WASHINGTON: US President Donald Trump said on Saturday (May 17) that Walmart should “eat the tariffs” instead of blaming duties imposed by his administration on imported goods for the retailer’s increased prices.
“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain. Walmart made BILLIONS OF DOLLARS last year, far more than expected,” Trump said in a social media post.
“Between Walmart and China they should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING.”
Walmart said it has always worked to keep its prices as low as possible, adding that this practice will not stop.
“We’ll keep prices as low as we can for as long as we can, given the reality of small retail margins,” the company said in a statement to Reuters.
Walmart CEO Doug McMillon said on Thursday the retailer could not absorb all the tariff costs because of narrow retail margins.
Even so, he said, the company was committed to ensuring that tariff-related costs on general merchandise, which primarily comes from China, would not drive food prices higher.
Many US companies have either slashed or pulled their full-year expectations amid friction between the US and its trading partners, particularly China, as consumers curtail spending.
Source: https://www.channelnewsasia.com/world/trump-tells-walmart-eat-tariffs-not-raise-prices-5136986
