China’s Ministry of Commerce has held discussions with Walmart following reports that the US retail giant requested price reductions from Chinese suppliers to offset the cost of increased US tariffs.
The meeting, reported by state media on Wednesday, comes amid ongoing trade tensions between the United States and China.
According to Bloomberg, Walmart recently asked some Chinese suppliers—particularly those producing kitchenware and clothing—to lower prices by up to 10% per round of tariffs. This request has drawn criticism from Chinese officials and industry groups, who argue that shifting the tariff burden onto suppliers could disrupt supply chains and negatively impact businesses and consumers in both countries.
A report in Chinese state media stated that if the allegations are true, Walmart’s approach would be “unreasonable” and could disrupt fair competition. The report further warned that if Walmart does not adjust its strategy, regulatory actions could follow.
The US government, under President Donald Trump, has recently imposed additional tariffs on Chinese imports, increasing duties to 20% in some cases. These measures, which began with a 10% tariff in February followed by another 10% in March, have raised the overall average tariff rate on Chinese goods significantly.
In response, Beijing has implemented its own countermeasures, including new tariffs and trade restrictions on certain US companies. Chinese officials have also hinted at potential investigations into American technology firms as part of the broader trade dispute.
Neither Walmart nor China’s Ministry of Commerce has issued an official statement regarding the meeting. However, a state-backed Chinese textile trade group confirmed that some of its members had received similar price-cut requests from large US retailers. The organization stated that it would take action to defend the interests of Chinese businesses.
Chinese state media has emphasized the need for cooperation between American and Chinese companies to manage the impact of tariffs, rather than shifting the financial burden onto suppliers.
CNBC, Bloomberg, the Wall Street Journal, and Reuters contributed to this report.
