In a recent meeting at the White House, President Trump discussed his comprehensive tariff plans with the CEOs of Walmart (WMT, Financial), Target (TGT), and Home Depot (HD). This meeting, not listed on the President's public schedule, aimed to address how tariffs might affect the business models of these major U.S. retailers. Post-meeting, all three companies issued similar statements, expressing gratitude for the opportunity to share their insights and highlighting the productive nature of the talks.
Tariffs pose a significant threat to the U.S. retail sector, potentially driving up prices. With inflation already a concern, more American consumers are turning to low-cost goods. Walmart's CFO noted that about two-thirds of their U.S. products are domestically sourced, but the remaining third is imported, primarily from China and Mexico. Target faces even greater challenges, as it relies heavily on overseas manufacturing for its diverse, low-cost product offerings.
The National Retail Federation has warned that tariffs could increase costs for American families on everyday items like sneakers and toasters. The NRF emphasized that additional tariffs mean more anxiety and uncertainty for U.S. businesses and consumers.
