who learn to surf that emotional tide without drowning in it? They’re the ones who will build businesses—and legacies—that last.
Resources:
If you need help creating space for calm, grounded decision-making in your family business?
Let’s talk…you’re not alone: 714-389-9318
Drop us a note: admin@ockiwi.com
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Peer Group Organizations
Books:
Dotlich, D. L., Cairo, P. C., & Rhinesmith, S. H. (2009). Leading in times of crisis: Navigating through complexity, diversity, and uncertainty to save your business. Jossey-Bass.
Goleman, D., & Cherniss, C. (2022). Optimal: How to sustain personal and organizational excellence every day. Harper Business.
Parrish, S. (2023). Clear thinking: Turning ordinary moments into extraordinary results. Portfolio.