Trump rips Walmart for tariff price hikes after making ‘billions of dollars last year’

Following Walmart’s decision to hike prices due to the U.S. tariffs on China, President Donald Trump took to social media to slam the company.

The full effects of the Trump administration’s tariffs on U.S. consumers are yet to be fully understood. One of the latest to feel the effects is Walmart. The retail giant recently announced it will raise its prices to combat tariff-related expenses.

Trump tells Walmart to ‘eat the tariffs’

In a post on his social media platform, Truth Social, U.S. President Donald Trump took direct aim at Walmart, criticizing the company’s decision to raise prices in response to the U.S. tariffs on imported goods.

Walmart announced earlier this week that it will begin increasing prices later this month due to what it described as mounting tariff-related costs.

In his post, Trump accused Walmart of hiding behind tariffs to justify price hikes and insisted that the company could afford to absorb the extra costs without passing them on to consumers.

“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain. Walmart made BILLIONS OF DOLLARS last year, far more than expected,” he wrote.

“Between Walmart and China they should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING,” Trump added.

Walmart has so far not commented on the president’s remarks.

Tariff impact

One major issue of the Trump administration so far has been the U.S.-China trade policy. Trump imposed a series of tariffs on Chinese imports, and critics have since warned about the consequences of the tariffs and the negative impact they would have on U.S. consumers.

Trump’s remarks on Walmart come after the administration backed down on the Chinese tariffs earlier this week, lowering duties from 145% to 30% for 90 days. In response, China also lowered its retaliatory tariffs from 125% to 10%.

Walmart, as the largest private employer in the U.S. and a pillar of the retail industry, has an influence over the industry. Smaller retailers may also hike prices, citing similar reasons.

Walmart did not release a profit projection for the first quarter of 2025 due to economic uncertainty, but during an earnings call, Walmart’s CEO, Doug McMillon, highlighted concerns about narrow retail margins.

McMillon shared that the company’s profits slipped in the first quarter of the year, to $4.45B or 56 cents per share, from $5.10B or 63 cents per share.

While Walmart’s profits are indeed high, the cost of absorbing billions in tariff-related expenses could disrupt the company’s operations and force the retailer to make budget cuts elsewhere, such as wages, staffing, or supply chain investments.

Cryptopolitan Academy: Tired of market swings? Learn how DeFi can help you build steady passive income. Register Now