The Walmart executive’s comments hint at the trickle-down impact of tariffs, as companies pay the import tax upfront and often pass on the higher input costs associated with these fees to consumers.

A Walmart executive warned that President-elect Trump’s plans to raise tariffs on imports could drive the retail giant to increase the price of store items.

Tariffs could raise prices on clothing, toys, furniture, appliances, footwear and travel goods, particularly items where China is a major supplier.