TJ Maxx CEO says company could benefit from Trump's proposed tariffs

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TJ Maxx CEO says company could benefit from Trump's proposed tariffs
Nederland Laatste Nieuws,Nederland Headlines

TJX Companies CEO Ernie Herrman said during an earnings call that the company could benefit from President-elect Trump's proposed tariffs on imported goods.

Retailers and industry trade groups are sounding the alarm about how President-elect Donald Trump's proposed tariffs could lead to higher prices. However, officials from TJ Maxx's parent company have a different take, saying the discount retailer may actually benefit. TJX Companies Inc. CEO Ernie Herrman said on an earnings call with analysts on Wednesday that when there is "chaos" in the market, it usually presents an "opportunity for us.

If a brand faces tariffs on a certain category, forcing them to raise prices, and those higher prices are passed on to other retailers, the price of that specific item could increase slightly, according to Herrman. However, he said, "it will never be at any issue with the value gap that we have relative to the competition." The comments come on the heels of Walmart CFO John David Rainey's remarks that the proposed tariffs could lead to higher prices for its shoppers.

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