Walmart Withdraws Earnings Guidance Amid Tariff Uncertainty

Walmart and Amazon are making significant operational changes due to President Trump's recent tariff announcements, which include a temporary 10% baseline tariff on imports from many countries and a drastic 125% tariff specifically on China. Walmart CEO Doug McMillon reassured investors of the company's commitment to low prices but acknowledged the vulnerabilities posed by the current economic climate. Meanwhile, Amazon has canceled multiple product orders from suppliers, a decision believed to be in direct response to the tariffs, leaving some vendors in financial distress. The retail giants are also adapting their return policies to allow customers to keep low-value items while still receiving refunds, aiming to streamline operations amidst rising costs. Both companies are employing advanced algorithms to prevent potential exploitation of these new return policies. The ongoing trade war continues to create uncertainty for major retailers as they navigate the changing landscape of international trade.