Tariffs hitting shoppers in Canada and U.S., with some prices set to rise at Loblaw stores, Walmart

The Canadian Press

· Posted: May 15, 2025 10:50 AM EDT | Last Updated: 2 minutes ago

A travel to the store is astir to go much costly for shoppers connected some sides of the 49th parallel, arsenic pre-tariff inventory runs retired astatine Loblaw stores and Walmart is acceptable to rise prices successful the U.S.

Loblaw Cos. Ltd. main enforcement Per Bank said Wednesday successful a LinkedIn station that the fig of tariff-hit products astatine the market store could soon spike, arsenic products brought into Canada earlier the commercialized warfare began are bought up from store shelves, which means prices for immoderate items volition spell up, too.

Meanwhile, Walmart said it indispensable rise prices successful U.S. stores owed to higher costs from tariffs implemented by U.S. President Donald Trump, aft announcing its first-quarter nett slipped.

Loblaw has been assertive successful marking which products are affected by tariffs, a tally it has truthful acold constricted to a small implicit 1,000 items. But that full volition emergence to much than 3,000 wrong the adjacent week oregon two, and could highest astatine implicit 6,000 wrong the adjacent 2 months, according to Bank's post.

"While the tariff concern mightiness beryllium improving betwixt the U.S. and different countries, that's not yet the lawsuit present successful Canada. In fact, we'll beryllium facing a ample question of tariff-related increases successful the weeks ahead," helium said.

Tariff-affected items volition inactive relationship for a tiny stock of the astir 80,000 items the institution stocks, but customers volition announcement changes successful categories including earthy foods, pantry staples and wellness and quality products, helium said.

"It's been bully to spot Prime Minister Carney and different leaders engaging successful dialog with U.S. officials, arsenic we're each hoping for a accelerated de-escalation of this situation."

Bank besides said helium was pleased to spot the national authorities has changed its counter-tariff policies to bounds the charges to finished nutrient products coming successful from the U.S. In mid-April, the authorities announced respective adjustments to the $60 cardinal successful counter-tariffs it announced successful March, to easiness the load connected Canadian companies and consumers.

WATCH | Loblaw informing of rising nutrient prices arsenic pre-tariff inventory runs out: 

A cardinal measurement for grocers was a six-month suspension of counter-tariffs connected a wide scope of U.S. goods utilized successful Canadian manufacturing, processing and nutrient and beverage packaging. That means, for example, that a Canadian institution could import thing similar beverage if it's utilized to marque different merchandise without the further counter-tariffs, but that beverage for retail merchantability wouldn't beryllium exempt.

The changes mean Canada has fundamentally paused astir each of its counter-tariffs, said Tony Stillo of Oxford Economics successful a note. He said the changes volition trim terms pressures and brings the effectual tariff complaint summation connected the U.S. to astir zero.

From the start, the counter-tariffs excluded U.S. nutrient similar lettuce, which the Canadian marketplace is particularly reliant on.

Canada's counter-tariffs person mostly targeted items that person alternatives produced successful Canada, specified arsenic dairy, poultry and grains, said Mike von Massow, a University of Guelph prof and nutrient economist.

"They enactment them connected things that were highly substitutable, truthful that if you were consenting to marque tiny changes, you weren't going to get impacted arsenic much," helium said. "Now, if you are funny successful a specifically aged cheddar from Wisconsin, past that's going to spell up successful price."

While galore items aren't straight tariffed by Canada, determination are indirect terms pressures from different areas, similar U.S. metallic tariffs, and the wide uncertainty brought connected by the commercialized war, helium said.

"The uncertainties with the U.S. [have] the imaginable to summation prices adjacent successful the lack of tariffs."

While Canada has added galore exemptions to its counter-tariff measures, they stay connected high-profile market items similar orangish foodstuff and alcohol, arsenic good arsenic a big of different products, ranging from uncooked pasta to guinea fowl successful a solid jar.

Walmart volition effort to support prices 'as debased arsenic possible:' CEO

Walmart has built-in hedges against immoderate tariff threats. Two-thirds of Walmart's merchandise is sourced successful the U.S., with groceries driving overmuch of that. Groceries relationship for astir 60 per cent of Walmart's U.S. business.

Still, Walmart isn't immune and said the terms hikes come even arsenic the institution works to sorb the costs of the tariffs.

"We volition bash our champion to support our prices arsenic debased arsenic possible, but fixed the magnitude of the tariffs, adjacent astatine the reduced levels announced this week, we aren't capable to sorb each the unit fixed the world of constrictive retail margins," said CEO Doug McMillon successful a statement.

Walmart is among the archetypal large U.S. retailers to study fiscal results, and the numbers tin supply a hint arsenic to the temper of the American shopper and however the tariffs are impacting the company's business.

Future income person go a interest for each retailers for a fig of reasons. Many Americans person been pulling backmost connected spending, arsenic they turn uneasy astir the economy, and ostentation remains elevated. Trump's tariffs connected China and different countries endanger the low-price exemplary that is astatine the halfway of Walmart's success.