Walmart, Target Executives Meet Trump As Tariff Fears Spread

Mint

22-04-2025

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President Donald Trump met with major retailers at the White House, as business executives seek relief from sweeping tariffs that have destabilized global supply chains and rattled US consumers.
The Monday meeting included representatives from Walmart Inc., Home Depot Inc. and Target Corp., according to people familiar with the plans. The discussion came amid a 90-day pause in Trump's higher tariffs on trading partners except China that dozens of foreign leaders and business executives are using to negotiate better terms.
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'We had a productive meeting with President Trump and our retail peers to discuss the path forward on trade, and we remain committed to delivering value for American consumers,' a Target spokesman said in an emailed statement.
A Walmart spokeswoman also called the meeting productive and a Home Depot spokeswoman said the company looked forward to continuing constructive dialog with the White House. The White House did not immediately respond to a request for comment on the discussion.
Disruptions caused in large part by Trump's tariffs have posed challenges for retailers that are main drivers of the US economy. A selloff in US assets deepened Monday amid tariff anxiety and Trump's threats against Federal Reserve Chair Jerome Powell.
Shares of the companies ticked up after news of the meeting, but Walmart and Home Depot remained down for the day. Target rose less than 1% at the close of trading.
American companies have warned that business could slow in the months ahead as the import taxes go into place. While companies have operated with tariffs for several years, the magnitude and fast-changing nature of Trump's levies have become a unique problem.
Trump's duties on nearly all trading partners and a litany of sectors, including metals, are threatening to increase prices on everything from spirits and apparel to electronics and furniture. Those changes are expected to further hamper consumer demand, as Americans have already been price-sensitive following years of inflation.
In addition to the cavalcade of overseas officials seeking lower tariffs, Trump has indicated he would be open to negotiating on rates with corporate leaders.
'We'll also talk to companies. You know, you have to show a certain flexibility. Nobody should be so rigid,' the US president told reporters on April 13.
Trump's administration exempted smartphones, computers and other electronics from its so-called reciprocal tariffs. The decision marked a temporary reprieve for global technology manufacturers, including Apple Inc. and Nvidia Corp., though officials later said the US would craft other specific duties for those products and started the process by launching an investigation into semiconductor imports.
Uncertainty around Trump's tariffs have made it difficult for businesses to plan inventory and pricing. The 90-day pause has given some operators a temporary relief, though many have warned of the complications that come with not knowing where duty rates will end up.
Earlier: How Tariffs Threaten to Drive Up US Clothes Prices: QuickTake
Americans have been rushing to purchase items like cars, electronics and appliances before Trump's levies take full effect, according to economic data. US retail sales surged 1.4% in March from the previous month, the biggest jump in more than two years, according a Commerce Department report. Auto purchases increased by 5.3% as buyers sought to avoid 25% tariffs on finished vehicles that went into place on April 3.
The March data captured spending before Trump announced, then subsequently paused high tariffs on nations across the world, and before he hiked levies on many Chinese goods to 145%. But the report offers insight on consumers' mindset at a time of high uncertainty about future prices.
Retailers have an especially close window into how the levies would affect consumers and the US economy, given that they sell many oft-purchased essentials.
Walmart, the world's largest retailer, has said it operates a diversified supply chain and that it sources about two-thirds of items in the US. Executives said this month that the company is working to keep prices low and that its merchants are thinking through the quantity of goods it needs, as well as how prices could change due to tariffs. So far, the company has not seen customers hoard like they did during the coronavirus pandemic.
Target has not indicated how much of its items are sourced overseas, though it has previously said price increases would vary by category. The company has said it was having discussions with vendors and employees about next steps. Home Depot has said it sources more than half of its goods in North America.
With assistance from Matt Townsend, Jennifer A. Dlouhy and Phil Kuntz.
This article was generated from an automated news agency feed without modifications to text.
First Published: 22 Apr 2025, 09:23 PM IST