Walmart CEO Doug McMillan made the announcement.
Transcript:
The world’s largest retailer is raising prices – and it’s blaming the White House. Walmart announced it has no choice but to increase the prices on some of its items, claiming President Trump’s trade war is upping company’s costs.
On its recent earnings call, CEO Doug McMillan told investors “We will do our best to keep our prices as low as possible. But given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins. The higher tariffs will result in higher prices.”
Unlike many of its competitors, only a small portion of Walmart’s inventory comes from China – around 15%. Groceries make up about 60% of its items, and most of those are sourced from within the U.S. In its earnings call, the retailer said sales at stores open for at least one year rose 4.5% last quarter.
Walmart said the price hikes would go into effect later in May.
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