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President Donald Trump on Saturday warned Walmart not to raise prices, two days after the retailer said price hikes were possible. 

“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain,” Trump wrote on Truth Social on Saturday. “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. I’ll be watching, and so will your customers!!!”

On Thursday, Walmart CEO Doug McMillon said it would do its best to keep prices down, but with 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.” 

McMillon made the statement as the retailer reported its first-quarter results, which met Wall Street expectations. 

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Walmart, the largest retailer in the country, responded to Trump on Saturday, saying in a statement: “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.” 

Consumers could see price hikes as soon as the end of May, Walmart Chief Financial Officer John David Rainey told CNBC on Thursday. 

Despite the tariff uncertainty, the company said it “will play offense” and may make strategic investments to strengthen its value proposition. 

All of this comes after McMillon and Trump met to discuss ongoing trade negotiations and the impact of tariffs on imported goods. A Walmart spokesperson told FOX Business this week that the meeting was “productive” and that the company valued the opportunity to share its perspective. The U.S. reduced the “de minimis” tariff on cheap goods from China from 120% to 54%, according to an executive order Trump signed this week.

Trump has also warned U.S. automakers not to raise prices amid the tariffs. 

After recent trade talks with China, Trump brought the 145% tariffs temporarily down to 30%, but some experts say that’s still not enough to stem eventual price hikes. 

Walmart CFO John David Rainey told CNBC on Thursday: “We have not seen price increases at this magnitude, in the speed in which they’re coming at us before, and so it makes for a challenging environment.”

Ticker	Security	Last	Change	Change %
WMT	WALMART INC.	98.25	+1.81	+1.88%

Nearly two-thirds of Walmart’s U.S. spending goes toward products made, assembled or grown in the U.S., but the remaining third comes from around the world, with China and Mexico being the largest contributors.

The Arkansas-based company, which economists use as a gauge to understand consumer health, reported revenue of $165.6 billion, which was in line with expectations. Adjusted earnings per share slightly beat Wall Street expectations. 

For the first time, its e-commerce business achieved a full quarter of profitability in the U.S. and worldwide. E-commerce sales grew by 22%. Sales at U.S. stores open for at least a year grew by 4.5% due to the strong growth in the health and grocery segments. 

However, the company saw weakness in the general merchandise category, which comprises typically higher margin products. The company specifically reported weaker sales in electronics, home, and sporting goods. However, that was offset by strength in toys, automotive and kids apparel, Walmart said.

The company said that the “lack of clarity that exists in today’s dynamic operating environment makes the very near-term exceedingly difficult to forecast.” 

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Still, it remains confident that Walmart net sales will grow 3.5% to 4.5% in the second quarter. However, Walmart said that, given that trade talks and related news are constantly shifting, sometimes daily, “the range for operating income of outcomes for the quarter is much wider.” 

Fox Business’ Daniella Genovese contributed to this report.