Target is following Walmart and Costco’s strategy of putting pressure on China over rising tariffs, as are other major retailers in response to Donald Trump’s tariff increases. As American President Donald Trump imposes increasing tariffs on goods sent to the United States from the Asian country, Target is reportedly pressuring Chinese suppliers to lower their costs. Target, a massive American retailer with almost 2,000 hypermarket locations nationwide, has requested that suppliers bear a significant portion of Trump’s tariffs, according to a story published this week by the business news organization Quartz.
This is how Target will follow Walmart and Costco’s strategy to pressure China over tariffs
Trump had levied a 20% tariff on all Chinese imports into the United States at the time of Quartz’s story. As part of a broad set of “Liberation Day” tariffs levied on trading partners worldwide, the president then announced an additional 34% tax on domestic goods on Wednesday. During an earnings call in early March, Rick Gomez, the executive vice president of Target, stated that about 30% of the company’s items are created in China, a decrease from 60% in 2017. The company forecast sales growth of only 1% in 2025, citing “tariff uncertainty” as one of the reasons for its low expectations.
This appears to be the retailer’s attempt to partially shift duties onto suppliers. In response to Trump’s tariffs, other large American retailers, such as Walmart and Costco, have reportedly looked to Chinese suppliers for lower costs in recent weeks. Moreover, in response to the president’s most recent tariff decision, China announced equivalent 34% duties on U.S. imports on Friday. China’s finance ministry said in a statement that the U.S. conduct is a common kind of unilateral bullying, violates international trade regulations, and gravely jeopardizes China’s legitimate rights and interests.
Target will close for one entire day soon
Later this month, several big chain stores will close for 24 hours in what some are referring to as a retail blackout. What many people might not know is that the reason for this blackout is Easter, a Christian holiday, which is this year on April 20. Sam’s Club, Costco, and Aldi are among the major companies that will be closing most, if not all, of their locations for the whole day on Easter Sunday. For the holiday, Target is also anticipated to close its 2,000 locations nationwide, according to The U.S. Sun. Since it always coincides with the first full moon following the spring equinox, the celebration falls on a new date each year.
The annual celebration, which signifies the conclusion of Lent, takes place from March 22 to April 25. As more and more chains choose to close their locations and give their staff a holiday break, these closures are occurring. However, food and Easter-themed merchandise will still be available to consumers. Along with Kroger, Wegman’s, Harris Teeter, and Trader Joe’s, Walmart confirmed to USA Today that it will remain open on April 20. This occurs as several retail establishments shut down their physical stores. Macy’s plans to liquidate 66 stores this year, while Kohl’s closed locations in 15 states last month.
Target is not the only retailer that has decided to close all of its locations in recent months. In December, Party City closed its 800 locations nationwide, displacing 10,100 part-time employees and 6,400 full-time employees. A large baby retailer in several states, Buybuy Baby, likewise closed all of its physical stores and switched to an online-only brand last year. The complete list of national chains that are anticipated to close their locations on April 20 is as follows:
- ALDI
- Best Buy
- Costco
- H-E-B
- Homegoods
- Homesense
- Macy’s
- Marshalls
- Michaels
- Sam’s Club
- Sierra
- Target
- TJ Maxx
