Latest news with #Dalquist
CBS News
01-05-2025
- Business
- CBS News
Nordic Ware's "Made in the USA" label is deceptive, class action lawsuit argues
A Minnesota-based cookware company has been accused of deceptively labeling its products as being "Made in the USA" despite the material being sourced from Canada. The class action lawsuit filed April 11 alleges Nordic Ware's claims that its products are American-made are false and misleading because "virtually all" of the materials used to make aluminum are mined overseas and the processing of the material into aluminum happened in Canada. The plaintiff, a man from New York, claims he would have never bought nearly $45 worth of Nordic Ware's product had he known the aluminium had not been sourced and manufactured in the USA. He says he paid "an additional amount" for the product based on Nordic Ware's "Made in the USA" claim. According to the Federal Trade Commission, "Made in USA" means "all or virtually all" of the product has been made in America. "That is all significant parts, processing and labor that go into the product must be of U.S. origin," the federal agency says. In one example provided in the lawsuit, the FTC says that if the gold in a gold ring is imported, claiming the ring was made in America is deceptive because the gold, which is an integral component, is "only one step back from the finished article." Without aluminium and bauxite, a rock with high aluminium content, the lawsuit claims, Nordic Ware would not be able to manufacture its products. Additionally, it is noted that no bauxite mined in the United States has been used to make aluminum since 1981, and bauxite is not mined in Canada. "...It is virtually impossible to source U.S.-mined bauxite and U.S.-made aluminum in the United States," the lawsuit says. "As such, the aluminium used in Defendant's products necessarily must be sourced from foreign nations." Last month, Nordic Ware CEO David Dalquist told WCCO his company caters "to the people that appreciate American-made products." Dalquist said the aluminium used in Nordic Ware's products is sourced from Canada in the form of 5,000-pound coils and processed at a factory in Wisconsin. On its website, Nordic Ware says its "Made in America" label "signifies a deep-rooted commitment to providing American jobs that support families and their communities." Nordic Ware has not returned WCCO's request for comment.
USA Today
26-03-2025
- Business
- USA Today
Target and Walmart struggle with suppliers over retail price adjustments
Target and Walmart struggle with suppliers over retail price adjustments Show Caption Hide Caption Trump threatens 25% tariff on any country that buys Venezuelan oil U.S. President Donald Trump has said he will impose a 25% tariff on all imports from any country that purchases oil from Venezuela. unbranded - Newsworthy U.S. retailers Walmart WMT.N and Target TGT.N are bickering behind the scenes with their suppliers over proposed price hikes on everything from cake pans, tote bags and toys to other merchandise. The outcome of their talks will determine when and by how much merchandise prices rise — and even which products retailers will keep on store shelves. Major retailers say they can't just raise retail prices without losing market share and alienating American shoppers. Their stance is leading to acrimonious discussions about pricing with goods suppliers whose costs have shot up following President Donald J. Trump's tariffs. In kitchenware, David Dalquist, the CEO of Nordic Ware, a small cookware manufacturer, has been hit hard by Trump's 25% tariffs on aluminum imports. Dalquist's Minneapolis-based firm purchases aluminum in 5,000-pound coils, which it uses to make Bundt pans and other products. But the fact that his costs have surged by 5% to 10%, due to new tariffs implemented on March 12, is making it harder for him to set prices now for retailers in the new season, which culminates later in the year around the holidays. Most retailers require a 60-day notice for any price increase, Dalquist said in an interview. 'You can't just hand it to them,' he said. 'Then they review it — they go through their own analysis on whether it's justified.' That means months of delay getting them implemented. In the meantime, Dalquist's firm must absorb the higher costs. "Our conversations with suppliers are all aimed at making our purpose a reality for millions of customers, and we will continue to work closely with them to find the best way forward during these uncertain times," Walmart said in a statement. In case you missed it: Walmart unveils 'modern' new logo. The internet can't see the difference. Onerous process In retail, unlike manufacturing, the process of implementing price hikes is time-consuming and onerous thanks to the typical contracts that retailers use with their merchandise suppliers. For vendors, dealing with Walmart has always been tough because of its size — it generates more than $446 billion of annual sales in the U.S. It also has previously said that it will scrutinize every line item of cost before it agrees to a supplier's proposed price hike. To risk having brands kicked off Walmart's shelves because of a dispute over pricing can badly hurt a supplier. Dalquist said that if retailers don't agree to the price hikes, retailers will just substitute his Bundt pans with those made by someone else. Because kitchenware is a category with a wide range of alternatives at lower prices, it would be hard to lift prices and not see a weakening of shopper demand for his product in the current environment. In accessories, the 20% tariffs Trump imposed on China imports earlier this year drove Kim Vaccarella, founder of Bogg Bag of Secaucus, New Jersey, to hike prices on its bags by $5. Bogg supplies brightly-colored tote bags, manufactured in China using Croc-like plastic material, to Target, which sells the original-size bag for $90. A Target spokesperson directed Reuters to comments made by its executives during a recent investor meeting. At the March 4 meeting, Rick Gomez, Target's chief commercial officer, said it was too early to tell how prices might change product by product, but that the retailer was looking at pricing holistically. Some retailers have already asked her to consider lowering her wholesale prices, she said. "People are getting creative," Vaccarella said. Her company is also looking at alternative manufacturing sites in Sri Lanka, Vietnam and other lower-cost factories in China, she said. Loss leading Price negotiations now going on between manufacturers and retailers have a crucial subtext: 'Before you even entertain the conversation (about a price hike), you have to figure out what everyone else is doing," said Fraser Townley, chief executive of T2M, which specializes in full-size video game controllers. 'I was lucky,' he said, referring to his own dealings with big retailers — because he had a unique product: devices that allow a user to play video games on a mobile phone without having to deal with tiny screens/buttons. Nobody else was offering his very niche-directed controllers. 'But if you were one of 100 TV manufacturers trying to get your TVs into Walmart, they would say, 'I have 99 others who don't want to put prices up.'' It also matters what those competitors are selling, Townley said. A global producer that sells a range of products through a major retailer might figure they'll absorb losses or lower profits on one product to protect other lines of business — or simply use the opportunity to grow their own market share by keeping their prices steady. 'There's so much loss leading going on out there," he said, referring to suppliers' willingness to absorb losses and maintain current wholesale prices just so they can remain on retailers' shelves. "It's a wonder anyone remains in business,' he said. In toys, Bratz doll maker MGA Entertainment Chief Executive Isaac Larian said the company is going back and forth negotiating with retailers on a price hike on its China-made toys that it wants to go into effect in April. MGA's toys are sold in Walmart and Target, among other chains. "The retailers, that's their job. They resist and say they do not want to have a price increase, and they have said that to us, because the consumer is very, very strained and stressed," Larian said. Larian said he does not think he will be able to pass on the full 20% tariff to retailers as a 20% price hike. "We're going to have a shared responsibility," he said. "We'll take a lower [profit] margin," but half of the cost of the tariffs "we have to pass on" with higher wholesale prices to retailers, he added. Reporting by Timothy Aeppel, Jessica DiNapoli and Siddharth Cavale in New York. Additional reporting by Richa Naidu in London; Editing by Vanessa O'Connell and Aurora Ellis
Khaleej Times
24-03-2025
- Business
- Khaleej Times
US retailers haggle with suppliers after Trump tariffs
US retailers Walmart and Target are bickering behind the scenes with their suppliers over proposed price hikes on everything from cake pans, tote bags and toys to other merchandise. The outcome of their talks will determine when and by how much merchandise prices rise — and even which products retailers will keep on store shelves. Major retailers say they can't just raise retail prices without losing market share and alienating American shoppers. Their stance is leading to acrimonious discussions about pricing with goods suppliers whose costs have shot up following President Donald J. Trump's tariffs. In kitchenware, David Dalquist, the CEO of Nordic Ware, a small cookware manufacturer, has been hit hard by Trump's 25 per cent tariffs on aluminum imports. Dalquist's Minneapolis-based firm purchases aluminum in 5,000-pound coils, which it uses to make Bundt pans and other products. But the fact that his costs have surged by five per cent to 10 per cent, due to new tariffs implemented on March 12, is making it harder for him to set prices now for retailers in the new season, which culminates later in the year around the holidays. Most retailers require a 60-day notice for any price increase, Dalquist said in an interview. 'You can't just hand it to them,' he said. 'Then they review it--they go through their own analysis on whether it's justified.' That means months of delay getting them implemented. In the meantime, Dalquist's firm must absorb the higher costs. "Our conversations with suppliers are all aimed at making our purpose a reality for millions of customers, and we will continue to work closely with them to find the best way forward during these uncertain times," Walmart said in a statement. Onerous process In retail, unlike manufacturing, the process of implementing price hikes is time-consuming and onerous thanks to the typical contracts that retailers use with their merchandise suppliers. For vendors, dealing with Walmart has always been tough because of its size — it generates more than $446 billion of annual sales in the US It also has previously said that it will scrutinize every line item of cost before it agrees to a supplier's proposed price hike. To risk having brands kicked off Walmart's shelves because of a dispute over pricing can badly hurt a supplier. Dalquist said that if retailers don't agree to the price hikes, retailers will just substitute his Bundt pans with those made by someone else. Because kitchenware is a category with a wide range of alternatives at lower prices, it would be hard to lift prices and not see a weakening of shopper demand for his product in the current environment. In accessories, the 20 per cent tariffs Trump imposed on China imports earlier this year drove Kim Vaccarella, founder of Bogg Bag of Secaucus, New Jersey, to hike prices on its bags by $5. Bogg supplies brightly-colored tote bags, manufactured in China using Croc-like plastic material, to Target, which sells the original-size bag for $90. A Target spokesperson directed Reuters to comments made by its executives during a recent investor meeting. At the March 4 meeting, Rick Gomez, Target's chief commercial officer, said it was too early to tell how prices might change product by product, but that the retailer was looking at pricing holistically. Some retailers have already asked her to consider lowering her wholesale prices, she said. "People are getting creative," Vaccarella said. Her company is also looking at alternative manufacturing sites in Sri Lanka, Vietnam and other lower-cost factories in China, she said. Loss leading Price negotiations now going on between manufacturers and retailers have a crucial subtext: 'Before you even entertain the conversation (about a price hike), you have to figure out what everyone else is doing," said Fraser Townley, chief executive of T2M, which specialises in full-size video game controllers. 'I was lucky,' he said, referring to his own dealings with big retailers — because he had a unique product: devices that allow a user to play video games on a mobile phone without having to deal with tiny screen/buttons. Nobody else was offering his very niche-directed controllers. 'But if you were one of 100 TV manufacturers trying to get your TVs into Walmart, they would say, 'I have 99 others who don't want to put prices up'.' It also matters what those competitors are selling, Townley said. A global producer that sells a range of products through a major retailer might figure they'll absorb losses or lower profits on one product to protect other lines of business — or simply use the opportunity to grow their own market share by keeping their prices steady. 'There's so much loss leading going on out there," he said, referring to suppliers' willingness to absorb losses and maintain current wholesale prices just so they can remain on retailers' shelves. "It's a wonder anyone remains in business,' he said. In toys, Bratz doll maker MGA Entertainment Chief Executive Isaac Larian said the company is going back and forth negotiating with retailers on a price hike on its China-made toys that it wants to go into effect in April. MGA's toys are sold in Walmart and Target, among other chains. "The retailers, that's their job. They resist and say they do not want to have a price increase, and they have said that to us, because the consumer is very, very strained and stressed," Larian said. Larian said he does not think he will be able to pass on the full 20 per cent tariff to retailers as a 20 per cent price hike. "We're going to have a shared responsibility," he said. "We'll take a lower margin," but half of the cost of the tariffs "we have to pass on" with higher wholesale prices to retailers, he added.
Zawya
24-03-2025
- Business
- Zawya
US retailers haggle with suppliers after Trump tariffs
U.S. retailers Walmart and Target are bickering behind the scenes with their suppliers over proposed price hikes on everything from cake pans, tote bags and toys to other merchandise. The outcome of their talks will determine when and by how much merchandise prices rise - and even which products retailers will keep on store shelves. Major retailers say they can't just raise retail prices without losing market share and alienating American shoppers. Their stance is leading to acrimonious discussions about pricing with goods suppliers whose costs have shot up following President Donald J. Trump's tariffs. In kitchenware, David Dalquist, the CEO of Nordic Ware, a small cookware manufacturer, has been hit hard by Trump's 25% tariffs on aluminum imports. Dalquist's Minneapolis-based firm purchases aluminum in 5,000-pound coils, which it uses to make Bundt pans and other products. But the fact that his costs have surged by 5% to 10%, due to new tariffs implemented on March 12, is making it harder for him to set prices now for retailers in the new season, which culminates later in the year around the holidays. Most retailers require a 60-day notice for any price increase, Dalquist said in an interview. 'You can't just hand it to them,' he said. 'Then they review it--they go through their own analysis on whether it's justified.' That means months of delay getting them implemented. In the meantime, Dalquist's firm must absorb the higher costs. "Our conversations with suppliers are all aimed at making our purpose a reality for millions of customers, and we will continue to work closely with them to find the best way forward during these uncertain times," Walmart said in a statement. ONEROUS PROCESS In retail, unlike manufacturing, the process of implementing price hikes is time-consuming and onerous thanks to the typical contracts that retailers use with their merchandise suppliers. For vendors, dealing with Walmart has always been tough because of its size-- it generates more than $446 billion of annual sales in the U.S. It also has previously said that it will scrutinize every line item of cost before it agrees to a supplier's proposed price hike. To risk having brands kicked off Walmart's shelves because of a dispute over pricing can badly hurt a supplier. Dalquist said that if retailers don't agree to the price hikes, retailers will just substitute his Bundt pans with those made by someone else. Because kitchenware is a category with a wide range of alternatives at lower prices, it would be hard to lift prices and not see a weakening of shopper demand for his product in the current environment. In accessories, the 20% tariffs Trump imposed on China imports earlier this year drove Kim Vaccarella, founder of Bogg Bag of Secaucus, New Jersey, to hike prices on its bags by $5. Bogg supplies brightly-colored tote bags, manufactured in China using Croc-like plastic material, to Target, which sells the original-size bag for $90. A Target spokesperson directed Reuters to comments made by its executives during a recent investor meeting. At the March 4 meeting, Rick Gomez, Target's chief commercial officer, said it was too early to tell how prices might change product by product, but that the retailer was looking at pricing holistically. Some retailers have already asked her to consider lowering her wholesale prices, she said. "People are getting creative," Vaccarella said. Her company is also looking at alternative manufacturing sites in Sri Lanka, Vietnam and other lower-cost factories in China, she said. LOSS LEADING Price negotiations now going on between manufacturers and retailers have a crucial subtext: 'Before you even entertain the conversation (about a price hike), you have to figure out what everyone else is doing," said Fraser Townley, chief executive of T2M, which specializes in full-size video game controllers. 'I was lucky,' he said, referring to his own dealings with big retailers— because he had a unique product: devices that allow a user to play videogames on a mobile phone without having to deal with tiny screen/buttons. Nobody else was offering his very niche-directed controllers. 'But if you were one of 100 TV manufacturers trying to get your TVs into Walmart, they would say, 'I have 99 others who don't want to put prices up.'' It also matters what those competitors are selling, Townley said. A global producer that sells a range of products through a major retailer might figure they'll absorb losses or lower profits on one product to protect other lines of business—or simply use the opportunity to grow their own market share by keeping their prices steady. 'There's so much loss leading going on out there," he said, referring to suppliers' willingness to absorb losses and maintain current wholesale prices just so they can remain on retailers' shelves. "It's a wonder anyone remains in business,' he said. In toys, Bratz doll maker MGA Entertainment Chief Executive Isaac Larian said the company is going back and forth negotiating with retailers on a price hike on its China-made toys that it wants to go into effect in April. MGA's toys are sold in Walmart and Target, among other chains. "The retailers, that's their job. They resist and say they do not want to have a price increase, and they have said that to us, because the consumer is very, very strained and stressed," Larian said. Larian said he does not think he will be able to pass on the full 20% tariff to retailers as a 20% price hike. "We're going to have a shared responsibility," he said. "We'll take a lower margin," but half of the cost of the tariffs "we have to pass on" with higher wholesale prices to retailers, he added. (Reporting by Timothy Aeppel, Jessica DiNapoli and Siddharth Cavale in New York. Additional reporting by Richa Naidu in London; Editing by Vanessa O'Connell and Aurora Ellis)
Reuters
24-03-2025
- Business
- Reuters
US retailers haggle with suppliers after Trump tariffs
NEW YORK, March 24 (Reuters) - U.S. retailers Walmart (WMT.N), opens new tab and Target (TGT.N), opens new tab are bickering behind the scenes with their suppliers over proposed price hikes on everything from cake pans, tote bags and toys to other merchandise. The outcome of their talks will determine when and by how much merchandise prices rise - and even which products retailers will keep on store shelves. here. Major retailers say they can't just raise retail prices without losing market share and alienating American shoppers. Their stance is leading to acrimonious discussions about pricing with goods suppliers whose costs have shot up following President Donald J. Trump's tariffs. In kitchenware, David Dalquist, the CEO of Nordic Ware, a small cookware manufacturer, has been hit hard by Trump's 25% tariffs on aluminum imports. Dalquist's Minneapolis-based firm purchases aluminum in 5,000-pound coils, which it uses to make Bundt pans and other products. But the fact that his costs have surged by 5% to 10%, due to new tariffs implemented on March 12, is making it harder for him to set prices now for retailers in the new season, which culminates later in the year around the holidays. Most retailers require a 60-day notice for any price increase, Dalquist said in an interview. 'You can't just hand it to them,' he said. 'Then they review it--they go through their own analysis on whether it's justified.' That means months of delay getting them implemented. In the meantime, Dalquist's firm must absorb the higher costs. "Our conversations with suppliers are all aimed at making our purpose a reality for millions of customers, and we will continue to work closely with them to find the best way forward during these uncertain times," Walmart said in a statement. ONEROUS PROCESS In retail, unlike manufacturing, the process of implementing price hikes is time-consuming and onerous thanks to the typical contracts that retailers use with their merchandise suppliers. For vendors, dealing with Walmart has always been tough because of its size-- it generates more than $446 billion of annual sales in the U.S. It also has previously said that it will scrutinize every line item of cost before it agrees to a supplier's proposed price hike. To risk having brands kicked off Walmart's shelves because of a dispute over pricing can badly hurt a supplier. Dalquist said that if retailers don't agree to the price hikes, retailers will just substitute his Bundt pans with those made by someone else. Because kitchenware is a category with a wide range of alternatives at lower prices, it would be hard to lift prices and not see a weakening of shopper demand for his product in the current environment. In accessories, the 20% tariffs Trump imposed on China imports earlier this year drove Kim Vaccarella, founder of Bogg Bag of Secaucus, New Jersey, to hike prices on its bags by $5. Bogg supplies brightly-colored tote bags, manufactured in China using Croc-like plastic material, to Target, which sells the original-size bag for $90. A Target spokesperson directed Reuters to comments made by its executives during a recent investor meeting. At the March 4 meeting, Rick Gomez, Target's chief commercial officer, said it was too early to tell how prices might change product by product, but that the retailer was looking at pricing holistically, opens new tab. Some retailers have already asked her to consider lowering her wholesale prices, she said. "People are getting creative," Vaccarella said. Her company is also looking at alternative manufacturing sites in Sri Lanka, Vietnam and other lower-cost factories in China, she said. LOSS LEADING Price negotiations now going on between manufacturers and retailers have a crucial subtext: 'Before you even entertain the conversation (about a price hike), you have to figure out what everyone else is doing," said Fraser Townley, chief executive of T2M, which specializes in full-size video game controllers. 'I was lucky,' he said, referring to his own dealings with big retailers— because he had a unique product: devices that allow a user to play videogames on a mobile phone without having to deal with tiny screen/buttons. Nobody else was offering his very niche-directed controllers. 'But if you were one of 100 TV manufacturers trying to get your TVs into Walmart, they would say, 'I have 99 others who don't want to put prices up.'' It also matters what those competitors are selling, Townley said. A global producer that sells a range of products through a major retailer might figure they'll absorb losses or lower profits on one product to protect other lines of business—or simply use the opportunity to grow their own market share by keeping their prices steady. 'There's so much loss leading going on out there," he said, referring to suppliers' willingness to absorb losses and maintain current wholesale prices just so they can remain on retailers' shelves. "It's a wonder anyone remains in business,' he said. In toys, Bratz doll maker MGA Entertainment Chief Executive Isaac Larian said the company is going back and forth negotiating with retailers on a price hike on its China-made toys that it wants to go into effect in April. MGA's toys are sold in Walmart and Target, among other chains. "The retailers, that's their job. They resist and say they do not want to have a price increase, and they have said that to us, because the consumer is very, very strained and stressed," Larian said. Larian said he does not think he will be able to pass on the full 20% tariff to retailers as a 20% price hike. "We're going to have a shared responsibility," he said. "We'll take a lower [profit] margin," but half of the cost of the tariffs "we have to pass on" with higher wholesale prices to retailers, he added.
