Walmart Faces Price Hikes Amid Renewed

 Tariffs: What Shoppers Need to Know

What’s Happening with Walmart and Tariffs?

In May 2025, Walmart announced that it plans to raise prices on various products due to new U.S. tariffs on imports from countries like China and several Latin American nations. Despite efforts to keep prices low, the company stated that it can no longer absorb the increased costs resulting from these tariffs.

Why Is Walmart Raising Prices?

The U.S. government has implemented tariffs on imported goods, including a 10% universal tariff and higher rates on specific items. Moreover, these tariffs have increased the cost of goods that Walmart imports, such as electronics, toys, and certain groceries. With narrow profit margins, Walmart finds it challenging to absorb these additional costs without adjusting prices. 

Which Products Are Affected?

Customers can expect price increases on:

Electronics and Toys: Many of these are imported from China and are subject to higher tariffs.

Groceries: Items like bananas, avocados, and coffee, imported from Latin American countries, are also affected. 

However, products sourced domestically, such as U.S.-grown produce and locally manufactured goods, are less likely to see price hikes.

When Will Prices Increase?

Walmart indicated that price increases would begin to take effect by the end of May and become more noticeable in June. The company is implementing these changes gradually to manage the impact on consumers. 

How Does This Affect Consumers?

For shoppers, this means that certain products at Walmart may become more expensive in the coming weeks. While the company aims to keep essential items affordable, the increased costs from tariffs are likely to be passed on to consumers in some categories.

What Is Walmart Doing to Mitigate the Impact?

To address these challenges, Walmart is:

Exploring Alternative Sourcing: Seeking suppliers in countries not affected by the tariffs.

Adjusting Inventory: Reducing orders for high-tariff items and focusing on products with stable costs.

Communicating with Consumers: Keeping customers informed about price changes and the reasons behind them.

Conclusion

Walmart's decision to raise prices is a direct response to the increased costs imposed by new tariffs. While the company strives to minimise the impact on consumers, shoppers should be prepared for some price adjustments in the near future.