Three Things to Know: April 11th

This week's information compiled by your SC Chamber team includes: 
Reciprocal Tariffs Paused, TikTok to Present During New Lunch Program on Small Business Day, Legislative Update - Week 13

 1. Reciprocal Tariffs Paused

On Wednesday, President Donald Trump announced that he was implementing a 90-day pause on the previously announced reciprocal tariffs after significant market volatility. Instead, a baseline 10% tariff will be levied across all imports, effective immediately. A full list of reciprocal tariffs can be found here. 

Not included in the 90-day pause are the 145% tariffs on Chinese goods that President Trump increased this week, along with the 25% tariffs on automobiles and automobile parts, 25% tariffs on imported steel and aluminum, and the 25% tariffs on certain Canadian and Mexican goods. China responded with retaliatory tariffs of 125% on imports from the United States.

This is an ongoing situation, and the Chamber will continue to keep members informed of the latest developments.

In related news, Peter Navarro, an adviser on trade to President Trump, made disparaging remarks about BMW’s South Carolina-based operations earlier this week that prompted a well-deserved backlash from the state’s political and business leaders.

Since 1992, when it first announced South Carolina as the place to locate its first production factory outside Germany, BMW has invested over $14.8 billion into the Palmetto State and currently employs over 11,000 South Carolinians in high-paying jobs. According to a 2023 study, BMW’s annual economic impact adds up to about $26.7 billion to the South Carolina economy, and every ten jobs created at the BMW factory leads to 25 jobs being created across the state.

The SC Chamber is proud to have BMW call the Palmetto State home and is forever grateful for the transformative impact they have had on our state’s economy.

2. TikTok to Present During New Lunch Program on Small Business Day

Please join us for Small Business Day at the State House, presented by BlueCross BlueShield of South Carolina, on April 29th! We have re-vamped this event with some exciting additions this year, including a lunch program at the Palmetto Club which will be presented by TikTok. They will kick off the lunch programming with a panel discussing resources to help maximize opportunities on their platform to reach, engage, and profit for small businesses.

At its core, Small Business Day at the State House is an annual gathering that brings together small business owners/employees, entrepreneurs, and state officials to discuss key legislative and small business issues affecting growth and development in South Carolina. This is an opportunity to learn, network, and ultimately celebrate the contributions small businesses make in our great state.

Your company does not have to be a member of the SC Chamber to attend this event - the legislative panel and gathering at the State House are free to all citizens of South Carolina's vibrant business community! The lunch programming portion is ticketed but open to all as well. We will be honoring our inaugural Small Business of the Year Award recipient at the Palmetto Club. In addition to TikTok's presentation, attendees of the lunch programming can also expect informative discussions on South Carolina's Small Business Economic Forecast and Employment/HR Trends Affecting Small Businesses from experts in these fields. 

With this event less than three weeks away, make sure to register to attend today! 

3. Legislative Update – Week 13

Only four weeks remain in the 2025 legislative session, and the House and Senate are both working hard against the clock. This week, the Senate Finance Committee met to work on their version of the state’s FY2025-26 budget, while the House worked through a number of bills that were on their calendar.

Additionally, the state’s Board of Economic Advisors (BEA) met on Thursday to provide an update on the state’s General Fund revenues. Notably, the BEA recommended no changes to the FY2025 and FY2026 revenue forecasts, which means lawmakers still have roughly $1.9 billion in new money (recurring and non-recurring) to spend in this year’s budget process.

Lastly, on Wednesday, the Senate Agriculture and Natural Resources Committee held the first confirmation hearing for Myra Reece, who has been nominated to serve as the Director of the Department of Environmental Services (DES). A subsequent confirmation hearing will be held next week. Reece is the current Acting Director of DES.

Notable actions taken this week include:

• FY2025-26 Budget (H.4025) - The Senate Finance Committee spent this week working through their version of next year’s state budget, which will notably include no earmarks. Highlights from the Senate’s budget include:
  • $290 million for additional individual income tax relief.
  • $100 million to the Department of Transportation (SCDOT) for the acceleration of bridge infrastructure improvements throughout the state. 
  • $112 million to raise teacher salaries and increase starting teacher pay from $47,000 to $48,500.
  • $90 million for technical college scholarships for critical needs jobs through the SC Workforce Industry Needs Scholarship Program (SCWINS). 
  • $36 million to the Department of Commerce for industrial site readiness projects.
  • $9.9 million to the Department of Employment and Workforce (DEW) for the Find Your Future portal.
  • $840,000 to the Department of Environmental Services (DES) for energy infrastructure permitting and a proviso requiring decisions on DES permit applications within 90 days.
• Credit for Prior Work Experience (S.78) – This week, the House Education and Public Work (EPW) Committee’s K-12 subcommittee advanced a bill that aims to combat the state’s shortage of teachers by encouraging more nontraditional, mid-career professionals to join the teaching profession by allowing them to receive credit for prior work experience. The bill now heads to the full EPW Committee.
• South Carolina Social Media Regulation Act (H.3431) & Age Appropriate Design Code (S.268) – On Tuesday, a Senate Labor, Commerce and Industry (LCI) Committee Ad-Hoc subcommittee advanced two bills aimed at protecting minors online by enforcing stricter age verification, parental consent requirements, and content moderation standards. Supporters say the bill would stop many harmful online behaviors, while opponents have raised concerns about constitutional challenges, excessive regulation, and unintended consequences for free speech. The bill now heads to the full LCI committee.
• Public Health Agency Restructuring (S. 2) – On Thursday, the House passed a bill to restructure numerous health-related agencies and establish the Department of Behavioral Health and Developmental Disabilities. The intent of this bill is to better serve individuals by providing integrated care under one department. The bill now heads back to the Senate.

The Senate will be back in session next week, while the House is on furlough until April 22.