Walmart has responded to President Donald Trump’s suggestion that it should cover all cost increases resulting from his tariffs, saying it will not stop raising prices due to small retail margins.
Trump recently stated on social media that Walmart and China “should eat the tariffs” and not pass the costs on to customers. However, the company remains committed to keeping prices as low as possible, with CEO Joe Pennington stating that it aims to do so despite the impact of tariffs.
Walmart’s CFO John David Rainey also warned that if suppliers follow suit, other companies may increase their prices due to small margins. The retailer imports products from Central and South America and China, where tariffs have been paused but remain high.
The company has maintained its forecast for net sales and operating profits, despite the concerns about tariff-related price increases. Consumers can expect these price hikes in late May and early June, according to Rainey. Walmart joins a growing list of firms that have raised prices or warned about potential tariff-related cost increases.
Source: https://www.hindustantimes.com/world-news/us-news/we-won-t-stop-walmart-reacts-to-trumps-order-to-eat-the-tariffs-heres-what-happens-next-101747823062862.html