Trump against Walmart: Price increases for tariffs ensure vertebrae!

Trump against Walmart: Price increases for tariffs ensure vertebrae!

Oceanside, Kalifornien, USA - Walmart in Oceanside, California, has recently announced price increases, which US President Donald Trump called on the scene. On May 17th, he commented on Truth Social Critical about the retail chain and accused Walmart to use the high tariffs as an excuse for increasing prices. Trump pointed out that Walmart earned more than expected billions in the past year and demanded that both Walmart and China should accept the tariffs without passing on additional costs to customers. Walmart's reaction to this post has so far been pending.

The Walmart CEO Doug McMillon had already stated on May 15 that the company cannot fully bear the costs caused by the tariffs. He emphasized that Walmart endeavors not to implement the customs -related costs in higher food prices. These challenges are not only noticeable for Walmart, but also affect many US companies that withdraw their profit forecasts due to the ongoing trade voltages, especially with China.

political effects and market conditions

Walmart is seen as an indicator of the negative effects of the trade war on retail. While the retailer controls costs in order to maintain competitive prices, the announced price increases are a significant challenge. Currently around 255 million people buy in the branches or online at Walmart, which underlines the relevance of the company in the US market.

Walmart CFO John David Rainey stated that the company was satisfied with the progress of the government among the tariffs, but they are still too high. He explained that Walmart would cushion some of the price increases themselves, but would certainly feel the effects of consumers. The price increases should be visible on the shelves by May at the latest and primarily affect products such as electronics and clothing that make up a large part of Walmart's inventory and mainly come from China.

This development could also be politically explosive for Trump, since his electorate is considered price -sensitive. The continuing challenges within the supply chain, caused by the higher US tariffs on Chinese imports, increase cost pressure and could therefore influence consumers' purchase decisions.

for Walmart the question arises as to how the company can master the balancing act between the necessary pricing and the protection of customer satisfaction, while at the same time it faces the challenges from outside.