Consumers who hoped tariffs would not hit their wallets keep getting bad news.
As they reported earnings in recent weeks, multiple major retailers said they have already raised some prices or plan to hike them in the coming weeks to offset the duties. They include major grocers and consumer goods sellers CostcoBest BuyWalmartTarget
President Donald Trump‘s ever-changing trade policy has roiled retailers as they try to plan their supply chains. On earnings calls, they faced the difficult task of trying to appease investors who want them to protect their bottom lines and shoppers who could balk at price hikes.
In some cases, companies have been explicit, citing the estimated toll tariffs will take on their bottom lines and breaking down which countries their supply chains rely on. Other retailers have been less forthcoming, avoiding the word “tariff” and instead blaming strategy shifts or price hikes on “macroeconomic uncertainty” — or simply refusing to point the finger at all.
Many retailers have reduced or withdrawn their full-year guidance because of tariffs. Companies such as Abercrombie & Fitch, Macy’sAmerican Eagle, Canada Goose, RossMattel pulled their full-year guidance.
After Trump implemented steep tariffs on dozens of countries in April, his administration has temporarily cut them to lower — but still significant — levels. Imports from China face a 30% duty, while goods from many other nations are subject to a 10% duty. A federal trade court struck down many of those tariffs on Wednesday, only for an appeals court to reinstate them, adding to the uncertainty retailers face.
Economists on both sides of the aisle agree that tariffs are inflationary and the cost will likely be passed on to consumers, though government data has not showed a clear effect yet. A majority, 68%, of U.S. CEOs say they have either increased prices already or are considering doing so this year in the face of tariffs, according to a new survey by Chief Executive Group and AlixPartners.
Here’s a breakdown of what several major retailers have said about their plans to raise prices as a way to mitigate the tariff impact.
Brands that have already raised some prices
Costco
Executives of the warehouse club retailer told investors on Thursday that tariffs have forced the company to tweak its supply chain and raise prices in some cases. Costco has absorbed tariff costs for some goods, while it has increased prices in other instances, said CFO Gary Millerchip. For example, he said the retailer has held prices steady for staple items like bananas and pineapples sourced from Central and South America. Meanwhile, it has raised prices on flowers from those regions, since shoppers buy those less frequently.
Best Buy
Best Buy has already raised prices on some items to offset tariff costs, CEO Corie Barry said on a call with reporters. Changes took effect by mid-May. She declined to say which items are affected and called price hikes “the very last resort” for Best Buy.
SharkNinja
On SharkNinja
In a March interview, Barrocas told CNBC that nearly all of the company’s production will be moved out of China by the end of 2025.
Newell Brands
Executives from Newell Brandsraised prices on its baby gear by about 20%. The company said it is equipped to handle Trump’s tariffs, unless he raises duties on imports from China again, since the majority of baby gear sold in the U.S. is made in China.
Retailers that say they plan to increase prices
Walmart
Walmart shoppers will likely see price increases toward the end of May and more in June because of tariffs, said Chief Financial Officer John David Rainey during an interview with CNBC earlier in May. Executives did not specify during the company’s most recent earnings call how much more Walmart customers could pay, but CEO Doug McMillon said items that could be affected are toys, electronics and some grocery items, including bananas, avocados, coffee and roses.
Nike
Last week, Nikeraise prices on a wide range of products by June 1. Nike apparel and equipment for adults will increase between $2 and $10, a person familiar with the matter previously told CNBC, while footwear will see a hike between $5 and $10, depending on price point. The company did not say whether the decision was related to tariffs, though it makes about half its footwear in China and Vietnam, which currently face 30% and 10% duties, respectively.
Target
Target will increase prices on certain products to help offset tariff costs, Chief Commercial Officer Rick Gomez said during the company’s latest earnings call in May. CEO Brian Cornell added that price changes are the “very last resort” for the company as it tries to mitigate effects of the duties. He declined to provide details when asked about the company’s plan for price hikes or whether it had already raised prices.
“We’re constantly adjusting pricing,” Cornell said. “Some are going up, some will be reduced, but that’s an ongoing effort that takes place each and every day.”
Mattel
Barbie parent Mattelplans to source less than 40% of its products from China by the end of the year and less than 25% from that country in the next two years.
Macy’s
Macy’s CEO Tony Spring said during an interview with CNBC that the retailer will hike certain prices and stop carrying other items to offset the hit from tariffs. He said the company will make “surgical” price adjustments.
Retailers that say they are considering price hikes
Ralph Lauren
Executives on Ralph Lauren’s
VF Corp
CEO Bracken Darrell said during May earnings that VF Corp
Companies that say they will not raise prices
Home Depot
Last week, Home Depotin an interview that the company intends to “generally maintain our current pricing levels across our portfolio.” He said more than half of what the company sells comes from the U.S. Home Depot has diversified its sourcing, he said, so that by this time next year, no single country outside of the U.S. will account for more than 10% of the retailer’s purchases.
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