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Walmart resumes procurement from China, and the tariffs will be borne by the US

Samira Samira 2025-04-30 10:25:29

Sunny Worldwide LogisticsIt is a logistics company with more than 20 years of transportation experience, focusing on markets such as Europe, America, Canada, Australia, Southeast Asia, etc., and is more than the owner of the cargo owner.

Recently, the notice of "resuming supply" by retail giants such as Walmart in the United States has attracted attention.

 

40% of goods face supply cuts

 

According to Hong Kong's Ming Pao, at the Canton Fair, several Chinese exporters revealed that US retail giants such as Walmart, Target, and Home Depot have notified them to resume sending goods that were previously suspended due to the US imposing high tariffs on China, and the tariff costs will be borne by the US buyers.

 

Previously, due to the Sino-US tariff war, the US retail supply chain was rapidly broken and relied on China's supply chainWalmart, TargetCompanies are in trouble.

 

About 40% of basic products face the risk of supply cuts, and seasonal categories such as festival decorations are the first to be affected. Chinese suppliers in profitsCompression exceeds 40%Against the background of this, the collective suspension of shipments to the United States.

 

Has met with Trump

 

Reports show that the CEOs of the above three retail giants went to the White House to meet with Trump to discuss the impact of tariff policies on "import-dependent" companies. After the meeting, these companies conveyed the news that they would resume shipments to Chinese suppliers.

 

In fact, during the White House meeting, Walmart and Target CEOs privately warned Trump that comprehensive tariff policies could disrupt supply chains and leave future shelves empty.

 

Take Walmart as an example, about one-third of its products (about1 million TEU) Procurement through sea transportation, of which 40%-60% come from China. Walmart's inventory turnover rate in the latest fiscal year is about 9.19 times per year, and the corresponding inventory-to-sales ratio is about 1.3 months (about 40 days).

 

However, not all products are resuming shipments. A company manager who exports stone porcelain in Guangdong, China said that only festival style products were restored, and some daily style orders were cancelled.

 

A green channel will be opened

 

Chinese and American enterprises actively maintain the normal operation of supply chains, which once again highlights the inability to change China-US economic and tradeRigid demand.

 

On April 24, the WeChat official account of "Walmart China" released a message saying that in order to actively respond to the call for integrated development of domestic and foreign trade, Walmart has opened a green channel for qualified foreign trade enterprises to simplify the access process, accelerate approval efficiency, and help related enterprises quickly explore the domestic market.

 

In March this year, Walmart asked Chinese suppliers to "reduce prices" due to tariff pressure, and thereforeInterviewed by the Ministry of Commerce of China.

 

Under high tariff pressure, U.S. retailers such as Walmart are facing a dilemma: either cancel orders for Chinese goods or pass on the cost of tariffs to American consumers.

 

Their choice to continue to cooperate with Chinese suppliers and bear tariffs means that in the short termIt is difficult to find alternatives to "Made in China".

 

As the two largest economies in the world, China and the United States have brought huge economic benefits. Even if the United States restricts imports, domestic consumption demand for "Made in China" will not disappear automatically.

 

Anti-globalization behavior that harms neighbors is harmful and unhelpful. It is impossible for countries around the world to return to a state of seclusion. It is even more fantasy to "exclude China" in the global industrial chain.