■ On May 20th, customers purchased goods in a Wal-Mart store in Los Angeles County, California, USA. Xinhua News Agency (photo by Qiu Chen)
Some shelves have price tags but no goods, price tracking software can’t keep up with the actual changes in commodity prices, and consumers complain that their wallets have shrunk … Recently, the retail giant Wal-Mart announced that the price increase has become a hot spot in American news. Xinhua News Agency reporters visited many Wal-Mart stores in Los Angeles, San Francisco and other places and found that the prices of many goods have risen to varying degrees, which made many consumers feel anxious and thought that the tariff war of the US government had brought an impact on the lives of ordinary people.
The phenomenon of price increase is gradually increasing.
Xinhua News Agency reporters came to a Wal-Mart store in San Leandro, San Francisco Bay Area, California, USA on the 21st, and used price tracking software to check the changes of commodity prices, and found that the recent price increase phenomenon is more common.
The price of a Chinese-made monkey toy was $59 a day ago, but it rose to $84 on the 21st, an increase of 42%. The price of a Star Wars-themed Lego toy rose from US$ 69.99 to US$ 89.33, with an increase of nearly 28%. The toy packaging box indicated that the parts were made in China, Mexico and other countries.
The increase of commodity prices on price tracking software sometimes can’t keep up with the actual change of physical store prices. According to the software, the price of a Chinese-made air mattress rose from $39.97 to $44.94, but the price tag of the same product on the shelf was even higher, reaching $46.38.
In addition to rising prices, some of the shelves of toys, bicycles and household appliances in this store are empty, leaving only the price tags that have not been removed.
American consumer news and business channels regard Wal-Mart as a weather vane to observe the situation of American retailers and consumers. As the largest retailer in the United States, Wal-Mart has more than 4,700 stores in the United States, and about 90% of Americans live within 10 miles (about 16 kilometers) of its stores.
A few days ago, Wal-Mart executives said that about one-third of its imports (mainly from China, Mexico, Canada, Viet Nam and India) will face price increases due to the US tariff policy. Doug Macmillan, CEO of Wal-Mart, revealed at the earnings conference on the 15th that food and drinks such as bananas, avocados and coffee will increase in price, and toys and electronic products will also be seriously affected.
John David Rainey, chief financial officer of Wal-Mart, confirmed to the media that the price of bananas imported from Costa Rica in Wal-Mart stores has increased by nearly 10% due to the impact of tariffs, and the price of car seats imported from China may increase from the current $350 to $450. He said: "We have never experienced such a rapid and substantial price increase, which constitutes a very challenging business environment."
People spit out the price "nightmare"
"The amount of bills is constantly rising, and many people are complaining." Jacques, a resident of Los Angeles County, California, recently expressed strong dissatisfaction with the tariff war initiated by the US government when shopping in a Wal-Mart store in burbank, California, and thought that the government’s tariff policy was "hurting the US economy".
Octavio, a retired man, said in an interview with Xinhua News Agency on the 20th that tariffs are affecting everyone’s life. "Whenever I open my retirement social security account, I will find that there are fewer and fewer things I can buy because the prices are getting more and more expensive.".
Mary Duchante, a health consultant, told reporters that rich people are not worried about rising prices, "but ordinary people like me must be careful." Antonio, a retired man, pointed to the food shelf and asked, "Even avocados and tomatoes are rising in price. Who will eventually bear the tariff?" It’s you, it’s me, and my neighbors. "
Brenda and Greg, who have three children, are particularly sensitive to prices. They bluntly said that rising prices were a "nightmare" for this big family. The couple pushed the stroller and took the children shopping. Brenda said helplessly, "We have three children to support, and they need enough food and clothing. Prices have risen so much, should we tell one of the children that he may have to eat less this week? "
Many customers interviewed said that rising prices have begun to affect daily life, and now purchasing should be more careful and shop around. A woman said: "Besides groceries, we have to consider the expenses of rent, gasoline and many other aspects."
Enterprises don’t buy the government’s rhetoric.
US President Trump recently expressed strong dissatisfaction with Wal-Mart’s preparations for price increases. He posted a message on social media, warning Wal-Mart not to try to use tariffs as an excuse to raise prices and asking Wal-Mart to absorb these tariff costs by itself. Wal-Mart then responded in a statement: "Retail profits are meager, and we can only try our best to keep prices low." After talking to Wal-Mart CEO Macmillan, US Treasury Secretary Bertrand admitted that "Wal-Mart will bear part of the tariff costs, but some tariffs may be transmitted to consumers".
Robert Handfield, a professor of supply chain management at North Carolina State University, told USA Today that Wal-Mart had stocked a lot of goods in advance to prevent the shelves from being empty before the tariff measures were implemented, but "problems may arise when they run out of stocks and need to replenish them".
It is reported that many companies including Target, Temu and Xiyin have previously raised the prices of some commodities due to tariffs.
The price of toys in the United States has risen sharply at present. Tersi Consulting Group’s product pricing analysis shows that in mid-April, the price of a Barbie doll sold by Target rose by nearly 43% in a week. Experts said that the original price of the Nintendo Switch 2 game console was $450, but now it may rise to around $600.
When the reporter placed an order to buy a brand of 1T SSD on Amazon, the largest online shopping platform in the United States, he found that the price had risen from 48.99 dollars not long ago to 55.99 dollars.
American media reported that since mid-April, more and more American companies have publicly expressed their concerns about tariffs. From April 10 to 25 alone, 139 enterprises in the United States voiced their views on the impact of tariffs through press releases, earnings conference calls and social media. (Reporter Gao Shan Wu Xiaoling)