TAMPA, Fla. (CNN) – Costco is the latest retailer to warn that the US-China trade war will hit consumers.
President Trump slapped US tariffs on $250 billion worth of Chinese exports and warned those tariffs are likely to stay for some time.
China retaliated by also imposing new tariffs. The tariffs are affecting Costco goods like furniture, bikes and luggage.
The retailer says it’s working to reduce costs by sourcing goods from other countries.
“At the end of the day, prices will go up on things,” Costco CFO Richard Galanti told analysts on Thursday. Galanti said prices had already gone up on some items such as patio furniture.
Costco wasn’t the only retailer on Thursday to predict prices will rise for consumers.
“We believe our shoppers will be facing higher prices as 2019 progresses,” Dollar General’s CFO said on an analyst call.
Walmart, Target, Home Depot, Macy’s and others have also said recently that the tariffs have forced them to either alter their financial outlooks, remodel carefully-crafted supply chains or consider raising price tags for customers.