Trump Demands Walmart Absorb Tariff Costs, Blames Retailer For Inflation Threats

President Donald Trump recently lashed out at Walmart, demanding the retail giant absorb the costs of his tariff hikes instead of passing them on to consumers, Josh Boak reported for the Associated Press (AP).

Trump insists that Walmart should prioritize his economic agenda over its profits, claiming that tariffs would ultimately lead to a revival of domestic manufacturing. I Photo: Walmart Canada Facebook

Trump made the remarks on Truth Social after Walmart warned it may be forced to raise prices on goods ranging from bananas to car seats due to the administration's escalating import taxes.

Walmart CFO John David Rainey told AP that, while the company is committed to keeping prices low, "there’s a limit to what we can bear, or any retailer for that matter.”

Trump, however, insisted that Walmart — which employs 1.6 million people in the U.S. — should prioritize his economic agenda over its profits, claiming the tariffs would ultimately lead to a revival of domestic manufacturing.

Economists have widely disputed that claim, warning that the tariffs are more likely to fuel inflation.

Consumer sentiment is already showing signs of strain. The University of Michigan’s preliminary index recorded its second-lowest reading ever, with 75% of respondents spontaneously citing tariffs and expecting worsening inflation.