Walmart Warns of Price Increases to Come Despite Tariff Pressure, Postpones Q2 Profit Forecast

The world's biggest retailer, Walmart, has alerted customers to prepare for increased prices as rising tariffs continue to compress its already meager retail margins. In its most recent earnings call, CEO Doug McMillon reiterated that while it has sought to maintain prices low, the magnitude of tariffs-particularly on Chinese imports-makes it unavoidable for Walmart to pass on all cost hikes. Price increases on some items should start by the end of May and become apparent in June.

 

Key Highlights:

Walmart's blunt warning highlights the increasingly difficult task retailers have maintaining rising costs and consumer affordability in a dynamic trade environment.

 

Source: CNN, Reuters, The New York Times