Friday, May 31, 2019

Tariffs on Chinese imports prompt Dollar Tree to raise prices


I opened Tariffs from the U.S.-China trade war are likely to accelerate the Retail Apocalypse by noting the effects of tariffs on prices at Dollar Tree, the parent company of Family Dollar.
I mentioned in Retail Archeology looks at Family Dollar, a tale of the Retail Apocalypse that "Dollar Tree could get into even more trouble because of the U.S.-China...trade war."
KHOU in Honolulu reported today that has indeed started to happen.  Watch Connect the Dots: Rising tariffs means rising prices at Dollar Tree.

Shopping at Dollar Tree may not cost you just a dollar for long. The chain is about to pass-on a price hike to shoppers. Lauren Talarico connects the dots.
I wrote that tariffs on Chinese goods will cause inflation, in particular increasing inflation by 0.25%.  The price increases at Dollar Tree are a foreseeable effect of the tariffs.

Now I'm done for May.  See you all in June, which is only a few hours away.

2 comments:

  1. Maybe they can change the name to Yuanner Tree! Because that rolls off the tongue better than "Dollar-and-a-Quarter Tree."

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    1. LOL. Yeah, but I don't think most Americans would get the joke; they don't know the Yuan is the PRC currency.

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