Are tariffs about to hit your wallet harder than you think?
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Talk of tariffs may sound like something that belongs on Wall Street or in political speeches, but the impact is far more personal.
Every tax on imported goods has the potential to filter down to your grocery bill, your home projects, or even the next pair of shoes you buy.
Major retailers in the United States, from Walmart to Home Depot, are already adjusting their strategies as the cost of doing business rises. For shoppers at home and abroad, it is a story worth watching closely.
Walmart’s Chief Financial Officer John David Rainey recently admitted that tariffs have put pressure on the company.
“There are certainly areas where we have fully absorbed the impact of higher tariff costs,” he said, noting that in other categories some increases had to be passed along.
He added, “But when you look across the basket of items, we’re certainly trying to keep prices as low as we can.” That effort, though costly for Walmart, has so far prevented a widespread wave of sticker shock.
Industry analysts say price hikes are happening, but they are far more measured than what companies once feared.
Retailers have scrambled to blunt the blow by ordering goods early, stockpiling inventory, and widening their network of suppliers.
Some, like Sharkninja, have carefully raised the price of new products at launch instead of hiking existing items. Even with these strategies, executives warn that the bill from tariffs will keep climbing through the year.
For consumers, the response has been mixed depending on income levels and product categories. At Walmart, sales of lower-cost private-label goods have remained steady, suggesting households are cautious but still willing to spend.
Also read: Retailers scramble to keep prices steady amid tariff pressure: Are shoppers the ones who pay?
High-end products, however, are defying expectations: Tapestry’s Coach brand sold out of a $695 handbag in minutes.
On the other end of the spectrum, Crocs admitted its customers have grown “super cautious,” cutting back on purchases and even skipping store visits altogether.
Home improvement chains have seen some momentum, but executives are careful not to call it a turnaround.
Home Depot’s Richard McPhail explained that many of its products landed before tariffs took effect, softening the immediate impact.
Lowe’s pointed to better weather and new acquisitions aimed at professional customers as bright spots. Still, higher mortgage rates are keeping many families from tackling bigger renovations, and the companies know demand could shift quickly.
Also read: Is Home Depot secretly changing its policies like Walmart? The policy shift that’s sparking major shopper backlash
One reason big-box giants like Walmart can manage turbulence better is the diversity of their business. Alongside groceries and apparel, Walmart has grown its digital advertising arm and third-party marketplace, both of which provide steadier margins.
“We are more than just a standard brick-and-mortar retail business,” Rainey reminded investors, highlighting revenue streams that insulate the company from supply chain shocks. That kind of leverage is simply not available to smaller retailers or struggling brands.
For Australians, this story is a reminder that global trade decisions ripple far beyond Washington. Tariffs can change the price of imported electronics, raise costs for home projects, or alter the shelves at your local shops.
The fact that American companies are fighting to shield their customers shows just how disruptive these policies can be. Even if you haven’t felt it yet, it pays to keep an eye on what is coming down the pipeline.
Read next: A new warning from Home Depot about upcoming costs
Have you noticed certain products creeping up in price at your local shops? Do you think retailers should continue absorbing costs, or is it inevitable that shoppers will pay more? Share your experiences and tips in the comments below—we’d love to hear how you’re managing rising costs.
Every tax on imported goods has the potential to filter down to your grocery bill, your home projects, or even the next pair of shoes you buy.
Major retailers in the United States, from Walmart to Home Depot, are already adjusting their strategies as the cost of doing business rises. For shoppers at home and abroad, it is a story worth watching closely.
Walmart’s Chief Financial Officer John David Rainey recently admitted that tariffs have put pressure on the company.
“There are certainly areas where we have fully absorbed the impact of higher tariff costs,” he said, noting that in other categories some increases had to be passed along.
He added, “But when you look across the basket of items, we’re certainly trying to keep prices as low as we can.” That effort, though costly for Walmart, has so far prevented a widespread wave of sticker shock.
Industry analysts say price hikes are happening, but they are far more measured than what companies once feared.
Retailers have scrambled to blunt the blow by ordering goods early, stockpiling inventory, and widening their network of suppliers.
Some, like Sharkninja, have carefully raised the price of new products at launch instead of hiking existing items. Even with these strategies, executives warn that the bill from tariffs will keep climbing through the year.
For consumers, the response has been mixed depending on income levels and product categories. At Walmart, sales of lower-cost private-label goods have remained steady, suggesting households are cautious but still willing to spend.
Also read: Retailers scramble to keep prices steady amid tariff pressure: Are shoppers the ones who pay?
High-end products, however, are defying expectations: Tapestry’s Coach brand sold out of a $695 handbag in minutes.
On the other end of the spectrum, Crocs admitted its customers have grown “super cautious,” cutting back on purchases and even skipping store visits altogether.
Home improvement chains have seen some momentum, but executives are careful not to call it a turnaround.
Home Depot’s Richard McPhail explained that many of its products landed before tariffs took effect, softening the immediate impact.
Lowe’s pointed to better weather and new acquisitions aimed at professional customers as bright spots. Still, higher mortgage rates are keeping many families from tackling bigger renovations, and the companies know demand could shift quickly.
Also read: Is Home Depot secretly changing its policies like Walmart? The policy shift that’s sparking major shopper backlash
One reason big-box giants like Walmart can manage turbulence better is the diversity of their business. Alongside groceries and apparel, Walmart has grown its digital advertising arm and third-party marketplace, both of which provide steadier margins.
“We are more than just a standard brick-and-mortar retail business,” Rainey reminded investors, highlighting revenue streams that insulate the company from supply chain shocks. That kind of leverage is simply not available to smaller retailers or struggling brands.
For Australians, this story is a reminder that global trade decisions ripple far beyond Washington. Tariffs can change the price of imported electronics, raise costs for home projects, or alter the shelves at your local shops.
The fact that American companies are fighting to shield their customers shows just how disruptive these policies can be. Even if you haven’t felt it yet, it pays to keep an eye on what is coming down the pipeline.
Read next: A new warning from Home Depot about upcoming costs
