Walmart has responded to President Donald Trump‘s suggestion that the company should fully absorb any cost rises that arise due to his tariffs.

In a statement to USA Today, Walmart spokesperson Joe Pennington said: “We have always worked to keep our prices as low as possible and we won’t stop. We’ll keep prices as low as we can for as long as we can given the reality of small retail margins.”

The recent exchange between the president and America’s largest private sector employer began when Walmart said it would need to raise prices in order to cope with the cost increases brought about by Trump’s trade policies.

“We will do our best to keep our prices as low as possible but given the magnitude of the tariffs, even at the reduced levels announced this week, we aren’t able to absorb all the pressure given the reality of narrow retail margins,” Walmart CEO Doug McMillon said last week.

Trump later criticized the company for “blaming” tariffs, writing on Truth Social: “Walmart made BILLIONS OF DOLLARS last year, far more than expected. Between Walmart and China they should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING.”

This is a breaking story. More to follow.