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Walmart Tells Chinese Suppliers to Absorb Cost of Trump’s Tariffs
Breitbart ^ | 03/06/2025 | John Binder

Posted on 03/06/2025 11:41:17 AM PST by ChicagoConservative27

Walmart, one of the nation’s biggest retailers, is telling its China-based suppliers to absorb the cost of President Donald Trump’s increased tariffs on Chinese-made products.

Sources told Bloomberg News that Walmart is asking Chinese suppliers to cut their prices — some by as much as 10 percent — so that Trump’s increased tariffs on China will be absorbed by the retailers rather than American consumers.

Chinese suppliers are reportedly trying to resist any lowering of their prices while some manufacturers are having to go outside China to source their materials.

A spokesperson for Walmart told Bloomberg that the retailer is looking to keep prices as low as possible for American consumers amid the increased tariffs on China.

The request from Walmart shows, yet again, that companies will look to absorb tariff costs despite claims from the establishment media and free trade enthusiasts that tariffs will drive inflation higher and raise prices to record levels.

(Excerpt) Read more at breitbart.com ...


TOPICS: Business/Economy; China; Culture/Society; Foreign Affairs
KEYWORDS: absorb; china; chinese; cost; suppliers; tariffs; tells; trumps; trumptariffs; walmart
Well how about that
1 posted on 03/06/2025 11:41:17 AM PST by ChicagoConservative27
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To: ChicagoConservative27

Sounds good to me!


2 posted on 03/06/2025 11:47:24 AM PST by Halls (Christian, Conservative, Proud Texan, Patriot, 100% Pro Life!)
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To: ChicagoConservative27
"...so that tariffs on China will be absorbed
by the retailers rather than American consumers..."
-
Walmart IS the retailer in this instance.
Walmart wants the tariffs to be paid by the
wholesalers and producers.
3 posted on 03/06/2025 11:51:53 AM PST by Repeal The 17th (Get out of the matrix and get a real life.)
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To: ChicagoConservative27

The Chicoms will just slap “Made in Vietnam” tags on the products and ship them out of Hong Kong.


4 posted on 03/06/2025 11:55:47 AM PST by VanShuyten ("...that all the donkeys were dead. I know nothing as to the fate of the less valuable animals)
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To: ChicagoConservative27

When Trump said Tariffs Democrats lost their minds, with None of them ever owning, Running, or working in a business ot was expected. Just like everything to do with jobs they just don’t understand never having Jobs.
I mean just look at those they look to as leaders.
Bill Clinton Never held a Job !
Barack Hussein Obama Never held a Job !
Hillary Clinton Never held a Job !
Joe Biden Never held a Job !
These four define and lead the Democrat Party and they’ve Never had real Jobs.
They’re lifelong Politicians that don’t know how to screw in a lightbulb.

As soon as Tariffs were mentioned I pointed out hundreds of times that retail buyers would simply Cancel Orders, China gives a deep discount or China has No Orders.


5 posted on 03/06/2025 12:02:44 PM PST by cquiggy (Ck)
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To: ChicagoConservative27

Good luck with that.


6 posted on 03/06/2025 12:03:50 PM PST by alternatives?
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To: ChicagoConservative27
Walmart Tells Chinese Suppliers to Absorb Cost of Trump’s Tariffs

America, Americans, President Trump and Walmart Wins!

Prog Marxist DemonRats Lose!

7 posted on 03/06/2025 12:05:29 PM PST by Navy Patriot (President Trump Decisively Won Popular & E.C., Celebrate Recivilization!)
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To: ChicagoConservative27

More Walmart stuff seems to be coming from non-China Asia.


8 posted on 03/06/2025 12:10:08 PM PST by kaktuskid
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To: alternatives?

“Good luck with that.”

Those 3rd world exporters have to get rid of the stuff; Otherwise they face economic constipation.


9 posted on 03/06/2025 12:32:57 PM PST by cymbeline
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To: ChicagoConservative27
This is how Walmart treats their US suppliers. "You will supply x million units @ this price" ... or not at all. Tariffs (import duties) are paid by the importer. Period. Suppliers may reduce their prices to compensate, but that's called "under-invoicing" and can be treated as evading taxes by the importer's government.

In certain countries with extreme tariffs, Indonesia for example, under-invoicing by foreign suppliers to compensate is commonplace. But it is illegal at that end and can get an exporter who does it barred from the market. We refused to do it and so never did much business there.

10 posted on 03/06/2025 12:36:10 PM PST by katana
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To: Repeal The 17th

Yes. Reporters are dumb.


11 posted on 03/06/2025 12:46:43 PM PST by ifinnegan (Democrats kill babies and harvest their organs to sell)
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To: ChicagoConservative27
I think he is going to start emphasizing the exporting.


12 posted on 03/06/2025 2:16:20 PM PST by Larry Lucido (Donate! Don't just post clickbait!)
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To: katana

Walmart did this to Huffy bikes many years ago. Huffy agreed to a certain volume at a given price, then Walmart demanded a much larger volume at the same price. Eventually, Huffy decided they couldn’t comply and stay in business, so they cut off off the supply when Walmart demanded a far greater supply.

Same thing when Walmart demanded a price cut on a gallon sized jar of pickles from another supplier.

The lesson is don’t ever allow a customer to take a too high portion of your production. You will lose in the end.

Walmart has been doing this to the Chinese for many decades. Once the tariffs are gone, Walmart will demand that China not raise the price of the goods they discounted.


13 posted on 03/06/2025 2:20:33 PM PST by WASCWatch ( WASC)
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To: WASCWatch

Walmart could add that their customers are stealing them blind.


14 posted on 03/06/2025 2:33:41 PM PST by Colt1851Navy (What was wrong with Nixon?)
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To: ChicagoConservative27

Title is wrong.

Walmart is asking Chinese suppliers to absorb the new tariff by reducing their price equally, cancelling out what the American importer will pay in the tariff.

Some Chinese suppliers might aborb some of the added cost, and some may not reduce their price to Walmart at all.

Walmart’s problem is they have built up buying from China so much, they do not have much immediate leverage over some Chinese suppliers. Changing their overseas supply chains just avoid tariffs on Chinese made goods, will be years in the making, not weeks or months. Meanwhile look for a decline in Walmart profits.


15 posted on 03/06/2025 2:50:55 PM PST by Wuli (qq)
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To: ChicagoConservative27

I remember when Walmart only sold products made in the USA.


16 posted on 03/06/2025 2:54:00 PM PST by Fledermaus ("It turns out all we really needed was a new President!")
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To: ChicagoConservative27

I have been laying in supplies of various Chinese electronic parts in case they become unavailable or costly...

Grabbed about 200 Espressif processors and boards, lots of printer filament, 3D printer parts, many ARM processors and SOCs, a bunch of various TFT displays... etc

Be prepared....


17 posted on 03/06/2025 3:08:45 PM PST by Bobalu (I can’t even feign surprise anymore...)
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