US-China Trade Agreement: Walmart’s revenue for Q1; This is how the U.S.-China trade agreement could impact the world’s largest retailers
US-China trade negotiations show “progress”, but no final deal yet
Over the weekend, U.S. and Chinese officials ended trade talks with what they called “substantial progress.”
The White House said a deal was reached between the two countries, as U.S. Trade Representative Jamieson Greer said: “It is important to understand that we can reach a consensus quickly, which reflects that the possible differences may not be as large as possible.”
However, Chinese officials are not there yet. Bloomberg reported that the United States and China reached an agreement on a “negotiation mechanism” and they do want to resolve the differences with the Trump administration and hope to complete the agreement as soon as possible.
Walmart’s supply chain is related to China
For Walmart, the bet is high due to the US-China trade war. According to Street, the retailer has purchased a lot of non-resident goods from Chinese manufacturers, from toys and tools to cookware.
The United States imposed 145% tariffs on goods imported from China, and China also imposed 125% tariffs on goods imported from the United States and the effect of such high tariffs, which almost resulted in almost no transactions between the two countries, just like on the streets, US President Donald Trump recently stated that he would announce announcing 80% of businesses and announced 80% of goods, a secret of a family, whose business is corporate and announced 80% of goods, which is a speed of good at trading. According to the report, the tariff rate. This will have an impact on the retail giant, as Walmart CEO McMillon, one of the retail CEOs, noted that tariffs are so extreme that store shelves may be empty in the summer. Other retail CEOs are target CEO Brian Cornell and Home Depot CEO Edward Decker, according to the report.
Meanwhile, Walmart now has about 336 stores in China, and there are speculation that it may open more stores.
Walmart’s forecast for the first quarter
When the company reported its fourth-quarter results in February, Walmart expects sales worldwide to grow 3% to 4% from the same period last year. The company also reportedly expects operating income to grow by 0.5% to 2%, with revenue reportedly ranging from 57 cents to 58 cents.
Wall Street analysts estimated revenues of 59 cents, with an estimated revenue of $164.7 billion, the report said.
FAQ
Now discussing the changes in tariffs?
Trump is considering reducing tariffs to 80%, while Commerce Secretary Lutnick mentioned a potential interest rate of 34%.
How many stores does Walmart have in China?
According to the Street Report, Walmart currently operates about 336 stores in China.
