America's favorite department store latest to warn that worst case tariff scenario is coming true
Macy's has joined a growing list of retailers raising prices as the impact of President Trump's tariffs reverberates across the retail sector.
The struggling department store chain said it will boost prices on select products, reduce its reliance on Chinese suppliers, and cancel or delay certain orders to cope with the new economic reality.
CEO Tony Spring explained the affected orders are ones 'where the value proposition is just not where it needs to be.'
'I think it's important to understand that we are not just broadly increasing price,' Spring said.
'We're being incredibly surgical about the situation with tariffs.'
Roughly 20 percent of Macy's products sold last year were from China, including bestsellers like Nike Jordans and Adidas Samba.
Those items, in particular, could see steep price hikes.
The tariff turmoil follows Macy's announcement that it will shutter 150 stores by the end of 2026, including 66 closures this year.
Like many department stores, Macy's has been suffering from dwindling sales amid the stratospheric rise of online rivals and the demise of America's suburban malls.
Some of those locations that shut recently include its 51-year-old Massapequa location and its iconic store in Center City, Philadelphia.
Macy's had been working to make up for its disappointing holiday sales while dealing with a scandal involving one of their employees who hid over $150 million in delivery expenses before the closures.
'Increasing prices isn't an ideal solution for Macy's, if only because sales are already under pressure and it doesn't want to dilute the value it offers to consumers,' Neil Saunders from GlobalData told DailyMail.com.
'However, it is going to be very selective about how and where it increases prices, so I don't expect everything will go up and it will still try to offer good value for money on key items.'
The company is trying to rebound after disappointing holiday sales and a recent scandal involving an employee who allegedly hid $150 million in delivery costs.
Its most recent earnings report showed $4.6 billion in net sales and a 2% dip in comparable sales.
While Macy's is working to reach new heights, other retailers are busy dealing with backlash over their decisions to raise prices.
Around 20 percent of products sold at Macy's at the end of its last fiscal year were from China
Nike, Pumas, and Adidas all confirmed that it would hike product costs on select items as a result of the tariffs.
Walmart left shoppers furious after confirming its costs would rise, and now some products have nearly doubled in price.
It also forced the retailer to slash about 1,500 US jobs as part of its restructuring plan in response to the hikes.
Other retailers in hot water over price hikes include Best Buy and Target.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Guardian
42 minutes ago
- The Guardian
Nine women accuse Jared Leto of sexual impropriety in new report
Multiple women have accused Jared Leto of impropriety, with some calling the 53-year-old actor and musician's behavior 'predatory, terrifying and unacceptable'. In a new report by Air Mail on Saturday, nine women have come forward to accuse Leto of engaging in inappropriate behavior over the years, including flirting with teenagers. Speaking to the outlet, one woman said that back in 2006, when she was 16 years old, Leto approached her outside a cafe in Los Angeles. According to the woman, Leto, who was seated with the actor Ashley Olsen, who was then 19, grabbed her arm. 'I looked down and it was Jared Leto,' the woman told Air Mail, adding: 'We had a quick conversation, and he got my number.' She went on to say that Leto called her home a few days later, recalling: 'I don't know if he was on drugs or what … It was the weirdest, grossest voice … [But] for me, it's Jared, you know?' She said that Leto said he was hosting a party at his house that evening and that he invited her. The woman declined, telling the outlet: 'I didn't even have a driver's license.' Nevertheless, she said, Leto kept calling her, 'always at one, two, three AM'. 'And the conversations turned sexual. He'd ask things like: 'Have you ever had a boyfriend? Have you ever sucked a dick?'' she told Air Mail. Another woman, the model Laura La Rue, recounted a similar experience to the outlet, saying that when she was 16 years old in 2008, she was at an event in a private residence in Beverly Hills where Leto was 'watching her so intensely'. 'He asked how old I was. I said, 'I'm 16. How old are you?'' La Rue told Air Mail. Leto, who was 36 at the time, proceeded to ask for her number. The two began an email correspondence, which eventually led to her visiting Leto's home in April 2009, the outlet reports. 'I remember him teasing me the whole time I was there,' La Rue said, adding: 'He was flirting with me. He'd lean in close, then pull away, like it was a game.' In a statement to Air Mail, a representative of Leto said: 'Their communications contain nothing sexual or inappropriate … and Ms La Rue later applied to work as Mr Leto's personal assistant, further underscoring the absence of anything inappropriate in any of their interactions.' Air Mail reports La Rue denying ever applying for a personal assistant role with Leto. During a separate visit, La Rue said, Leto walked out of a room completely naked when she was 17 years old. 'He just walked out, dick out, like it was normal … I thought maybe this was just what adult men do,' she told Air Mail. Another woman who spoke to the outlet said that she and Leto began a texting relationship while she was still underage. According to her, Leto would ask her inappropriate questions during her visits to his house, such as: 'Do any of the little boys you hang out with fuck you?' The woman added that once, when she was 18, Leto 'suddenly pulled his penis out and started masturbating'. She told the outlet: 'Then he walked over, grabbed my hand, and put it on him. He leaned in and said: 'I want you to spit on it.'' Another woman, Allie Teilz, a Los Angeles-based DJ and music producer, last month on Instagram reposted a 2012 Facebook status in which she had said: 'Youre [sic] not really in L.A. until Jared Leto tries to force himself on you backstage… In a kilt.. And a snow hat,' Air Mail reported. In her Instagram stories, which Air Mail reviewed, Teilz said: 'I was assaulted and traumatized by this creep when I was 17 … He knew my age and didn't care. What he did was predatory, terrifying and unacceptable.' A representative of Leto has 'expressly denied' the various women's accusations reported in Air Mail, including Teilz's, which the representative said were 'demonstrably false'. Leto himself has yet to comment on the allegations. In the US, call or text the Childhelp abuse hotline on 800-422-4453 or visit their website for more resources and to report child abuse or DM for help. For adult survivors of child abuse, help is available at In the UK, the NSPCC offers support to children on 0800 1111, and adults concerned about a child on 0808 800 5000. The National Association for People Abused in Childhood (Napac) offers support for adult survivors on 0808 801 0331. In Australia, children, young adults, parents and teachers can contact the Kids Helpline on 1800 55 1800, or Bravehearts on 1800 272 831, and adult survivors can contact Blue Knot Foundation on 1300 657 380. Other sources of help can be found at Child Helplines International
Daily Mail
an hour ago
- Daily Mail
Gory details of Elon Musk's 'rugby tackle' of Scott Bessent spill out as White House leaks escalate
New details surrounding a White House brawl between Elon Musk and Treasury Secretary Scott Bessent have spilled out into the open - with one insider saying the Tesla CEO rammed his shoulder into Bessent's ribcage 'like a rugby player.' The Daily Mail was the first to report on the heated confrontation between Bessent and Musk, who's since been iced out of Donald Trump 's inner circle after their public blow-up this week. Former Chief Strategist Steve Bannon revealed that there was more to the mid-April tussle, insisting that both men ended up landing blows. They lost their patience with one another following a tense meeting in the Oval Office in which Trump snubbed Musk and instead took Bessent's advice on whom to name as acting IRS Commissioner, Bannon said. When Bessent and Musk exited the Oval Office, they began hurling insults at one another in the hallway. But it was Bessent who struck Musk where it hurts. According to Bannon, Bessent dared to say that the billionaire's Department of Government Efficiency (DOGE) was a failure, since Musk didn't root out the $1 trillion in wasteful and fraudulent federal spending he promised he would. 'Scott said, "You're a fraud. You're a total fraud,"' Bannon said. That's when Musk body-checked Bessent, who hit the world's richest man right back, according to Bannon. Bessent's comment about Musk failing to deliver DOGE cuts at the magnitude he promised got the Tesla CEO to strike Bessent, who hit back, according to Steve Bannon Multiple people stepped in to break up the fight as the two men were getting close to the office of then-National Security Advisor Mike Waltz. Musk was then escorted out of the West Wing. Bannon previously told the Daily Mail that Trump sided with Bessent '100 percent.' Still, Trump wasn't particularly happy that the fight took place, according to Bannon. 'President Trump heard about it and said, "This is too much,'' Bannon said. Details about the Bessent-Musk clash only build upon speculation that Trump has long been drifting away from his former 'first buddy,' who donated $288 million to his 2024 campaign. They also reinforce the fact that leakers inside the White House are laser-focused on Musk. Sources close to the billionaire blew the whistle on his poor relationship with Susie Wiles, Trump's no-nonsense chief of staff. He treated Wiles like a 'secretary,' a source told the Daily Mail in April, despite her proven track record of success leading Trump's winning 2024 campaign. And in early March, there was wide-scale reporting on an Oval Office blowup between Musk and Secretary of State Marco Rubio. This was in the early days of the DOGE-inspired layoffs, and according to The New York Times, Musk berated Rubio for not firing anyone at the State Department. Rubio reportedly asked whether the 1,500 State Department officials who took early retirement buyouts counted as layoffs. Then he 'sarcastically' questioned if Musk wanted him to rehire them so he could fire them again, The Times reported. Most recently, Musk's alleged drug use was laid bare by insiders who spoke to The New York Times. Musk was reportedly taking ketamine so frequently that it was affecting his bladder function. The bombshell report also claimed he took ecstasy, psychedelic mushrooms and traveled with a daily pill box that contained about 20 different drugs, including Adderall. While all these disagreements played out behind the scenes, things between Musk and Trump seemed copacetic. In March, when Tesla stock was tanking and people began fire-bombing the electric vehicles all over the country, Trump brought Tesla to the South Lawn of the White House. One of the harshest barbs in the Trump-Musk feud came when Musk accused the president of being in the Epstein files As recently as May 30, Trump was praising Musk for his DOGE efforts during a press conference in the Oval Office, even presenting him a golden key to the White House. The era of good feelings would only last a few days more. On Tuesday afternoon, he posted on X about his unflinching hate for the 'Big Beautiful Bill,' Trump's landmark budget and tax cut bill. 'I'm sorry, but I just can't stand it anymore. This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination,' Musk wrote. 'Shame on those who voted for it: you know you did wrong. You know it.' In response, Trump said he was 'very surprised' and 'very disappointed' about Musk's unabashed criticism. On Thursday, Trump threatened to cut off federal loans and subsidies to Musk's companies, which have received some $38 billion in government money over the last two decades. Trump doubled down on this idea Friday, telling reporters aboard Air Force One: ''I would certainly think about it, but it has to be fair.' He also told reporters that he wished the billionaire 'well,' to which Musk replied in a post on X saying: 'Likewise.' Musk then responded to the clip of Trump talking about canceling his grants, saying: 'Fair enough.' Musk has sought to soften his tone, recently deleting his post on X saying that Trump was in the Epstein files. On Saturday, Trump did a phone interview with NBC's Kristen Welker and said he had no desire to mend his relationship with Musk. He also said he didn't plan to speak with Musk anytime soon. 'I'm too busy doing other things,' Trump said. 'I have no intention of speaking to him.'
Daily Mail
an hour ago
- Daily Mail
Trump's tariffs will cost UK steel industry £150m
US trade tariffs have dealt a £150 million blow to the UK steel industry as a wave of cheap products driven from American shores are being dumped in Britain, senior industry figures warn. The UK risks being hit harder than other countries in the tariff chaos despite having negotiated a deal with Donald Trump on exports of steel to the US. This, steel bosses say, is because the UK does not have 'the right defences' to prevent countries such as China from flooding our market with cheap steel that would have been sold to the US. That will drive down prices and crowd out domestic British steelmakers. By contrast, EU countries have erected barriers to protect their steel industries. Trade body UK Steel said imports were 'flooding on to the UK market depressing prices' as a result of the US tariffs, which last week rose to 50 per cent for steel and aluminium from a previous rate of 25 per cent. The UK managed to avoid the higher levy after securing a last-minute exemption. But Russell Codling, commercial director at Tata Steel, told MPs urgent measures were needed to protect UK industry. He said steel prices in the UK were tanking below those in Europe following the US tariffs – a price difference 'leading to something like a £100 million- £150 million-a-year loss in the UK compared with Europe.' The UK industry is already struggling to remain profitable due to high energy costs and environmental taxes, which are heavier than those on EU manufacturers. Codling added that the UK market for foreign steel imports was 'far more free-flowing than into mainland Europe'. The latest crisis comes hard on the heels of Government intervention to prevent the country's last blast furnaces at the British Steel plant in Scunthorpe, North Lincolnshire, from being closed by Chinese owners Jingye in April. Codling, whose firm employs 8,000 people, said the UK needed to bring in measures to shield producers against cheap imports that 'are as least as good as our trading partners around the world.' A 25 per cent levy will still apply until the Government finalises a proposed trade deal with the US which should see tariffs cut to zero. Steel exports from Britain to the US are worth £400 million a year, making it the sector's second-biggest market. But UK bosses fear the Trump administration could alter the terms of any deal before it is signed. Gareth Stace, director general of UK Steel, said the Government needed to take 'decisive action' to protect producers. He added: 'The EU has stepped up its trade defences, and now we must do the same.' Respected industrialist Andrew Cook warned that the dumping of cheap steel would cause 'great damage'. He said: 'China built 600 million tons of surplus steel-making capacity to dump on foreign markets. This is the main reason why Britain's steel industry has suffered so badly.' Currently, the UK sets a quota for steel imports allowed into the country tariff-free. Imports above that level incur a 25 per cent levy. But UK Steel says the quotas do not offer 'adequate protection'. The UK's Trade Remedies Authority (TRA), which monitors unfair practices, is reviewing whether the measures, which are based on EU controls from 2018, suffice. Industry minister Sarah Jones insisted the Government – which is set to unveil its £2.5 billion steel strategy later this year – is backing the industry 'to the hilt'. She said: 'The TRA has been working at pace to identify stronger measures to defend the industry.' Rajesh Nair, head of Tata Steel UK, urged Ministers to ensure the US doesn't require British exports to have been 'melted and poured' in the UK to be tariff-exempt. This process now only happens at British Steel's Scunthorpe blast furnaces. Tata, which closed its UK blast furnace last year, is having to import steel until electric arc furnace steelmaking starts in Port Talbot in late 2027, Nair said.
