Trump vs Walmart: U.S. president criticizes the store for raising their prices
Walmart CFO John David Rainey stated that the company faces an “unprecedented situation” due to the tariffs. Some products affected include electronics and toys imported from China.
President Donald Trump criticized Walmart, after the company warned about the price increase in their products due to the new tariffs imposed by the Trump administration.
The president answered in a post in Truth Social, clamming that Walmart earns a lot of money every year. Trump also mention China on the same post.
Trump warns Walmart for their prices increase
"Walmart Should STOP trying to blame Tariffs as the reason of raising prices throughout the chain. 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 change valued customers ANYTHING. I'll be watching, and so will your customers!!!" can be read in his profile.
This declaration emerge due to Walmart´s CFO, John David Rainey, interview with CNBC, saying that the company is facing an unprecedented situation. Walmart is considered as the main superstore on the country and a pilar of the state of retail trade and the purchasing power of U.S. consumers.
Walmart markets are experimenting a increase of their products due the tariffs new prices. (Photo: AFP News)
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Which are the affected products?
Rainey admits that the Trump administration moved forward with reducing tariffs since April. However, prices have remained high for them. Despite the 90-day extension on Chinese imports, many products from other countries are still subject to a 10% tax.
Walmart imports electronics and toys from China, and avocados, bananas, coffee, and flowers—such as roses—from Central and South America.
Walmart's response
Through Social Media, Walmart reiterate its position, saying: "We have always worked to keep our prices as low as possible, and we will not stop doing so. We will keep them low for as long as our retail margins, which are small, allow us to do so."
Despite the situation, Walmart maintained its sales projection for the year but decided not to publish their operating income and earnings for the second fiscal quarter. This decision was made due to the constant tariffs changes under Trump's administration.
Other companies facing price increases include Microsoft, Mattel, and Ford—all of which rely on imported raw materials and plastics for their products.
