**Walmart's Price Hikes Draw Backlash Amidst Ongoing Trade War with China**

Walmart, the retail giant, has recently increased prices on a variety of products, ranging from toys to office supplies. This escalation comes despite President Trump's appeal for retailers to absorb the costs of tariffs. Since early April, when the White House initially imposed a 145% tariff on imports from China—later reduced to 30%—shoppers have noticed significant price surges.

Particularly affected are toy prices, as the bulk of these items are manufactured in China. For instance, the price of the "Jurassic World" T. rex toy surged from $39.92 on April 27 to $55 by May 21, marking a nearly 38% increase. The same toy was priced at $29.74 back in November, according to AisleGopher, a price tracking site. Other notable increases include the "Baby Born" doll, which jumped approximately 43% from $34.97 in March to $49.97 in May, and the Lite Brite Magic Screen set, which saw a nearly 47% rise from $14.97 to $21.97. The widely loved Etch A Sketch experienced a near 67% increase, climbing from $14.97 to $24.99.

Office supplies have not been spared from these hikes. For example, a roll of tape that previously sold for $4.24 now costs $9.94, reflecting a 134% spike. A heating pad's price increased roughly 25% from $19.98 to $24.96, while a fishing reel soared from $57.37 in April to $83.26 in May—a 45% increase. Remarkably, that same reel was listed at $51.12 as recently as mid-March.

In response to the backlash, Walmart's Chief Financial Officer John David Rainey described these price hikes as "unprecedented." A spokesperson for Walmart assured that the company strives to maintain the lowest possible prices but acknowledged the challenges posed by the thin margins in retail.

President Trump has publicly criticized Walmart for its decision to pass on the cost of tariffs to consumers. He has called for the company, which posted profits exceeding $15 billion last year, to "eat the tariffs" instead. However, the company maintains that it is difficult to avoid transferring some costs to consumers amidst the ongoing trade war.

Treasury Secretary Scott Bessent stated on CBS's "Face the Nation" that inflation levels are currently down despite the tariffs. He referenced the Federal Reserve's recent report showing the Personal Consumption Expenditure index at 2.1%, the lowest in seven months. Bessent emphasized that the concerns over price increases are alarmist as inflation numbers are actually declining.

Retail experts note that while tariffs are a significant factor in these price hikes, they are not the sole reason. Supply chain disruptions and changes in demand also contribute to price adjustments. Although Walmart has aimed to reduce its reliance on Chinese imports, about 60% of the products it sells in the U.S. are sourced domestically. Nonetheless, large retailers, including Walmart, find it challenging to completely shield their customers from the financial impact of the trade war.

David Bellinger, a retail analyst at Mizuho Securities, has suggested that the broader impact of tariffs on consumer spending might be relatively minor, confined to a low-single-digit percentage. However, the timing of the price hikes continues to draw attention to the trade war and its ongoing repercussions.