Trump tells Walmart to ‘eat the tariffs’ rather than hike prices

President Trump demanded that Walmart absorb the cost of his tariffs to avoid hiking prices.

A Walmart executive this week warned that, despite the U.S. and China striking a deal that would see the colossal tariffs against the country dropped, the remaining duties on imports still boosted costs on the retail giant. 

That reality has prompted the company to likely raise prices by the end of this month, with more hikes expected in June. Mr. Trump, however, blasted the store and argued his trade policy isn’t to blame. 

“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” he posted Saturday on social media.

He added, “Walmart made BILLIONS OF DOLLARS  last year, far more than expected. Between Walmart and China they should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING. I’ll be watching, and so will your customers!!!”

The deal reached with China lowered the tariff on Chinese goods from 145% to 30%, but the 10% tariff on all imports remains. 

The president has acknowledged that his trade strategy could cause momentary pain to consumers, but argued he’s playing a long game through negotiations. His ultimate goal is for companies to reshore or set up new operations in the U.S., thus dissipating tariffs.

Still, the tariffs have caused anxiety among retailers, like Walmart, which has said a third of the products it sells come from China, India, Mexico, Canada and Vietnam.