U.S. President Donald Trump criticized Walmart for attributing rising prices to tariffs on Chinese imports, urging the retail giant to "eat the tariffs" instead of passing costs to consumers. Trump’s remarks followed Walmart’s recent statement that it plans to raise prices due to ongoing tariff pressures, mainly affecting general merchandise sourced from China.
“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump posted on social media. “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China, they should… ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING.”
Walmart responded by reaffirming its commitment to affordability, noting it keeps prices low despite tight retail margins. CEO Doug McMillon emphasized that while the company cannot fully absorb tariff costs, it remains focused on shielding food prices from these increases.
The retail giant, which serves over 255 million customers weekly and reaches 90% of the U.S. population within a 10-mile radius, is seen as a key indicator of consumer spending trends. Its warning on tariffs reflects the broader strain facing U.S. retailers as trade tensions with China escalate.
Retail analysts note that Walmart has historically excelled at cost management, allowing it to keep prices competitive. However, the scale of current tariffs is making that increasingly difficult.
This comes after similar reports that Amazon may disclose the impact of Trump-era tariffs on its pricing—claims the company later denied following criticism from the White House.
As the U.S.-China trade dispute continues, the effects on consumer goods pricing remain a central concern for retailers and shoppers alike. Walmart's stance highlights the mounting pressure on major retailers to balance rising costs with customer affordability.