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Fly By Jing CEO says Trump's China tariffs are 'disruptive' but her chili crisps can't be sourced from anywhere else

Founder Jing Gao told BI that the fluctuations around tariffs are "impossible to plan for and disproportionately affect small businesses and entrepreneurs."
  • Jing Gao is the founder and CEO of Sichuan chili crisp company Fly By Jing.
  • She told BI that the brand is still committed to sourcing ingredients from her hometown in China.
  • The tariffs "rob Americans of an accessible way to connect with and appreciate cultures at a time when we need it most," she said.

"An Update from Jing on Tariffs." This was the subject line of an email from the popular chili crisp brand Fly By Jing. I'd previously purchased the brand as a gift, and the message landed in my inbox on April 11, just a few days into an escalating trade war between the US and China.

Founded in 2018, the small business is best known for its popular Chinese chili crisp varieties, sold in stores like Target and Whole Foods. The email said that, as of when it was sent on April 11, the brand's products were subject to a 160% tariff rate, compared to 15% before President Donald Trump's sweeping tariffs announcements.

"These tariffs have a material impact — not just on our business but countless others, and are disproportionately impacting small, independent brands like ours," the email read. "The integrity of our ingredients, their specific terroir, and the craftsmanship of our products are highly local to Sichuan and will continue to be."

I scoped out the brand's Instagram page and saw a video of founder and CEO Jing Gao discussing the tariffs' impact on the business and reached out to hear more. Here is the conversation we had over email, with my questions in bold, and Gao's answers below.

How are the tariffs affecting your business?

Considering the volatility of the current tariff conversations, it's really important for us as a brand to fully assess the landscape before making major, potentially irreversible decisions. Currently, no orders or shipments are on hold, and our priorities are continuing to source the ingredients for our core sauces from the Sichuan province and keeping our pricing as affordable as possible.

The tariff announcements have been on and off, and rates have fluctuated. How did this affect your planning?

The current volatility is disruptive and will prove debilitating to many independent businesses. We are fortunate to have built resilience into our organization over the last six years to be able to weather the storm. We have not yet made any major business decisions as we await stabilization, but these fluctuations are impossible to plan for and disproportionately affect small businesses and entrepreneurs.

Can you talk about why it's important to you and to the business to source your products from Sichuan?

One of our key goals through this all is to maintain the integrity of the ingredients in our core products. Our ingredients come directly from Sichuan — fermented black beans, highly prized Tribute peppers, Erjingtiao chilis, and cold-pressed roasted caiziyou — and simply cannot be grown anywhere else.

Fly By Jing sources from Gao's hometown in China.

Last year, you actually dropped prices. Do you see the tariffs impacting product prices going forward, and if so, do you have a timeline on that?

Price accessibility for our products is a core tenet of our brand at Fly By Jing. Our mission is to expand palates and introduce new flavors nationwide, so we need our products to be affordable. In service of this, we implemented a significant price decrease last year — even amid rising inflation — and are reaching more homes than ever. Due to the current volatility, it's important for us as a brand to fully assess the landscape before making decisions that will have long-term implications. Right now, our priority is to keep prices as affordable as possible while maintaining the integrity of our ingredients.

What has your average day looked like in recent weeks? Are you working longer hours as you navigate the situation?

We're at a pivotal moment as a brand and are very focused on expanding to reach new audiences. This news cycle, and its implications, is clearly very consuming as it requires constant attention at an already very busy time — but we are privileged as a brand to have built resilience into our business, which is allowing us to take a step back and assess the situation before reacting. I am speaking often to peers, fellow business owners, and, of course, my team, to gather insights, strategize, and determine the route forward that will allow us to maintain our core brand values.

Is there anything you're not seeing discussed around tariffs and their impact on small businesses that you think is important for people to know?

Sharing authentic ingredients and flavors is one of the most powerful ways to explore the nuances of other cultures — it sparks curiosity, builds connection, and inspires empathy. These tariffs, which as of today are at least 160%, not only threaten our brand's prosperity, but rob Americans of an accessible way to connect with and appreciate cultures at a time when we need it most. Our success as a brand has proven that bold and diverse international flavors at affordable prices are what Americans want and that they are here to stay.

Read the original article on Business Insider
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