Costco uses US$184 million in tariff refunds to lower prices

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomeRetail & MarketingCostco uses US$184 million in tariff refunds to lower pricesItems receiving the discounts include produce, meat, beverages and non-food goodsCostco Wholesale Corp. says it will use its tariff refunds to lower prices for customers. Photo by PostmediaCostco Wholesale Corp. is using refunds from U.S. tariffs to lower prices at its stores.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountThe company said it received US$184 million in refunds in its fourth quarter after the U.S. Supreme Court struck down tariffs under the International Emergency Economic Powers Act back in February.The items receiving the discounts include produce, meat, beverages and non-food items.This advertisement has not loaded yet, but your article continues below.“We view that as really very much as giving value back to our members for the tariff refunds that we received,” Costco chief financial officer Gary Millerchip said during an earnings call on Thursday.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try again“Our goal was to make sure that we spread those as we could to items that would have the most impact for members.”Millerchip said the refunds his company received in the quarter represent about a third of what they are expecting in total, and added that Costco has already received about the same amount this quarter.“We intend to continue investing the majority of the dollars we received in increased member values,” he said.Overall, Costco’s total revenue rose 11 per cent to US$95.7 billion, beating expectations of US$94.86 billion.During the holiday season last year, tariffs forced Costco to thin down its non-food product line and its Christmas goods as customers were more selective with discretionary purchases.Costco chief executive Gary Vachris said the tariff-induced product changes died off by the third quarter and this holiday season is expected to be back to normal.“(I) feel very good about the holidays, feel very good about the buying lineup that our folks have,” he said.This advertisement has not loaded yet.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. 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