After U.S. President Donald Trump imposed tariffs on all imports, as well as additional duties on products from certain countries (particularly China), several companies have announced they will raise their prices to offset the impact. But what about The Home Depot? Here’s what the popular retailer had to say.
Will The Home Depot Raise Its Prices Due to Trump’s Tariffs?
If you’re a Home Depot customer, there’s good news: the home improvement chain has confirmed that despite the pressure from recent tariffs, it does not intend to increase product prices.
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In its most recent report, the retailer posted a 9.4% year-over-year increase in first-quarter sales, reaching $39.9 billion. However, global comparable sales fell slightly by 0.3%, while U.S. comparable sales saw a modest 0.2% increase. Regarding its financial performance, Home Depot’s operating income rose 1.1% compared to the same period last year, totaling $5.1 billion. Still, net income dropped 4.6%, coming in at $3.4 billion.
Despite the decline in profit, the company remains optimistic and stated that raising prices to offset the impact of tariffs will not be necessary.
The Home Depot to Open New Stores in the U.S.
The home improvement retailer recently announced plans to open new stores across the United States in 2025, as part of an expansion strategy to reach more areas nationwide. The company aims to open 13 new locations, with some set to open in the following places:
- World Commerce Center, St. Augustine, Florida – 2905 International Gold Parkway, St. Augustine, Florida, 32092
- Prasada South, Arizona – Cactus Drive, Surprise, Arizona, 85388
- Anna, Texas
- Moscow, Idaho
- Manor, Texas
- Bulova, New York
- Spokane South, Washington State
- Charlottesville, Virginia
- Caldwell, Idaho
- Mandarin, Florida
- Forney, Texas
History of Home Depot
The Home Depot is a well-known retail chain specializing in DIY, home renovation, and construction products. In its stores, customers can find a wide variety of items, ranging from tools and building materials to outdoor furniture, appliances, and much more.
The company was founded in 1978 in Atlanta, Georgia, by Bernie Marcus and Arthur Blank, who previously worked as executives for the hardware store chain Handy Dan. Inspired by the big-box store model, they decided to launch a new store concept that offered a wide selection of products at competitive prices. The first store opened on February 6 of that year and quickly attracted public attention.
Today, Home Depot is not owned by a single person or entity. It is a publicly traded company, so its shares are held by numerous investors. Major shareholders include investment firms such as Vanguard, BlackRock, State Street Global Advisors, SSgA Funds Management, and Capital Research and Manager.
With operations in the United States, Mexico, and Canada, Home Depot has become the largest and most influential home improvement store globally. Today, it has over 2,300 stores in North America and employs more than 475,000 people.
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What are tariffs?
Tariffs are taxes imposed on imported goods. These tariffs benefit locally made products by giving them a competitive price advantage over similar imported goods. They also serve as a source of revenue for governments.
Why did Trump impose tariffs?
President Donald Trump has stated that tariffs are a key part of his economic strategy, aiming to promote manufacturing in the United States, protect jobs, increase tax revenue, and stimulate economic growth.
Trump seeks to revitalize and rebuild the U.S. manufacturing industry, which has lost many jobs over the past 40 years, largely due to the offshoring of labor to lower-wage countries like Mexico or China. Additionally, the president believes that the U.S. faces a significant trade deficit and that other countries are taking advantage by selling their products to American consumers.
Which Stores Have Raised Their Prices Due to Tariffs?
Several companies in the United States have started to raise their prices in response to the recent tariffs. Others are planning to do so soon. Some of the retailers that have already implemented or are expected to implement price increases include:
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Walmart
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Temu
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Shein
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Target
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Best Buy
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Adidas
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Mattel
