This week, Walmart Inc said that prices for shoppers will rise due to higher tariffs on goods from China. This came out as the world's largest retailer reported its best comparable sales growth for the first quarter in nine years.
Bentonville, Ark. based-Walmart called out the impact of tariffs on consumers after Macy's Inc delivered a similar warning on Wednesday. The department store chain's Chief Executive Jeff Gennette said tariffs on Chinese imports are hitting its furniture business and warned investors that additional levies would leave its clothing and accessory categories vulnerable.
President Trump increased tariffs on 200 billion US dollars' worth of Chinese imports to 25 percent from 10 percent last week. The move is widely expected to raise prices on thousands of products including clothing, furniture and electronics. China retaliated on Monday, though on a smaller scale.
Walmart Chief Financial Officer Brett Biggs said in an interview that higher tariffs will result in increased prices for consumers. He said the company will seek to ease the pain, in part by trying to obtain products from different countries and working with suppliers' "costs structures to manage higher tariffs."