Walmart denies tariffs caused reinstatement of basket fee
In the tariff era, minor price fluctuations can be big news, and many people are quick to blame any price increase on tariffs. Just last night, Mashable fact-checked a false alarm about Microsoft raising some Surface laptop prices. Now, it's Walmart's turn.
On April 30, Reuters reported that Walmart had reinstated a $6.99 fee for online grocery delivery and pickup orders under $35 for shoppers in the Walmart+ Assist program. That program lets shoppers who use food stamps, EBT cards, or Medicaid sign up for Walmart+ — a membership that offers various benefits like free pharmacy delivery and discounted gasoline purchases — at a 50 percent reduced price ($49 annually compared to the regular $98). During the COVID crisis, Walmart took away the basket fee on small orders made by Walmart+ Assist members, but the charge was reinstated sometime in April.
Enter The Daily Mail, which reported that "new tariffs imposed by President Donald Trump" were to blame for the change. If Walmart was passing along tariff costs to low-income shoppers, that would certainly be an unusual public relations screwup. However, the company says that's absolutely not the case.
A company spokesperson told Mashable that the basket fee has nothing to do with tariffs. It's also standard practice for most retailers when it comes to online grocery orders and doesn't apply to in-store purchases.
Walmart currently operates 4,605 stores in the United States, and shoppers around the country rely on the retailer for low-cost groceries and everyday necessities. Numerator, a data and tech company, recently published statistics that show fully 94 percent of SNAP shoppers have bought groceries at Walmart in the past year, making it by far the most popular grocery store among food stamp recipients.
U.S. households consume a lot of produce and dry goods imported from around the world, which are affected by new global tariffs implemented by the Trump administration. However, giant companies like Walmart are better positioned to absorb price increases than smaller businesses. Walmart CEO Doug McMillon tried to reassure investors of this in a February earnings call, and the company has announced a new program to help bring more American-made products to its shelves, an initiative called Grow With Us.