Trump Tells Walmart to ‘Eat the Tariffs,’ Slams Price Hikes Amid China Trade Tensions

KEY POINTS

• Trump urges Walmart to stop blaming tariffs for price increases and accuses the retail giant of profiting while customers suffer.
• Walmart responds, saying it works to keep prices low despite thin margins and rising trade-related costs.
• Trump calls on Walmart and China to absorb the cost of tariffs without passing them to consumers.
• The statement comes amid renewed trade tensions and proposed tariff hikes on Chinese imports.

U.S. President Donald Trump criticized Walmart on Saturday, May 17, 2025, for attributing rising prices to trade tariffs, saying the company should absorb the costs rather than pass them on to American consumers.

In a post on Truth Social, Trump accused the retail giant of reaping record profits while blaming external factors like China tariffs. He called on Walmart and Chinese manufacturers to “eat the tariffs” and warned the company that consumers were watching.

Walmart’s Response: Prices Will Stay Low ‘As Long as Possible’

Responding to Trump’s remarks, Walmart told Reuters that it has always strived to keep prices as low as possible for its customers, despite facing supply chain costs and narrow profit margins.

While the company did not directly address Trump’s accusations, it emphasized that market dynamics—including global supply chain costs and tariffs—present real challenges in maintaining price stability.

Background: Tariff Politics Return to the Forefront

The exchange comes as Trump intensifies his second-term campaign focus on reshaping America’s trade policy, including a potential expansion of tariffs on Chinese goods. Walmart, the largest retailer in the U.S., has long been seen as a bellwether for inflationary impacts of tariffs due to its vast China-linked supply chains.

Trump has previously defended tariffs as a tool to punish unfair trade practices and protect American manufacturing. Critics argue, however, that such tariffs often lead to higher consumer prices, especially for imported goods like electronics, clothing, and home goods.

Consumer Pressure Mounts

Trump’s Truth Social post appears aimed at pressuring Walmart to hold the line on prices as inflation-weary consumers remain sensitive to cost increases. While Walmart has kept its price increases more modest than competitors, the retailer has acknowledged that global supply volatility continues to put upward pressure on product costs.

The situation spotlights growing political and economic tensions over who bears the burden of tariffs—corporations, suppliers, or consumers—amid ongoing trade negotiations and election-year rhetoric.

Reporting compiled from verified statements via Truth Social, Reuters, and company disclosures as of May 17, 2025.