Walmart CFO warns customers of price hikes with costs expected to skyrocket for three key items

Customers may face price increases in the future, according to a top Walmart official.

The supermarket chain’s executives are among the retailers preparing for any possible domestic repercussions of a Trump presidency.

They are aware that any tariffs placed on foreign powers could have unintended consequences.

Trump promoted plans for a 20% tariff on all US imports and an additional 60% tax on China during the campaign.

Trump’s first administration was marked by a trade battle with China, and his second term will follow shortly after.

Walmart CFO John David Rainey acknowledged the possibility of pricing increases.

but emphasized that raising prices is never the first course of action.

He told CNBC, “We never want to raise prices.”

Everyday cheap pricing are our model.

However, there will most likely be instances where customers will pay more.

By stating that approximately two-thirds of the products sold at Walmart are produced in the US, Rainey attempted to reassure customers.

According to ABCNews, retail experts have predicted price increases for items including toys, electronics, and clothing.

According to the Consumer Technology Association, industry experts are concerned that laptop prices could increase by as much as 46%.

Analysts predict that the cost of a smartphone may increase by 26 percent.

The cost of toys and clothing may go up in the future.

According to Professor Rob Handfield, the US imports a lot of toys from China.

He told ABC News that this will have a direct effect on people’s finances.

According to a National Retail Federation report, toy costs might increase by 55%.

After Lowe’s executives emphasized that the firm had plans in place, the CFO issued the warning.

Marvin Ellison, the CEO of Lowe’s, stated, “We’re not waiting to act.”

We have strategies in place.

He clarified that managers are attempting to determine the ramifications.

Trump’s staff downplayed worries about price increases.

Karoline Leavitt told ABC News that President Trump’s tariffs against China during his first term led to no inflation, increased investment, and produced jobs.

TRADE WAR

Since then, Leavitt has been proposed to be Trump’s press secretary.

However, National Retail Federation CEO Matthew Shay cautioned that price increases will be the outcome of universal tariffs.

During his first administration, tariffs were a key component of Trump’s economic strategy.

According to research from the Tax Foundation, the trade war resulted in new taxes on Americans totaling around $80 billion.

Trump imposed a tariff on the importation of solar panels and washing machines into the United States in January 2018.

The tycoon first targeted Beijing in particular, then imposed tariffs on aluminum and steel imports.

In the midst of the conflict between the US and China, Beijing retaliated with comparable tariffs.

Trade negotiations between Trump and Xi halted despite their best efforts.

A Phase 1 trade agreement between the US and China was signed in January 2020, but subsequent developments were hampered by the Covid-19 epidemic.

There are concerns that Trump’s second term could be a rerun of his first.

However, a trade war is not unavoidable, according to former national security adviser John Bolton, who spoke to The U.S. Sun.