Walmart announced it is set to raise its prices in response to tariffs set on goods imported to the U.S. It said the tariffs set by President Donald Trump are “too high.”

The upcoming increase in prices is due to Trump’s tariffs, Walmart said.

“We will do our best to keep our prices as low as possible. But given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins,” the company’s CEO Doug McMillon said on Thursday, according to CNN. “The higher tariffs will result in higher prices.”

A 10% universal tariff was put on all goods imported into the United States, while a 30% tax was put on goods coming from China.

When will Walmart start increasing its prices?

The increase in prices may start kicking in as early as late May.

“I’m concerned that [the] consumer is going to start seeing higher prices. You’ll begin to see that, likely towards the tail end of this month, and then certainly much more in June,” Walmart finance chief John David Rainey told CNBC.

“There are certain items, certain categories of merchandise that we’re dependent upon to import from other countries,” he added, per CNN. “Prices of those things are likely going to go up. And that’s not good for consumers.”

What products will be affected?

The tariffs put on goods from China will largely affect electronics and toys, while an increase may be observed on food imports from countries such as Costa Rica, Peru and Colombia.

Although most grocery products are sourced in the U.S., some items like bananas, avocados, coffee and roses aren’t grown domestically or aren’t available in sufficient quantities, McMillon said. Still, over two thirds of Walmart goods are “made, grown or assembled” in the United States.

About 10% of Walmart’s products are imported from China, Evercore ISI analyst Greg Melich estimated and told The Washington Post. To compare, Chinese imports represent 20% of Amazon products in the U.S. and 30% of Target products.

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