![\"\"](\"https:\/\/i0.wp.com\/lakelandgazette.info\/news\/wp-content\/uploads\/2024\/12\/WAL.0724.Dog-McMillon_Walmart_Fortune1106.webp?resize=1024%2C683&ssl=1\")
<\/figure>\n<\/div>\n\n\nDoug McMillon, CEO, stated the price of a family shop – which are at record highs after 4 years of inflation – won\u2019t be coming down next year.<\/p>\n\n\n\n
Doug stated that he was ‘disappointed’ with the present level of inflation, pointing to dairy and eggs as main contributors. <\/p>\n\n\n\n
Year-upon-year, official numbers show costs for grocery store food is up 1.1%. <\/p>\n\n\n\n
However, it comes after costs have risen over 20% in 4 years. The biggest yearly increase came in August 2022 when food prices increased 13.5%. <\/p>\n\n\n\n
Both retailers and consumers are hoping costs will decrease from record highs, in what might be referred to as deflation. That\u2019s what occurred across the majority of food items in the 2010s.<\/p>\n\n\n\n
Walmart\u2019s CEO acknowledged that consumers are understandably angry – as food costs remain ‘substantially higher’ than the pre-pandemic levels.<\/p>\n\n\n\n
Goods that have soared the most lately – for example, milk and eggs – are predicted to stabilize more rapidly than dry grocery goods, according to McMillon. <\/p>\n\n\n\n
But the CEO explained that processed food goods aren\u2019t likely to go back to pre-pandemic levels and might witness little improvement throughout next year. <\/p>\n\n\n\n
This comes after a different warning from Walmart telling shoppers that costs of some merchandise might go up if President-elect Trump’s plan to increase tariffs takes place.<\/p>\n\n\n\n
This warning came during Walmart\u2019s 3rd quarter earnings results that saw the retailer post 5.5% revenue growth.<\/p>\n\n\n\n
According to John David Rainey, Walmart\u2019s CFO, ‘We never want to increase prices. Walmart\u2019s model is low prices, everyday. However, there possibly will be instances in which prices will rise for shoppers.’<\/p>\n\n\n\n
Rainey added that it was too soon to say which goods would be affected. <\/p>\n\n\n\n
Rainey concluded that around 2\/3 of the products Walmart sells are assembled, grown, or made in the U.S.<\/p>\n\n\n\n
This means all those products would not be subject to Trump\u2019s tariffs, which a lot of economists think will restart inflation.<\/p>\n\n\n\n
According to ABC News experts, toys, clothes, and electronics will probably become the costliest under an increased tariff environment, as the majority of those products are imported. <\/p>\n\n\n\n
Also, during his first term, Donald Trump implemented tariffs, although they began at a much smaller scale than what he\u2019s now proposing.<\/p>\n\n\n\n
He said, ‘We have been living in a tariff environment for 7 years; therefore, we are familiar with that. Though, tariffs are inflationary for consumers; therefore, Walmart wants to work with suppliers and our own private brand assortment to attempt to bring prices down.’<\/p>\n\n\n\n
However, what Trump is now floating is completely different from what he and Biden oversaw in their own presidencies.<\/p>\n\n\n\n
Trump is now proposing a 60% tariff on all Chinese products, and a 10% tariff ‘across-the-board’ on all $3T worth of United States imports. <\/p>\n\n\n\n
A report from May from the non-partisan think tank, Peterson Institute for International Economics, made an estimation that the levies are going to cost middle class families at the minimum of $1,700 per year.<\/p>\n\n\n\n
According to the institute, Trump’s trade proposals could cost shoppers around $500 billion per year – or 1.8% of GDP.<\/p>\n\n\n\n
That\u2019s approximately 5 times the cost of the China\/US trade war that Trump kicked off in the year 2018. <\/p>\n\n\n\n
Neil Saunders, retail expert and managing director of GlobalData, said that Trump’s tariff proposals could produce ‘an enormous headache,’ as well as add substantial extra cost for retail.<\/p>\n\n\n\n
According to Saunders, despite the president-elect\u2019s assertions to the contrary, the tariffs are paid by the entities or companies that import products, not by the countries themselves. He added that it means the price of purchasing goods from overseas, whether as an input for manufacturing or directly, would sharply rise.<\/p>\n\n\n\n
Tariffs also might jumpstart inflation once again.<\/p>\n\n\n\n
In the meantime, earlier last week, one of the world’s biggest food trading companies reported that it\u2019s slashing 5% of its workforce – as ingredient prices have stopped increasing.<\/p>\n\n\n\n
These cuts will witness Cargill’s, with 164,000 workers, cut 8,000 jobs. <\/p>\n\n\n\n
Cargill\u2019s, an agricultural giant based in Minnesota, plays a critical role in the worldwide ingredients market, and acts as a distributor of meat, grains, and other types of agricultural products around the world. <\/p>\n\n\n\n
During the era of the pandemic and afterwards, the company earned big profits as the Ukraine war and inflation drove food prices up. <\/p>\n\n\n\n
But, as grocery costs have increased less gradually, the profit\u2019s of the company have taken a huge hit.<\/p>\n\n\n\n
According to Bloomberg, for the fiscal year, ending in May, Cargill’s earnings dipped to $2.48B, down from $6.7B, a record in 2022 – Cargill\u2019s lowest profit since the year 2016.<\/p>\n\n\n\n
Neil Saunders concluded, ‘Cargill profited as inflation was running rampant in food; however, prices now are moderating, and it\u2019s coming under pressure and the bottom line is being squeezed.’<\/p>\n","protected":false},"excerpt":{"rendered":"
Walmart’s CEO lifted the lid on what people in America might expect for store prices in 2025 \u2013 and it isn\u2019t good news. Doug McMillon, CEO, stated the price of… <\/p>\n","protected":false},"author":2,"featured_media":52591,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","_seopress_robots_follow":"","_seopress_robots_imageindex":"","_seopress_robots_snippet":"","_seopress_robots_primary_cat":"17","_seopress_robots_breadcrumbs":"","_seopress_robots_freeze_modified_date":"","_seopress_robots_custom_modified_date":"","_seopress_robots_canonical":"","_seopress_social_fb_title":"","_seopress_social_fb_desc":"","_seopress_social_fb_img":"","_seopress_social_fb_img_attachment_id":0,"_seopress_social_fb_img_width":0,"_seopress_social_fb_img_height":0,"_seopress_social_twitter_title":"","_seopress_social_twitter_desc":"","_seopress_social_twitter_img":"","_seopress_social_twitter_img_attachment_id":0,"_seopress_social_twitter_img_width":0,"_seopress_social_twitter_img_height":0,"_seopress_redirections_value":"","_seopress_redirections_enabled":"","_seopress_redirections_enabled_regex":"","_seopress_redirections_logged_status":"","_seopress_redirections_param":"","_seopress_redirections_type":0,"_seopress_analysis_target_kw":"","inline_featured_image":false,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"wpai_generated_summary":"","footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":true,"token":"eyJpbWciOiJodHRwczpcL1wvaTAud3AuY29tXC9sYWtlbGFuZGdhemV0dGUuaW5mb1wvbmV3c1wvd3AtY29udGVudFwvdXBsb2Fkc1wvMjAyNFwvMTJcL1dBTC4wNzI0LkRvZy1NY01pbGxvbl9XYWxtYXJ0X0ZvcnR1bmUxMTA2LndlYnA_Zml0PTEwMjQlMkM2ODMmc3NsPTEiLCJ0eHQiOiJDRU8gb2YgV2FsbWFydCBTYXlzIEdyb2NlcnkgU3RvcmUgUHJpY2VzIGZvciAyMDI1IFdpbGwgTm90IEJlIENvbWluZyBEb3duIiwidGVtcGxhdGUiOiJoaWdod2F5IiwiYmxvZ19pZCI6MTYzMDQwNjYxfQ.8fd7Ne8ZLxKnBJyqxd-y2Y3tPt-c1rx7YckqS3zTQWoMQ"},"version":2,"attached_media":[{"id":52591,"url":"https:\/\/lakelandgazette.info\/news\/wp-content\/uploads\/2024\/12\/WAL.0724.Dog-McMillon_Walmart_Fortune1106.webp","type":"image\/webp"}]},"_wpas_customize_per_network":false},"categories":[17],"tags":[10514],"class_list":["post-52590","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-regional-and-world-news","tag-ceo-of-walmart-says-grocery-store-prices-for-2025-will-not-be-coming-down"],"jetpack_publicize_connections":[],"_links":{"self":[{"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/posts\/52590","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/comments?post=52590"}],"version-history":[{"count":1,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/posts\/52590\/revisions"}],"predecessor-version":[{"id":52592,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/posts\/52590\/revisions\/52592"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/media\/52591"}],"wp:attachment":[{"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/media?parent=52590"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/categories?post=52590"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lakelandgazette.info\/news\/wp-json\/wp\/v2\/tags?post=52590"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}