Walmart on Trump tariffs: our costs are rising every week

US President Donald Trump's import tariffs are increasingly affecting supermarket giant Walmart. Chief executive officer Doug McMillon stated in a conference call following the release of quarterly figures that Walmart's costs have been increasing "every week" when replenishing stock. He expects this trend to continue in the current quarter and the final quarter of the year. Walmart reported that in the past quarter, prices in its US stores were on average one percent higher than a year ago.

The retail giant's supermarkets are where many Americans feel price increases as a result of the tariffs. Walmart announced it would keep prices as low as possible. Instead of always passing on the costs of the tariffs to customers, Walmart absorbs some of them itself. At the same time, the company is trying to recoup the money through price increases on products not actually affected.

Trump insists that the tariffs will not lead to higher prices for US consumers because the companies affected would "swallow" them. Many economists doubt this.

McMillon said that Walmart has so far seen a change in purchasing behaviour, especially among low- and middle-income households. The company also raised its forecast for sales growth this year. Walmart shares closed down 4.5 percent on Thursday.