US Treasury Secretary Confirms Tariffs Will Raise Walmart Consumer Prices

Treasury Secretary Scott Bessent acknowledged that while Walmart will absorb some of the costs from President Donald Trump's tariffs, part of the financial burden is expected to be passed on to American consumers through higher prices. This admission follows Walmart CEO Doug McMillon's warning during an earnings call that tariff pressures would lead to noticeable price increases, likely by the end of June, a position supported by Walmart's CFO John David Rainey. President Trump has publicly urged Walmart to 'eat the tariffs' and not raise prices, vowing to closely monitor the retailer's actions. Bessent downplayed inflation concerns, highlighting recent declines in gasoline prices and suggesting that Walmart’s earnings call presented a worst-case pricing scenario due to federal regulations. Despite the administration's mixed messaging, small businesses and consumers are preparing for the impact of higher costs on goods. Overall, the situation underscores tensions between Trump's tariff policies, Walmart's narrow profit margins, and concerns about inflation's effect on American households.