SACRAMENTO – Majority Leader Lena Gonzalez’s (D-Long Beach) Senate Bill (SB) 263 – Protecting Residents, Industries, and California’s Economy (the PRICE Act) – passed the Senate on a 33-1 vote as rapidly changing tariff policies impact California workers, families, and businesses.

In recent months, new tariffs have been implemented, paused, delayed, retracted, and reinstated, creating economic uncertainty for consumers and businesses, threatening the supply chain, and increasing prices. Recent estimates show that new tariffs could lead to price increases such as: $5,000-$10,000 more for a new car, a $300 increase in annual premiums for car insurance, an additional $9,200 more to build an new home, and other price increases amounting to nearly $5,000 per household. 

California must assess the impacts of these tariffs on affordability, employment, key industries, and other economic factors to ensure policymakers have the comprehensive data needed to inform policy decisions. SB 263 would direct specified state agencies to study those impacts. 

“SB 263 is a commonsense, forward-thinking response to tariff chaos from the federal government,” said Majority Leader Gonzalez. “Californians are feeling the squeeze from nonstrategic, rapidly changing tariffs. From our Ports to our kitchen tables, the uncertainty, rising prices, and supply chain issues are harming our state’s economy and worsening the financial burden on families already struggling with a rising cost-of-living.”

SB 263 now heads to the Assembly, with support from a broad coalition of stakeholders. 

Read more from supporters: 

“As the owner of a small flower shop, tariffs have been a growing concern. We've seen an 18% increase in costs compared to previous periods, largely due to the rising prices of our merchandise that comes mainly from South America. It's been difficult especially because it’s becoming harder to compete with larger businesses that have the resources to better manage their supply chains.” 
Rosita’s Flower Shop, South Gate, CA

“The manner in which tariffs on both imports and exports are being levied is causing enormous uncertainty within the supply chain industry, among regional, national and global businesses and governments, and will soon impact consumers all across this country with higher prices and fewer choices when shopping. Since the beginning of May, ILWU members have experienced significantly lower work opportunities and our part-time workforce have had little to no work opportunities at all. We stand ready and willing to work when normal conditions return.”
Gary Herrera, President, ILWU Local 13

“Nearly 10% of building materials used to build homes in California are imported. Tariffs that raise the cost of building products we need will have a detrimental effect on housing affordability and availability for California consumers, adding $10,000 per new housing unit. The California Building Industry Association applauds Senate Majority Leader Gonzalez for authoring this measure which is needed to shed more light on the negative impacts of tariffs on housing and homebuilding as we all work to address California’s housing crisis.” 
Dan C. Dunmoyer, President and Chief Executive Officer, California Building Industry Association

“Tariffs on imported cars and auto parts are predicted to increase car prices--  by some estimates, between $5,000-$10,000 per vehicle, in addition to increased maintenance and insurance costs. The added costs could price many California families out of the market for a newer car. SB 263 will provide California lawmakers with the information they need to understand the impact of tariffs on California consumers.”
Rosemary Shahan, President, Consumers for Auto Reliabiliy and Safety

“It’s no secret that tariffs raise prices on grocery store shelves. While the grocery industry navigates on-and-off again uncertainty and strives to keep groceries affordable, we thank Senator Lena Gonzalez for her leadership on this effort to explore the very real impacts new federal tariffs would have on our shoppers and communities.” 
Ron Fong, President and Chief Executive Officer, California Grocers Association

“As we begin to see the many different types of impacts that the imposition of tariffs on imports will have on our economy, businesses, workers, and the state of California itself, SB 263 establishes a baseline for the state to evaluate these impacts. California’s seaports are the principal gateways for not only the importation of finished goods for American consumers, but also of component parts and inputs for advanced manufacturing, our homebuilders, and for American farmers, who in turn lead the globe in innovation, house Californians, and feed the world.  SB 263 will evaluate both the costs and benefits of the impacts that tariffs can have on these complex international economic relationships that undergird our state’s economy.”
Mike Jacob, President, Pacific Merchant Shipping Association. 

“The California Trucking Association applauds Senator Gonzalez’s commitment to understanding the far reaching impacts of tariffs on our state’s supply chain. With 40% of the nation’s containerized goods passing through the San Pedro Bay Port Complex, the challenges faced by the trucking industry are profound, potentially affecting tens of thousands of truck drivers’ livelihoods. SB 263 is a crucial step forward in gathering the necessary data to address these challenges and ensure the continued strength and resilience of our nation’s supply chain.”
Eric Sauer, Chief Executive Officer, California Trucking Association

"California's economy is the fourth largest in the world, and much of this is thanks to our strong trade relationships. I applaud Senator Gonzalez for her leadership in seeking to understand how the administration's tariffs are impacting our state."
Brian Hanlon, CEO, California YIMBY

"At a time when Californians are facing significant affordability challenges, understanding how tariffs affect consumer prices can help identify pathways to mitigating cost-of-living pressures and supporting economic growth." 
Jon Kendrick, Policy Advocate, CalChamber

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Majority Leader Lena Gonzalez proudly represents one million residents in California’s 33rd Senate District, which encompasses Southeast Los Angeles, the City and Port of Long Beach, Lakewood, Signal Hill, and Catalina Island. As Senate Majority Leader and Chair of the California Latino Legislative Caucus, she is a dedicated advocate on key priorities that impact Californians from economic development and environmental justice to LGBTQ+ and women’s rights, digital equity and more. Majority Leader Lena Gonzalez has championed major policies, including broadband for all, expanding paid sick leave, advancing clean transportation incentives, and ending neighborhood oil drilling. She lives in Long Beach with her family. To learn more, visit www.sen.ca.gov/gonzalez.

Rosita’s Flower Shops is a family-owned business in South Gate with over 20 years of experience, starting as street vendors before opening their storefront four years ago. They’re known for handcrafted floral arrangements and a personal touch that reflects their deep roots in the community.

The International Longshore and Warehouse Union (ILWU) represents dockworkers in and around the Port of Los Angeles and the Port of Long Beach. More specifically, ILWU Local 13 represents Longshoremen, ILWU Local 63 represents Marine Clerks, and ILWU Local 94 represents the Foremen. These three Locals collectively, represent over 15,000 individuals that, daily, provide labor to the local Marine Terminal Operator (MTO) tenants of San Pedro Bay.

The California Building Industry Association (CBIA) is a statewide trade organization located in Sacramento. It represents thousands of member companies, including homebuilders, trade contractors, architects, engineers, designers, suppliers, and other professionals involved in homebuilding, multi-family, and mixed-use development. CBIA members are responsible for nearly 90% of new housing units in California, encompassing a range of projects from charity homes and affordable housing to middle-class market-rate and luxury residences.

Consumers for Auto Reliability and Safety (CARS) is a national, award-winning non-profit auto safety and consumer advocacy organization. CARS works to save lives, prevent injuries, and protect consumers from auto-related fraud and abuse.

For more than 125 years, the California Grocers Association has served as the voice of the state’s grocery community. A nonprofit, statewide trade association, CGA’s membership is comprised of over 300 retailers operating more than 6,000 brick-and-mortar stores, and approximately 150 grocery supply companies.

The Pacific Merchant Shipping Association (PMSA) is an independent, not-for-profit association focused on global trade. PMSA operates offices in Oakland, Long Beach and Seattle, and represents owners and operators of marine terminals and U.S. and foreign vessels operating throughout the world.

Since 1934, the California Trucking Association has been serving the trucking industry in California, and the companies that provide products and services to those companies. The California Trucking Association promotes leadership in the California trucking industry, advocates sound transportation policies to all levels of government, and works to maintain a safe, environmentally responsible and efficient California transportation goods movement system.

California YIMBY’s mission is to make California an affordable place to live, work, and raise a family. Achieving our mission will put California on a path of broad-based economic prosperity, creating vibrant, livable, and inclusive communities for everyone.

CalChamber serves as an advocate and resource for California employers and engages in other activities, domestically and internationally, that enhance the California economy and make the state a better place to live, work and do business.