US President Donald Trump attacked Walmart on Saturday, calling for the retail giant to bear the expenses of his government’s tariffs rather than charge them to consumers. Trump accused Walmart of making empty threats over price increases and claimed the multibillion-dollar profits of the company must pay for the additional cost from import duties.
Walmart should STOP attempting to blame Tariffs as the excuse for price increases,” Trump said. “They earned BILLIONS OF DOLLARS last year. Walmart and China together should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING.
The remarks come as there is increasing worry about Trump’s hardline tariff policy’s inflationary effect. Business chiefs and economists have warned that the tariffs meant to wean the country off foreign manufacturing and pressure trading partners are likely to hit US consumers hard and hinder supply chains.
Walmart, which has over 1.6 million employees in the US, recently warned that prices for vital products from food to children’s car seats could jump sharply. Its CFO, John David Rainey, explained that a $350 car seat from China could soon increase by another $100 as a result of tariffs.
Even though Walmart’s first-quarter sales are strong, executives indicate that there’s a breaking point to how much of the cost they can absorb. “We’re programmed to maintain low prices, but there’s a breaking point as to what we can endure,” Rainey mentioned.
Trump’s tariff regime has also put pressure on relations with big trading partners such as Canada, Mexico, and China. He claims the tariffs are needed to safeguard US jobs and has signaled that he will keep floor tariffs in place while negotiating trade agreements with countries such as the UK.
At the same time, Trump was pushing Federal Reserve Chairman Jerome Powell to lower interest rates, accusing him of moving “too late” and threatening additional economic uncertainty.
