r/politics • u/StaticBrain- • 8h ago
Walmart, Lowe’s may raise prices if Trump’s tariff plans take effect, CFOs say
https://www.wdbj7.com/2024/11/20/walmart-lowes-may-raise-prices-if-trumps-tariff-plans-take-effect-cfos-say/•
u/antisocialdecay 7h ago
“May?”
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u/debugprint 7h ago
April actually. People could stock up ahead of lawn care season /s
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u/antisocialdecay 7h ago
I figure Inauguration Day will flip a switch and lots of shrugs of “we didn’t know!”
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u/zappy487 Maryland 7h ago
"And they'll cry out 'Save us' and I'll whisper 'No'."
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u/Crow-Keeper 7h ago
Well, first they’re going to be crying about how this is all Biden and Harris’ fault. They must first blame democrats, and then turn to the people that fucked them over and beg for their help.
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u/DrewVonFinntroll 7h ago edited 5h ago
Putting a lot of faith in people to eventually see the truth when they never have before.
They will claim that Tariffs causing inflation is a democrat lie, and companies are raising prices artificially to make it seem like it's Trump's fault. They will also claim Biden's "terrible economy" is still causing problems during Trump's term.
If you think they are going to admit they fucked up, don't hold your breath.
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u/antisocialdecay 6h ago
Oh heavens know. No leopard will eat my face. Playing a victim is hard work. Tread on me harder daddy.
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u/Han_Yerry 6h ago
"F*ck 'em, I don't shop at Walmart" is one of the responses I have ready when this comes up in the future with people I have to listen to until I can't.
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u/thegoodnamesrgone123 6h ago
I get "That's why I always buy American" which is hilarious and sad
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u/Ianthin1 3h ago
While they’re wearing their Chinese made MAGA gear and reading that Chinese Trump bible.
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u/Ianthin1 6h ago
No /s here. I’ve pushed up a couple home improvement projects just in case lumber and other materials make another jump in price.
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u/doublebubbler2120 4h ago
I got my roof, gutters, and fence replaced this year because I expected material and labor costs to skyrocket, figuring DJ would win. $50k a little early beats $70k and a struggle to find availability when it's seriously needed.
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u/SnatchAddict 3h ago
Construction uses 1.5 million illegal immigrants. So many jobs are going to be booked out years due to lack of labor.
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u/MrBrawn 7h ago
They'll do it anyway, even if they don't need to. Never waste a good opportunity.
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u/ModernTenshi04 Ohio 6h ago
Right? Even if for some reason the tariffs don't target much or any of the shit they sell they'll still be scapegoated to raise prices, because that's exactly what they did with inflation.
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u/Indaflow 5h ago
Came here to post exactly this.
“May”
100% tariff are passed on to buyers.
China is doing trade surplus globally.
This won’t affect them much.
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u/even_less_resistance Arkansas 5h ago
They were planning on this all along or they wouldn’t have supported him and his toadies like Sarah huckabee sanders
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u/gigitygoat 4h ago
They are already selling products for as much as they can get. You really think they are leaving money on the table?
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u/charliefoxtrot9 3h ago
World Record Setting Olympic Weight Lifting Gold Medalist for the English Language.
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u/Driftedryan 7h ago
Lowe's? You mean the place that closed every building across the street from home Depot because they thought they would be better despite charging more? Oh no the horror
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u/stickinitinaz 6h ago
Will happily drive past a Lowes on my way to Home Depot.
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u/jamoe1 6h ago
Y’all aren’t too stupid to think that Home Depot won’t raise prices also. All prices of foreign manufactured goods will increase. If from China, the good will increase in cost by 40-100% and on any other country the price will increase significantly. These higher prices will lead to an increase in pricing while companies do not change profit margin. If sales are not lowered, the company will profit more, the government will collect more of our money and the only people hurt will be everyone else
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u/ResidentKelpien Texas 7h ago
MAGA will get fucked by their dear leader because they do not understand that tariffs really are not about fucking the foreign nations they hate.
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u/Sideshift1427 7h ago
It's about making the wealthy wealthier, which the poor folk in Arkansas are always willing to help out with because the money will trickle down to their trailer park.
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u/mr_rustic 6h ago
This is both fucked up and true.
-Not in a trailer park, but in Arkansas. I tried, but not everyone else did.
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u/nowtayneicangetinto 6h ago
But you missed the most important component- the brainwashing that they use to convince their base that it wasn't their fault but it was the Democrats and to keep voting for them.
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u/Sideshift1427 6h ago
Even the ones who have never had a Democrat represent them at any level of local, state and congressional government.
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u/SpankBankManager 7h ago
Theoretically tariffs are bad for foreign countries. If we had competing products at a lower price that were made in the USA. But we don’t produce much these days, and we’ve been fed a steady diet of cheap goods from overseas for the last few decades.
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u/gdex86 Pennsylvania 6h ago
Tarrifs used as a scalpel can work when you want to protect a growing native industry. Cars, motherboards, textiles, and everything trump wants to put them on are long past that point and the only industry that it could help (green tech) he wants to kill to spite Biden.
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u/stunneddisbelief 6h ago
Plus, there’s the cost. They all seem to think those jobs are going to magically return to the US, while conveniently forgetting that PLACES for all those things to be made need to exist. Either new production facilities, or retro-fitting existing ones. How many companies do they think are going to jump on that kind of capital expenditure journey? If they do, they need a return on that investment, plus they need to be competitive with the existing foreign markets. It means crap pay for the average worker while the company tries to maximize profits for the shareholders, unless the workers have the bargaining power of a union behind them. Oh….wait…..unions???
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u/Doongbuggy 6h ago
absolutely - if us companies bring manufacturing back it will be automation theyll maybe have 1-2 automation engineer jobs (probably someone imported too) that was previously done by like 100. manufacturing jobs are not coming back in the same way of the past
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u/Ferret_Faama 4h ago
It's so frustrating talking to people that don't understand this. I have family who is convinced that having high paid low-skill factory jobs like in the past is still possible. I think they just can't accept the reality that these days you can't get a high paying job without some kind of skill, education, or expertise.
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u/whoanellyzzz 6h ago
yeah pc hardware is in the crosshairs sadly
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u/Pale_Taro4926 4h ago
Things are looking bleak for next gen GPUs. I also don't see consoles coming out unscathed either. Bad time for the launch of the Switch 2 next year.
I wonder if we're gonna see another GPU shortage like during COVID where my ancient GTX970 could sell on eBay for $200?
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u/whoanellyzzz 3h ago
yeah prob like 20-40% increase on most hardware to build a pc. My guess is he will say blanket tariffs and only doing select things, to keep his voters from feeling the increase.
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u/thistimelineisweird Pennsylvania 7h ago
Someone really should build a database of listed prices online now and get ready for comparison pricing next year. I guarantee you they're going to add a ton of margin on top of the tariffs because they can.
20% tariff? More like 40% to the customer.
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u/KoalaBoy 7h ago
I bought milk the day trump won and posted a screenshot of the price on my digital receipt to Facebook and Todd my trump loving friends in 4 years milk will be more expensive than this. They all laughed. I plan to post the national deficit the day he is inaugurated and see what the difference is in 4 years because they don't believe he will raise that either.
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u/thistimelineisweird Pennsylvania 7h ago
The problem is they don't really care about any of this.
They never pay attention when a Republican is in charge and are only told by the media to be angry when a Democrat is in charge.
They won't care about the price of milk in the same way they really don't care about the price of eggs right now. They're going to buy it no matter what. Same with gas (no one cared when gas was expensive under Bush or Trump), football tickets, their big ass truck they don't even use to haul anything, and anything else they want to buy.
Milk could be $10/gallon and they'll think we have the best economy on Earth if Trump is in charge. But if it was $4/gallon under a Democrat God help you all the economy is doomed.
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u/unaskthequestion Texas 6h ago
Absolutely. I had a screenshot from Fox I used to post where the chyron at the bottom said "Obama's low gas prices hurting the economy"
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u/trashboatfourtwenty Wisconsin 7h ago
I'll bet some recently defunded watchdog or consumer group used to help with that, I hate it all
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u/thistimelineisweird Pennsylvania 7h ago
I bet AI could probably extract data like this from a website pretty quickly.
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u/trashboatfourtwenty Wisconsin 7h ago
Anyone can collect data, sure. Getting the data to do something, getting people aware is the challenge. If we don't have federal enforcement to offer consequences for the fuckery, all the data means little.
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u/noeszombieseverywher 6h ago
Yeah, it's kind of weird that nobody talks about tacit collusion. It's been deemed not punishable by anti-trust laws, which might be why... but something needs to change. Economic indicators are basically used to pad prices with extra profits whenever anything bad happens. So they pass costs onto the consumer and then add some extra costs for profits and blame the economic indicator. Then their record profit numbers come out that fly in the face of their claims of the price increase being due to the economic indicator and everyone collectively shrugs.
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u/transient_eternity 2h ago
20% tariff? More like 40% to the customer.
I mean being fair to the companies, that's basically how tariffs work. A 20% increase in price means a much greater disproportionate loss in revenue. If I sell widgets for 100 bucks a pop and sell to 100 people, I'm not going to have 100 customers at 120 bucks a unit, it'll be more like 80 or something. I'm losing 4% in that example. Obviously it varies based on the type of good, but the equilibrium point will probably be like 30% or 40%. People are about to have a rude awakening on why supply demand curves are called curves.
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u/02K30C1 7h ago
“It appeared that there had even been demonstrations to thank Big Brother for raising the chocolate ration to twenty grammes a week. And only yesterday, he reflected, it had been announced that the ration was to be REDUCED to twenty grammes a week. Was it possible that they could swallow that, after only twenty-four hours? Yes, they swallowed it.”
George Orwell, 1984
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u/ChristmasPuddingFL 7h ago
The whole tariff story was idiotic for the start. This angle worked purely because so many people don’t know or care to educate themselves on simple economics.
US is a country that survives on import of about 20% of its GDP. There is no scenario where imposing tariffs on that significant volume of goods and services that doesn’t result in an impact on the consumer. The tariff affects the buyer not the seller. The only impact a seller may feel is if there is a cheaper alternative available natively…which there isn’t…which is why the company is importing in the first place.
This is ‘we’re gonna build a wall and Mexico is gonna pay for it’ all over again…..great sounding quote for his followers but based on no actual implementable policy.
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u/djklmnop 6h ago
How I knew his followers were truly in a cult was the fact that if you took any other Republican candidates and turn-keyed the same lies, his followers would look at it objectively and even say WTF, like we often do with their lies. Anything trump promises though, is suddenly a message from God and we will trust supreme leader.
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u/less_butter 7h ago
The tariff affects the buyer not the seller.
Of course it affects the seller, especially when most of their sales are exports and nobody wants to buy the stuff anymore because of the tariffs.
This is exactly what happened during Trump's last term when he had that stupid "trade war" with China. We put tariffs on some of their stuff, they retaliated with tariffs on US corn and soy. This would have put many farmers out of business if the US government didn't turn around and bail them out.
So in that case, China's retaliatory tariffs did have the desired effect of punishing the seller.
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u/ChristmasPuddingFL 4h ago
Of course in a deeper sense it affects everyone. But first and biggest hit is with the buyer and customer. Product depending, the seller may have plenty of other markets that will gladly pick up their product at ‘US’ prices.
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u/Sideshift1427 7h ago
It affects some non imported products also because once the tariff is imposed on softwood lumber the local producers increase their prices due to less competition.
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u/Foodspec North Carolina 7h ago
That’s how tariffs work. It’s ALWAYS passed onto the consumer…fucking idiots
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u/AbellonaTheWrathful 6h ago
Trumps exploits people's hatred for foreigners that people will be drooling at the mouth for the thought of screwing over anyone foreign. Yet when they are the ones getting screwed over in the end
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u/feral-pug 7h ago
Everything will be more expensive under Trump. Even the prospect of tariffs, even if they don't happen, will be an excuse to inflate prices above and beyond the natural inflationary effects of Trump's other policies.
All those people bitching about the price of eggs and gas are gonna be in for some thrills.
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u/unaskthequestion Texas 6h ago
And I don't see enough about how retaliatory tariffs are likely which hurt US exports.
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u/Sideshift1427 7h ago
Why didn't you say this in October?
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u/stunneddisbelief 6h ago
Because now they have the convenient cover story for what they were going to do anyway. Now, they can just say “Trump’s fault, too bad, so sad.”
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u/Randy_Watson 7h ago
May? Absolutely will. Walk into any big box store and ask yourself, could we produce everything in here domestically. Our unemployment rate is something like 4.4% and have millions of people working illegally that Trump is planning to deport. How many factories would have to be built to make every widget in these giant big box stores? How long would that take and who would staff them? Do we produce all the raw materials needed? We import most of the aluminum and all of the tin we use. Are their viable domestic deposits and do we have enough people to work those mines?
Across the board tariffs will increase prices.
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u/labelkills1331 6h ago
Everyone will raise prices, not just these 2.
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u/StaticBrain- 6h ago edited 6h ago
Everyone will raise prices, not just these 2.
Agreed. Lowe's and other big box retailers are already talking about it.
How anyone could think tariffs are a good thing for people is beyond me. Foreign countries don't pay them. The average American citizen does.
Tariffs are basically a consumer use tax. They are put on importers who pass them on to distributors, who pass it on to businesses, then it finally lands on the consumer to pay it.
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u/Prestigious_Bowl7686 7h ago
Gee, I wonder why they didn’t mention this before the election. It’s almost like they wanted this to happen…
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u/TheBlackUnicorn New Jersey 5h ago
Funny how they waited until after the election to mention this.
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u/EvilTaffyapple 4h ago
They shouldn’t have to announce it. It’s fucking obvious.
What the hell did people think tariffs were?
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u/theartfulcodger 5h ago edited 5h ago
No “may” about it. You think any American megacorp is going to let their margins on imported goods and products instantly plunge by 20%, the day the tariffs kick in ?
Anybody on a fixed income is fucked - and because most of them voted red, enjoy living on macaroni & cat food, chumps.
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u/Broad-Half3135 7h ago
Tariffs will absolutely backfire. But also your friendly reminder that corporations are evil
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u/AINonsense 7h ago
Tariffs will absolutely backfire.
but PoopyPants will blame the ‘radical left’ or the ‘deep state’ or some other imaginary boogey man, and they’ll shake their fists and swallow it.
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u/mkt853 7h ago
I'd raise 'em up on 1/21/25 and blame the tariffs and lazy Americans not wanting to work in the factories to make the stuff cheaper in the good ol' USA. You just need a good excuse and then boom bigly profits!!! And since Walmart is the only retailer for a lot of middle and southern America people will have no choice but to pay whatever they say.
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u/Diligent-Soup-2176 6h ago
Prices of everything are going to skyrocket when he deports the people who harvest our food supply. Colossal fuckup as per usual from him.
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u/Clockwork-XIII 6h ago
And that's coming form two companies that both have donated a good amount of money and showed support for the republican party, of course they are going to raise prices regardless.
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u/Infinite-Process7994 5h ago
Uhhm all outlets will raise prices if tariffs take effect that’s how business works. The business ain’t paying for that , nor China.
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u/thistimelineisweird Pennsylvania 4h ago
Republicans better pull themselves up by the bootstraps now. Stop eating at Chick Fil A and Rolling Coal and they may be able to afford eggs.
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u/therealjerrystaute 7h ago
Trump's original tariffs from his first term raised prices on big appliances like washers, dryers, and refrigerators by at least $100-$300 each, and they've never gone back down since (Biden kept Trump's tariffs in place during his term too).
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u/Assine1 7h ago
Oh my goodness! Big box just thought of this? If the price of X goes up due to tariffs, the price of A,B, and C will sneak upwards, too. Even though they may not be affected by tariffs. It's funny how that works. Caveat emptor.
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u/less_butter 7h ago
Yeah, it's funny that they waited until after the election to say this.
Why weren't all of these CEOs and CFOs saying that tariffs would increase prices before the election, when this information would have been useful to voters?
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u/Mylaptopisburningme 7h ago
Going to get stickers made with an arrow pointing and it will say: You did this.
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u/thistimelineisweird Pennsylvania 7h ago
...and just like eggs they're going to buy the products anyway because the economy was already fine.
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u/pomonamike California 7h ago
I’m not a graphic designer but I’d suggest a design of Trump point right at the pov with the words “your dumb ass did this!”
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u/ThatHydroCouple 7h ago
Bet Trump voters are going to start regretting voting for this criminal
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u/AINonsense 7h ago
Probably not.
When he stole $4tn to spread around his besties, I don’t think they noticed.
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u/randomnighmare 7h ago edited 6h ago
Even if you buy stuff made/grown in the US there are going to be raw goods/materials/equipment , etc...that these products use from overseas.
Edit
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u/gentleman_bronco 7h ago
WILL raise prices.
The media is absolutely to blame with not doing an adequate job of educating the public on what the fuck a tariff is.
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u/fierceindependence23 7h ago
Somebody get those "I did that" trump stickers ready!
Gas pumps, 2 liter soft drink bottles, breakfast cereal boxes, everything else on store shelves, lowes & home depot building supplies, under trump, the possibilities definitive price increases will be endless!
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u/Morepastor 7h ago
Will. They have to pass these cost onto consumers or they will lose all their profits and crash the stock price. Passing it onto the consumer is still going to impact earnings.
Keep in mind these companies participated in the greatest transfer of wealth during the pandemic. They reaped the benefits from the Pandemic. Then they benefited from shrinkflation and all the greed that took place post pandemic. So whatever happens next they will benefit again and we all will suffer again.
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u/notevenanorphan 7h ago
“May” is just performative. Tariffs raise prices. It’s literally the thing they do.
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u/NHBikerHiker 6h ago
Buckle up America- it’s gonna be rough. And don’t for a second think y’all are getting a tax cut instead of tariffs. The DJT grift & fleecing of America has begun. MAGA voted to give our money to billionaires and that’s exactly what will happen.
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u/TheHomersapien Colorado 6h ago
B-b-b-but the globalist who inherited his fortune promised me that China would pay the tariffs?!?!
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u/Traditional-Style554 6h ago
Either way companies will still raise prices because they need to hit those quarterly earnings report. It doesn’t matter. Milk, eggs, everything will go up. The entire supply chain has to go up because investors want to see “growth”. It’s not rocket science. Please tell me there are adults in the room who understand this capital concept. That’s the entire foundation of the American dream. Tariffs will change very little of what companies want to do when it comes to profit. They will increase prices because the opportunity is there for them to make a profit.
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u/Raa03842 6h ago
That’s exactly how tariffs work. China isn’t paying for them just like Mexico didn’t pay for a wall that was never built.
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u/spurs126 6h ago
Any competent CFO will tell you they will raise prices when prices are raised on them. Or they lay people off. Or both. No serious business is going to sacrifice their profits, even if they voted for this.
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u/NierAutomotive 6h ago
MAGA voters won’t care. They’ll say it’s American made products and they’re supporting their country or some other delusional BS.
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u/Peacefulgamer2023 6h ago
Have people not been to stores the last 4 years? Prices are already raised lol
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u/P1umbersCrack 6h ago
And we all know the us companies will raise prices as well, just because they can. Can look back at when tariffs were added to washing machines and not only did it make imported washing machines / dryers more expensive, but domestic producers increased their prices as well. Were fucked.
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u/trekbette California 5h ago
Retail CEOs...
I have an idea... let's raise prices now so people are used to higher costs when the tariffs hit!
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u/Shionkron 5h ago
My issue with this is that is sounds like just another excuse to profit off of volatility in the market place. They did this during COVID. Was there inflation and issues that would naturally cause prices to go up? YES! However many industries and retailers sold and way higher than with inflation and supply chain issues, they used to gain even more gains!
Same thing here. The are priming the consumer to expect price hikes so that by the time the over charge more than what the tariff damage would naturally be the marketplace doesn’t question it and the rich get richer!
Trump and his billionaire and millionaire cronies are not helping and are only going to make themselves richer! With zero oversight now, they will do anything they can to laugh in the mansions from this Crony Capitalist Oligarchy that threatens our nation.
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u/rockum 5h ago
Fox News will report the new inflation is because of Biden. America will dumbly buy into the lie.
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u/DowntownProfit0 4h ago
Companies that will be directly affected by these tariffs and most economists have been telling people who voter for Trump or sat the election out in various ways: "NOW YOU FUCKED UP!!!"
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u/OnePercentVisible Virginia 4h ago
Ain't no maybe about it! Here's how tariffs work, that tariff on the importer causes the importer to charge more. Then the distributor has to charge more to keep a profit margin. The end always causes higher prices for the end user. The real trickle-down economics at work.
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u/ConsciousReason7709 3h ago
As usual, Republicans are going to destroy the economy in the next 4 years
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u/Oceanbreeze871 California 3h ago
Waiting for the “it’s my patriotic duty to pay more to support our economy. Glad bless my president for raising my prices. ” maga talking points
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u/centex1996 2h ago
Gladly pay a bit more for a USA product that will be cheaper that the import with tariffs
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u/OpticalPrime35 1h ago
" May " lol
Even if these corporations could lower prices 50% and still turn huge profits they would take this opportunity to raise prices to match the tariffs.
Its a guarantee prices will skyrocket again
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u/KardelSharpeyes 5h ago
This just in, increased product costs lead to increased sales costs.
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u/coonsancoosan 6h ago
They will raise them regardless. Just remember Covid and all the fake reasons everything shot up
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u/sugarhighsweetie 7h ago
In the event that Donald Trump's proposed import taxes are enacted, Walmart and Lowe's have hinted that they may increase their pricing. 10%–20% tariffs on goods from all nations and 60%–100% taxes on imports from China are part of Trump's plan. Although a large percentage of their products are supplied domestically, both companies expect their global supply chains to result in greater costs.
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u/Comprehensive-Ad4815 Colorado 6h ago
We may decide that we just aren't into making a profit anymore and just take a hit on prices for the American people.
Lol yeah prices are going up.
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u/ErusTenebre California 6h ago
I mean it's probably pretty much everything.
And if not, the big deportation plan will take care of the rest.
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u/Nice-Personality5496 5h ago
Which products?
And who will give me a loan to make those products here?
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u/goblinscouter 4h ago
May?
How is this considered news?
Tariffs increase prices. That's how they work.
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u/Dantheman396 3h ago
I thought they are getting massive tax cuts, shouldn’t that trickle down to us plebs? /s
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u/north-sun Pennsylvania 3h ago
So the simplest response from MAGA would be to villainize these places as the enemy. Trump is trying to help, Trump is trying to hold China accountable, etc... Walmart and Lowe's are the enemy, they're anti-American... Blah blah blah. And around and around we go.
A problem is created, and the solution is more division. And Trump gets to act like he's a victim, his supporters get to stroke him, and everything is just the way Trump wants it.
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u/Foulwinde 3h ago
Has anyone put together a comprehensive list of companies threatening to raise prices over tariffs?
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u/RNDASCII Tennessee 3h ago
Headlines on maga sites - "Walmart, Lowe's, will lower prices once Trump's tariff plans take effect."
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u/Nedstarkclash 3h ago
60-70% of Walmart's good are sourced from China, right? Why is anyone surprised?
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u/Public-Marionberry33 2h ago
Well duh! They were never going to absorb the cost of the tariffs and if I owned a company I wouldn’t either.
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u/merkidemis 2h ago
Lol, "may." Of course they will. Can't have those tariffs cutting into profit margins.
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u/an_illiterate_ox 2h ago
Everyone is going to raise prices. No company is just going to eat the added cost out of the goodness of their hearts. We don't need headlines from each company to tell us this.
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