May 16, 2025
By Brian Hews
Consumers across Southern California — and the nation — are about to feel the financial sting of international trade policy. Walmart, the nation’s largest retailer, announced this week that it will begin raising prices on a wide range of items as the economic impact of newly imposed and reinstated tariffs begins to ripple through the supply chain.
Despite a recent reduction in certain tariffs — from 145% down to 30% — the costs remain too steep for retailers to absorb, forcing them to pass the burden onto shoppers. Walmart’s Chief Financial Officer John David Rainey called the current situation “unprecedented,” warning that price increases will begin appearing on shelves by the end of May, with more noticeable jumps in June.
The tariff-triggered price hikes will not be limited to luxury or discretionary goods. Everyday essentials — including produce such as bananas and avocados, household items, clothing, electronics, and even toys — are expected to see noticeable increases. The affected products largely come from countries such as China, Costa Rica, Peru, and Colombia, many of which have been slapped with aggressive import taxes.
While Walmart says it is attempting to shield grocery prices from sharp increases, the sheer volume of goods impacted by tariffs has made that task nearly impossible. “We are doing everything we can to mitigate the effects,” a company spokesperson said, “but some pricing adjustments are unavoidable.”
Other major retailers are following suit. Target and Best Buy confirmed they will also adjust prices in the coming weeks. Even manufacturers and suppliers — including Mattel, Stanley Black & Decker, and Procter & Gamble — are warning of coming increases tied to the same economic pressures.
Local shoppers can expect to pay more for back-to-school items, home electronics, furniture, and holiday gifts. Economists warn that the across-the-board hikes could add further fuel to inflation, potentially pushing the national consumer price index up by another full percentage point — from the current 2.3% to over 3.3% — if the tariffs remain in place throughout 2025.
The Federal Reserve has already flagged inflation expectations as a growing concern. With both businesses and workers anticipating higher prices, wage pressures could mount, making it even harder for families to keep up.
For working-class households in Southeast L.A. County and beyond, the latest tariff battle may translate into thinner wallets and tougher decisions at the checkout line.
As global trade tensions escalate and the federal government doubles down on protectionist policies, local consumers will be left asking a familiar question: who really pays the price?
Contact Brian Hews at [email protected] or follow @cerritosnews.bsky.social
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