Walmart Inc. has sent a letter to U. S. Trade Ambassador Robert Lighthizer warning that proposed tariffs on $200 billion on Chinese goods would hurt consumers and American businesses.
Walmart Inc. has sent a letter to U. S. Trade Ambassador Robert Lighthizer warning that proposed tariffs on $200 billion on Chinese goods would hurt consumers and American businesses.
Walmart is the biggest retailer in the U. S.
The tariffs were initially proposed in July and are scheduled to go into effect on September 24. The 10% tax on Chinese imports will rise to 25% on January 1,2019, according to members of the Trump administration.
China said it would impose tariffs on $60 billion worth of U. S. goods. And China’s Commerce Ministry has vowed retaliation and says the proposed U. S. plan has led to “uncertainty” for negotiations between the two countries.
“Should the tariffs go into effect, Walmart customers will face cost increases for essential items like car seats, cribs, backpacks, hats, pet products and bicycles,” Walmart’s letter says.
The company also said that tariffs would put a commitment to purchase an additional $250 billion in products that support American jobs in jeopardy.
“For lower-income families, a 25% tax on these items would be a serious burden on household finances,” Walmart wrote. “Walmart and our suppliers will pay the cost of increased duties, which are simply taxes levied on products at the border. As a result, either consumers will pay more, suppliers will receive less, retail margins will be lower, or consumers will buy fewer products or forego purchases altogether.
