Logistics costs can no longer be suppressed! Walmart will also charge sellers for fuel

Walmart said it will charge third-party sellers new fuel and pickup fees to cope with higher shipping costs, according to a memo seen by The Wall Street Journal. The new rules will take effect on August 1.

The memo said the shift is the result of Walmart's adaptation to a major transformation and cost increase in the transportation industry over the past few years, and is the latest example of Walmart raising fees to offset rising costs for areas such as shipping and fuel. Amazon took a similar move this spring.

It is reported that the new pickup fee will be calculated as a percentage of the cost of the goods received by Walmart, and the fuel surcharge is calculated based on the fuel cost of transporting the goods.

But sellers are unhappy with this. Some sellers complained that Walmart did not share the expected fees more accurately or give them more time to calculate the increased fees. Many sellers have signed product order agreements with Walmart for the next year.

A Wal-Mart spokeswoman said the fees will help the company adapt to the current economic environment while keeping prices low for consumers. She said Wal-Mart plans to provide more detailed information about the fees to individual suppliers soon.

Consumption returns to normal, but costs continue to rise

Early in the pandemic, big retailers such as Walmart Inc and Target Corp reported sharp sales increases and higher profits even as labor costs and pandemic-related expenses rose. More recently, however, sales have slowed and profits have shrunk as people return to more normal buying patterns while inflation, labor and shipping costs remain high.

At its June investor conference, Walmart plans to pass some of these increased costs on to its suppliers. "The costs that need to be passed on are the cost of the product, the fuel or the transportation costs required to deliver these products," executives said. "We will continue to price fairly in the ways we need to and protect margins when appropriate."

Some of Walmart's competitors have introduced similar fees this year to offset rising costs. Amazon.com Inc. in April added a 5% surcharge for fuel and inflation to all items shipped using its fulfillment service.

With inflation at its highest point in decades and wages rising more slowly than inflation, some consumers are cutting back on purchases or dipping into savings. Retail executives say their goal is to keep prices as stable as possible to gain market share.

Editor✎ Ashley/

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