{"id":88894,"date":"2025-05-27T03:36:52","date_gmt":"2025-05-27T03:36:52","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/home-depot-avoids-tariff-induced-price-hikes-by-diversifying-sourcing-countries\/"},"modified":"2025-09-19T09:04:19","modified_gmt":"2025-09-19T09:04:19","slug":"home-depot-avoids-tariff-induced-price-hikes-by-diversifying-sourcing-countries","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/home-depot-avoids-tariff-induced-price-hikes-by-diversifying-sourcing-countries\/","title":{"rendered":"Home Depot avoids tariff-induced price hikes by diversifying sourcing countries"},"content":{"rendered":"<p data-sourcepos=\"4:1-4:354\">Home Depot remains confident it can shield customers from tariff-driven price increases, a stark contrast to warnings from other major retailers. <span id=\"more-38274\"><\/span>The home improvement giant attributes its resilience to years of strategic supply chain diversification, ensuring it won't lean too heavily on any single international source.<\/p>\n<p data-sourcepos=\"6:1-6:351\">During a conference call on Tuesday, Billy Bastek, executive vice president of merchandising, emphasized that Home Depot's suppliers have successfully shifted sourcing across numerous countries. This proactive approach means the company expects no single country outside the U.S. to account for more than 10% of its purchases within the next year.<\/p>\n<p data-sourcepos=\"8:1-8:128\">\"We don't see broad-based price increases for our customers at all going forward,\" Bastek stated, offering a reassuring outlook.<\/p>\n<p data-sourcepos=\"10:1-10:280\">This stance diverges sharply from companies like Walmart, which recently announced price hikes and anticipates more due to the ongoing trade disputes initiated by the U.S. government. Even Subaru of America warned customers of price increases up to $2,000 on some popular models.<\/p>\n<p data-sourcepos=\"14:1-14:309\">President Donald Trump has repeatedly asserted that foreign producers, not American consumers, would bear the brunt of his tariffs, and that retailers and automakers would absorb any additional costs. However, most economists remain skeptical, forecasting that these trade penalties will exacerbate inflation.<\/p>\n<p data-sourcepos=\"16:1-16:514\">Tariffs on essential materials like lumber have become a significant concern for both homebuilders and prospective buyers. The national median listing price for a home in April stood at $431,250, requiring an annual income of at least $114,000 to afford it, according to Realtor.com data. Further increases in housing material costs could push homeownership out of reach for even more potential buyers. Home Depot, however, is somewhat insulated in this regard, as it primarily sources its lumber within the U.S.<\/p>\n<p data-sourcepos=\"18:1-18:240\">While about 17% of Home Depot's wood was sourced from Canada early last year, the company did not disclose if those import levels have changed. Notably, Canadian lumber was later exempted from additional 25% U.S. tariffs after negotiations.<\/p>\n<p data-sourcepos=\"22:1-22:367\">For the first quarter, Home Depot reported a rise in revenue as customers focused more on smaller home improvement projects. Unlike many U.S. companies that have lowered or withdrawn financial guidance due to trade disruptions, Home Depot maintained its earlier projections of around 2.8% sales growth. Shares of the Atlanta-based company saw a slight dip on Tuesday.<\/p>\n<p data-sourcepos=\"24:1-24:344\">Revenue climbed to $39.86 billion, up from $36.42 billion a year earlier, surpassing analysts' expectations of $39.3 billion. While sales at stores open at least a year, a key indicator of retail health, edged down 0.3%, comparable store sales in the U.S. saw a modest 0.2% increase, outperforming Wall Street's anticipated 0.1% decline.<\/p>\n<p data-sourcepos=\"26:1-26:154\">Customer transactions rose by 2.1% during the quarter, and the average customer spend slightly increased to $90.71 from $90.68 in the prior-year period.<\/p>\n<p data-sourcepos=\"28:1-28:215\">\"Our first quarter results were in line with our expectations as we saw continued customer engagement across smaller projects and in our spring events,\" said Ted Decker, Home Depot Chair and CEO, in a statement.<\/p>\n<p data-sourcepos=\"30:1-30:325\">Home improvement retailers like Home Depot have been navigating a challenging environment, with homeowners deferring larger projects due to increased borrowing costs and persistent inflation concerns. The U.S. housing market has been in a sales slump since 2022, when mortgage rates began their ascent from pandemic-era lows.<\/p>\n<p data-sourcepos=\"32:1-32:443\">Existing home sales, in particular, have dropped as elevated mortgage rates and rising prices deterred buyers. In March, sales of previously occupied homes fell 5.9% from February, reaching a seasonally adjusted annual rate of 4.02 million units, marking the largest monthly drop since November 2022 and the slowest pace for a March since 2009. Last year, sales of previously occupied U.S. homes hit their lowest level in nearly three decades.<\/p>\n<p data-sourcepos=\"34:1-34:405\">\"One of the central problems for Home Depot is the skittish housing market,\" said Neil Saunders, managing director of GlobalData. \"While last quarter was robust, home sales declined by 3.1% year-over-year this quarter as consumers were deterred from moving by continued high interest rates and growing economic uncertainty. This lack of recovery makes it difficult to drive home improvement spending.\"<\/p>\n<p data-sourcepos=\"36:1-36:315\">For the three months ending May 4, Home Depot Inc. reported earnings of $3.43 billion, or $3.45 per share. This compares to $3.6 billion, or $3.63 per share, earned in the same period last year. Excluding certain items, earnings were $3.56 per share, slightly below Wall Street's call for $3.60 per share.<\/p>","protected":false},"excerpt":{"rendered":"<p>Home Depot remains confident it can shield customers from tariff-driven price increases, a stark contrast to warnings from other major retailers. The home improvement giant attributes its resilience to years of strategic supply chain diversification, ensuring it won&#8217;t lean too &hellip; <a href=\"https:\/\/www.timberindustrynews.com\/ro\/home-depot-avoids-tariff-induced-price-hikes-by-diversifying-sourcing-countries\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":96272,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716],"tags":[],"class_list":["post-88894","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Home Depot avoids tariff-induced price hikes by diversifying sourcing countries - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/home-depot-avoids-tariff-induced-price-hikes-by-diversifying-sourcing-countries\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Home Depot avoids tariff-induced price hikes by diversifying sourcing countries - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"Home Depot remains confident it can shield customers from tariff-driven price increases, a stark contrast to warnings from other major retailers. 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