Albertsons informs suppliers that it won't accept tariff-related price hikes
FILE-A worker returns shopping carts at an Albertsons grocery store on February 26, 2024 in Las Vegas, Nevada. (Photo by Ethan Miller/Getty Images)
Albertsons is telling its suppliers that it will not accept tariff-related price hikes because of President Donald Trump’s tariff policies.
Albertsons letter to suppliers
Dig deeper:
Albertsons provided a letter to its suppliers regarding the policy update with the Idaho-based company explaining that the change was made to keep goods at competitive prices, FOX Business reported, citing American Economic Liberties Project researcher Matt Stoller.
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What they're saying:
"With few exceptions, we are not accepting cost increases due to tariffs," Albertsons stated in the letter. The company also wrote, "Suppliers are not permitted to include tariff-related costs in invoices without prior authorization by Albertsons Companies," Alberstons continued. "Any invoices that include such charges without prior authorization will be subject to dispute and may result in payment delays."
Albertsons, which amassed $80.4 billion in sales during the fiscal year 2024, operates its stores across 34 states and the District of Columbia.
Where do things stand with Trump’s tariffs?
Why you should care:
President Donald Trump recently enforced a baseline tariff rate of 10% on imported goods from almost every major U.S. trading partner to support American-made goods and contain drug flow into the nation.
FOX Business noted that these moves have led to imported produce like avocados, alcohol, coffee, and seafood are expected to become more expensive for consumers.
Separately, Trump plans to sign an executive order Tuesday relaxing some of his 25% auto tariffs to help domestic carmaking, White House Press Secretary Karoline Leavitt told reporters.
On Tuesday, the White House criticized Amazon Tuesday morning over a report that the e-commerce titan was going to start displaying tariff costs on its shopping website.
And Temu, a popular Chinese e-commerce giant, has implemented an "import charge" for some products sold to customers in the U.S. amid Trump's tariff on goods shipped from China and an executive order to end a loophole on low-value imports.
Both Temu and Shein, another popular Chinese shopping site, said the companies would be making "price adjustments" starting at the end of April.
The Source: Information for this story was provided by LIVENOW from FOX reporting, the Associated Press, and FOX Business, which cites a letter Albertsons sent to its suppliers regarding tariffs. This story was reported from Washington, D.C.