Walmart Asks Chinese Suppliers To Absorb Tariff Costs
(www.zerohedge.com)https://www.zerohedge.com/markets/walmart-asks-chinese-suppliers-absorb-tariff-costsWalmart asked Chinese suppliers to lower prices, aiming to absorb the new tariff burden at the supplier level rather than passing it on to consumers. The move is part of its strategy to maintain pricing power amid a value war with other retailers competing for cash-strapped consumers.
Bloomberg reports that the big-box retailer has asked Chinese suppliers, including those producing clothing and kitchenware, to reduce prices by about 10% per round of tariffs, likely shouldering the full cost of President Trump's duties. The report was based on information from people familiar with the matter.
The people said that few suppliers have complied with Walmart's request.
