Refusal to compromise! After being interviewed by us, Walmart is still demanding unilateral price cuts from Chinese suppliers! On April 2nd, according to a report by the Singapore Lianhe Zaobao, informed sources stated that Walmart is still pressuring Chinese suppliers to cut prices in order to offset the impact of US tariffs. Even after being interviewed, Walmart did not retreat and is still requiring suppliers to cut prices by 10% each time the Trump administration announces a new round of tariffs.
Clearly, after our interview, Walmart still does not want to take any responsibility and intends to shift the pressure of US tariff increases entirely onto our suppliers, which is of course inappropriate. We must point out that Trump's tariff actions have made both Chinese and American enterprises, including American consumers, victims. The wise move for Walmart would be to jointly consult with our enterprises and jointly respond to America's tariff actions.
Of course, there are indeed Walmart's unspoken difficulties behind its choice. As a traditional supermarket, Walmart's sales strategy is direct procurement from manufacturers and daily low prices, which determines that Walmart's profit margin is inherently very low. For example, in 2024, Walmart's net profit was only 2.39%. If Walmart were to bear all the additional tariffs alone, it might face losses.
Therefore, at such times, the correct approach for Walmart can only be to stand together with us, resist America's tariff hikes, and raise the prices of end consumer products. There are no winners in a trade war; thus, America must also bear the consequences of the trade war, and American consumers will inevitably have to pay for Trump's mistaken policies. Walmart needs to change its mindset and cannot continue to let low-profit Chinese manufacturers bear all the pressure alone.
Original article: https://www.toutiao.com/article/1828281152352267/
Disclaimer: This article represents the views of the author alone.