Unique Crypto Strategies
  • Business
  • Politics
  • Investing
  • World
  • Business
  • Politics
  • Investing
  • World

Unique Crypto Strategies

Business

Walmart will likely raise some prices if Trump tariffs take effect, CFO says

by November 19, 2024
November 19, 2024
Walmart will likely raise some prices if Trump tariffs take effect, CFO says

Walmart’s CFO John David Rainey said the retailer would likely have to raise prices on some items if President-elect Donald Trump’s proposed tariffs take effect.

“We never want to raise prices,” he said in an interview with CNBC on Tuesday. “Our model is everyday low prices. But there probably will be cases where prices will go up for consumers.”

Rainey added that it’s too soon to say which products could cost more due to the tariffs.

Walmart’s CFO weighed in on the potential policy change as the company beat Wall Street’s earnings and sales expectations and hiked its full-year forecast.

Walmart’s comments are the latest warning from U.S. retail leaders about the potential blowback from from the duties. During Trump’s presidential campaign, he said he would impose a 10% to 20% tariff on all imports, including levies as high as 60% to 100% for goods from China.

In a statement earlier this month, National Retail Federation CEO Matthew Shay described across-the-board tariffs as “a tax on American families.” He said it “will drive inflation and price increases and will result in job losses.”

The prospect of increased prices comes as inflation has moderated in the U.S., after years of stretching consumers’ wallets.

Other retailers and brands have also spoken out about the potential drawbacks of the tariffs. E.l.f. Beauty CEO Tarang Amin told CNBC in an interview earlier this month that the company could be forced to raise prices if the higher duties take effect. Footwear maker Steve Madden said it will reduce the goods it imports from China by as much as 45% over the next year to try to avoid the financial impact.

The majority of goods Walmart sells are not at risk of tariffs. Rainey said about two-thirds of the items that Walmart sells are made, grown or assembled in the U.S.

Like other companies, Walmart has tried to import from different parts of the world rather than rely heavily on China or any one country, he said. Rainey added that levies placed during Trump’s first administration already caused the company to adjust.

“We’ve been living under a tariff environment for seven years, so we’re pretty familiar with that,” he said. “Tariffs, though, are inflationary for customers, so we want to work with suppliers and with our own private brand assortment to try to bring down prices.”

Like Walmart, Lowe’s said it’s also made moves to diversify its supply chain. The home improvement retailer addressed the potential levies as it reported earnings on Tuesday.

CFO Brandon Sink said about 40% of the company’s cost of goods sold comes from outside of the U.S., including direct imports and merchandise from national brands. He said tariffs “certainly would add product costs,” but added “timing and details remain uncertain at this point.”

“We believe we’re well prepared to respond when and if it does happen,” he said.

— CNBC’s Gabrielle Fonrouge contributed to this report.

This post appeared first on NBC NEWS
0
FacebookTwitterGoogle +Pinterest
previous post
Indigenous-owned Mining Royalty Firm Targeting Canadian Resource Opportunities
next post
US recognizes Venezuelan opposition leader Edmundo Gonzalez as president-elect

You may also like

From tariffs to DOGE, what companies are saying...

New Orleans prepares for Super Bowl 59, its...

FDA officially authorizes Zyn nicotine pouches for sale...

Judge allows lawsuit over Burger King’s Whopper ads...

GM ditching ‘Ultium’ name for batteries and tech...

Musk says he’s sending Starlink tech to FAA...

Amazon to shut down speedy brick-and-mortar delivery service

Tesla reports 336,000 vehicle deliveries in first quarter,...

IAC approves spinoff of home improvement marketplace Angi

American Express CFO says spending picked up at...

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Department of Justice opens criminal investigation into NY AG Letitia James

    • Brunswick Exploration Announces Brokered Private Placement for Gross Proceeds of up to C$2.5 Million, with a Lead Order from a Strategic Investor

    • Drill Contract Awarded for Elizabeth Hill. Technical Visit Completed to Define Drill Targets

    • $2.6M Placement and SPP to fast-track China entry and sales

    • Trump’s first vice president urges his old boss against raising taxes on wealthy Americans

    Categories

    • Business (439)
    • Investing (2,066)
    • Politics (3,419)
    • Uncategorized (1)
    • World (2,180)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: uniquecryptostrategies.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 uniquecryptostrategies.com | All Rights Reserved


    Back To Top