Top retailers Walmart, Target, and Home Depot have warned President Trump about the potential consequences of imposing tariffs on imported goods, citing concerns over higher prices and product shortages. The industry’s largest leaders met with Trump at the White House to discuss the impact of reciprocal tariffs, which could cost American consumers up to $78 billion in annual spending power.
Industry experts say that tariffs would mainly affect retailers who import a significant portion of their products from abroad, such as Target, which imports about 50% of its merchandise. The National Retail Federation estimates that tariffs could lead to a 15% or more decline in product volumes by the end of the year, resulting in selective product shortages.
The industry’s leading associations have expressed concerns over the potential consequences of tariffs, with American Apparel & Footwear Association CEO Steve Lamar stating that higher prices, job losses, and product shortages would be just some of the adversity faced by the US economy if tariffs are pursued. The Retailers’ views align with consumer sentiment, with an NRF/Morning Consult survey showing 76% of voters expect prices to rise if tariffs are implemented.
The impact of tariffs on the retail industry is significant, with $8.5 trillion in annual spending power at stake across six categories of goods. As consumers face rising prices, low-income households, working-class families, and vulnerable communities will be disproportionately affected.
Source: https://www.forbes.com/sites/pamdanziger/2025/04/23/walmart-target-and-home-depot-ceos-meet-with-president-trump-to-talk-tariffs