Former President Donald Trump recently took to his social media platform, Truth Social, to issue a stern warning to Walmart. He told the retail giant not to raise prices and insisted they should not use tariffs as an excuse to make goods more expensive for American consumers. Trump said he was “watching” Walmart closely and reminded them that the company made record-breaking profits last year. In his view, both Walmart and countries like China should bear the burden of tariffs instead of shifting the cost onto everyday shoppers.
Trump’s comments came shortly after Walmart’s CEO, Doug McMillon, publicly stated that due to high import tariffs—many of which were introduced during Trump’s own administration—the company might have to increase prices on some products. These tariffs are essentially taxes placed on goods brought into the U.S. from other countries, and they affect a wide range of everyday items including electronics, toys, household items, and food. While some of these tariffs have been reduced in a recent temporary deal with China, they are still high enough to cause financial strain for retailers.
McMillon explained that Walmart will continue trying to keep prices low, as it always has, but said there’s a limit to what they can absorb. He mentioned that Walmart already operates on very thin profit margins and that any further pressure from tariffs makes it harder to avoid price increases. Walmart’s Chief Financial Officer, John David Rainey, said customers should start seeing higher prices by the end of May and continuing into June, pointing out that this is one of the largest and fastest cost increases Walmart has ever had to manage.
Currently, U.S. tariffs on some imported goods are still sitting at around 10%, but products from China are still being taxed at much higher rates—up to 30%. These are items people use daily, so if retailers are forced to pay more to bring them in, those costs eventually get passed down to customers. According to Rainey, some of the affected products include imports from not just China, but also countries like Colombia, Costa Rica, and Peru.
Trump has acknowledged in the past that tariffs might bring “some pain” to the economy in the short term, but he insists they are necessary for long-term growth and independence from countries like China. He believes the tariffs help protect American industries and jobs. However, critics argue that while the idea might work in theory, the reality is that American families are often the ones who suffer the most when prices rise across the board.
Walmart, which serves over 90% of American households and employs hundreds of thousands of workers, has a huge influence on pricing trends across the country. Any change they make to pricing will likely affect millions of people, especially those who rely on Walmart’s reputation for affordable goods. The company hasn’t yet said exactly which products will become more expensive or by how much, but the impact could be widespread, especially if other stores follow suit.
The conversation around tariffs and price increases has sparked political debate as well. Former congressman Justin Amash criticized Trump’s stance, saying his approach to trade and tariffs is making the Republican Party resemble the older, protectionist version of the Democratic Party. Meanwhile, others have noted that if even Walmart, which is known for keeping prices down no matter what, is saying they can’t avoid raising prices, it’s unlikely that smaller retailers will be able to do any better.
Economists have also weighed in, warning that if the trade tensions between the U.S. and China don’t ease permanently, consumers should brace themselves for a future where many everyday products from groceries to clothing to electronics could become more expensive. Although a 90-day pause in tariff increases has given businesses a temporary break, the long-term outcome is still uncertain. Negotiations between the U.S. and China are ongoing, but without a clear and lasting agreement, the pressure on retailers and the wallets of American families is expected to continue.
