Trump tariffs affect Walmart prices

Secaucus, NJ – As customers run in the corridors of Walmart Stores, some initial indications are that high tariff pricing are changing.

Country’s largest retailer Warned in May That it will have to do Increase prices for your shopkeepers As president Donald TrumpThe cost of many imported goods increases in new duties. According to CNBC analysis, about two months later, some household items have high prices on Walmart’s shelves.

The CNBC tracks the prices of about 50 products in business categories including Walmart’s secus, new jersey, at seven weeks at seven weeks, including costumes, electronics, toys and grocery items. According to the analysis, a dozen to a dozen items CNBC increased the price at that time, including a frying pan, a pair of jeans and a seat of car. Many of the items are manufactured in countries that face significant tariff rates. Even in cases where prices on imported goods increased, it is not clear whether the moves are due to the increase in costs from the tariff or partially.

Price analysis provides a Snapshot what Trump’s duties are meant for consumers wallet, a significant concern because he began rolling out tariffs on dozens of American trading partners earlier this year. While the nationwide inflation figures saw a silent effect from the tariff in recent months, which showed some signs of changing in June. However consumer price index 0.3% increased For the month and for 2.7% year, the prices of tariff-sensitive segments such as apparel and household items increased from May to 0.4% and 1% respectively.

Walmart is an important indicator of pricing trends for several reasons. It is the largest retailer in the US, a place where millions of Americans not only buy their regular grocery items, but also buy furniture, shoes and other common items. It was also clearly warned that the tariffs were so high, it would be forced to increase prices.

“We are wired for low prices of everyday, but the magnitude of these growth is higher than any retailer,” Chief Financial Officer John David Renny said in an interview with CNBC. Discount’s comment criticized the White House, Trump told the company In a social media post “To eat tariffs.”

Walmart is a single company. The store where CNBC has tracked prices, is one of more than 4,500 places across the US, and its suppliers play a role to increase prices. Nevertheless, areas in which CNBC saw the price increase in Walmart in many cases reflected the trends in the national data tracked by the government and research firms.

This is not just Walmart. Other retailers said in this spring that they Prices have increased or prices expected to increaseInvolved best Buy, Costco, Nike And Yogini beauty.

In a statement, Walmart said, “In pricing, ups and downs are a common course of business and are affected by a variety of factors.”

Its statement said, “We are committed to keeping prices as low as possible, including more than 6,500 rollbacks, which are currently introduced, in addition to reducing the management and cost of inventory,” its statement said.

Greco’s original company, Newell brandsRefused to comment on the price increase in Walmart. In the end of April, in its earnings call, the company, which also owns the Yanki Candle, Rubbermade and other brands, said that it is Increased prices About 20%on its baby gear. Most of the baby gears sold in the US are made in China.

Price of Levi Strauss Signature jeans for men increased from one dollar to $ 23.98 to $ 24.98 to $ 24.98 in Sexus Walmart, bringing it to the cost of similar women’s jeans.

On an earning call in July, the company said that it is Tarif’s absorbing some of costs And hopefully new duties will be affected by trade for the rest of the year to $ 25 million to $ 30 million, or from 2 to 3 cents per share.

Lavi’s CFO, Hormat Singh, in an interview, told CNBC that most of the goods of Levi come from countries like Pakistan, Bangladesh and Indonesia. The goods from all those countries currently face 10% tariffs, and Trump has proposed high rates for some countries that are as August 1.

The tags of the signature jeans sold by Walmart, which came in many styles and washes, said they were built in Pakistan, Bangladesh, Tanzania and Lesotho.

In addition to retailers, prices have increased in some major categories, but their impact has not been as dramatic as Trump expressed some apprehension to implement the new tariff, Marshall Cohen said, Circana’s main retail advisor, a market research company that tracks consumer spending patterns in the categories of goods. Those items with high prices include coats and jackets, casual shorts, golf shirts, plush toys and small home appliances, he said.

How many prices rose in some categories at the end of the week ended on May 31 here, relative to the week ended on March 8, according to the data of Circle:

• Adolescent Products, Cribs and Furniture: +23 to 27%
• Polo or golf shirt: +21%
• Luxurious Toys: +19%
• Casual dinnerware: +23%
• Electric Toothbrush: +12%
• Television: +12%

Despite some value pressures, consumer expenses have been organized, said Cohen said. The unit sales of food and drinks on retailers are almost flat in terms of units so far this year, according to the data of Circaana running from July 5 and compares with a period of year. The sale of the discretionary normal goods or nonfood items is about 1% less in units than the period of year-old, the firm found.

Early imports and supply chain strategies have helped retail retailers and brands to tamp the number of tariff-related value and magnitude, Jonathan Gold, a major industry trade group said the Deputy Chairman of the Supply Series and Customs Policy at the National Retail Federation. He said that many retail vendors quickly imported goods after hearing Trump’s plans for tariffs on the campaign mark. And they said Store Goods duty-free Until they go to the shelves, in the hope that the tariff rate may fall.

Gold couple companies are trying to guess whether tariffs can go up or down, which will be the factor in their cost and their pricing decisions. The level of the tariff is made in the flow because Trump delays some duties and declares others.

Gold said, “Companies are trying to scratch their heads.”

However, there was a decrease in price in Walmart: Metal-No Barbie Swim Dolls dropped from $ 7.97 to $ 7.97 to $ 5.97. According to their packaging, barbies are made in Indonesia. Matal did not respond to the request for the reasons behind the price drop.

Dolls, including Barbie, are one of the items that have come into a debate of tariff policy, as Matal said that he may have to increase prices. Trump said that American children “Can be very happy“With low dolls under your business proposals.

Egg prices fell in Walmart. A dozen large eggs from the great value brand of Walmart fell from $ 3.47 to $ 2.72. They show how the factors outside the tariff are affecting consumers’ purse, as egg prices have increased and have recently fallen after another. Avian flu outbreak Spread and then relaxed.

The great value of Walmart also increased the price of milk gallons. And many brands in Walmart’s coffee corridor, including its great value donut shop brand, increased price.

Coffee has been Weak to increase price The global coffee is killing supply due to drought and frost. Above her, some of the top suppliers of coffee can withstand some vertical tariffs. According to data from the US Department of Agriculture, Trump recently proposed a 50% duty on Brazil, a source for almost one -third of the total supply of Green Coffee Beans and the total supply of the country.

The 40.3-ounce container of Folgers coffee climbed from $ 16.43 to $ 19.24 during CNBC prices in Secusus Walmart.

JM SmockerDunkin who owns coffee brands, including Dunkin Donuts and Folgers, did not respond to the request of the comment. On an earning call in June, however, the company told investors that Tariff on coffee Weighing on its profits. JM accounts for about one third of the revenue of Smocker’s revenue.

Cohen of Circana stated that some brands have phased out at price hike, increased them from more than 10% to 12% tolerable levels or focused on unethical purchase.

While tariff-related price jump is not yet noticeable, Cohen said that he expects a more meaningful increase for coming in the coming months. He said that consumers may feel more pinch during the holiday season, as many Christmas decorations and toys are made in China or other parts of Asia.

– Amelia Lucas of CNBC contributed to this report.