Price War Hero: How Ross Is Shielding Shoppers From Trump's Tariffs

As tariffs and inflation squeeze retailers, Ross Stores is making bold moves to keep its shelves stocked and prices low.

The discount chain, known for its budget-friendly fashion and home goods, faces flat sales and a 2.7% drop in store visits, prompting drastic changes set to hit stores by July 2025.

With President Trump's trade policies threatening higher costs, Ross is navigating a perfect storm of economic challenges. How is the retailer fighting back, and what will customers notice?

Here's how Ross is tackling the crisis head-on, aiming to stay a shopper favourite.

Pivot Swiftly to Offset Tariff Costs

Ross Stores is bracing for impact from Trump's tariff hikes, including a 20% levy on Chinese goods (over half of Ross's inventory) and 25% on imports from Mexico and Canada, effective after the 9 July 2025 pause ends.

TheStreet reports Ross withdrew its 2025 financial guidance due to these uncertainties, with shares dropping 8% after the 22 May 2025 earnings call. X posts from users like @PiQSuite highlight the hit, citing 'prolonged inflation' and tariffs as key culprits.

CEO Jim Conroy noted a 'slower start to the spring selling season', with net income dipping 2% to £383 million ($518 million).

To counter this, Ross is negotiating with suppliers to absorb costs and exploring alternative sourcing from domestic or tariff-free regions to maintain its value proposition.

Keep Prices Low with Strategic Stocking

Ross is doubling down on its promise to avoid price hikes, a move critical to retaining its cost-conscious customers.

COO Michael Hartshorn told the same TheStreet interview that Ross aims to 'be very careful with price increases' to preserve its 'value gap' over mainstream retail. CNBC notes that retailers are strategically stocking more functional items, like household essentials, over discretionary ones, as shoppers shift spending amid inflation.

Despite flat comparable sales, Ross plans to open 80 new stores and 10 DD's Discounts by year-end, targeting high-growth areas like Texas.

X posts from @MarcJacksonLA show mixed sentiment, with some praising Ross's expansion and others wary of tariff-driven price risks. By leveraging excess brand inventory, Ross aims to keep shelves stocked with deals, ensuring customers still find 'yes for less'.

Adapt Stores to Boost Shopper Appeal

To reverse the 2.7% drop in store visits reported by Placer.ai, Ross is revamping its in-store experience. Yahoo Finance confirms plans to enhance store layouts, improve signage, and prioritise high-demand categories like home essentials to draw crowds.

These changes, rolling out by 1 July 2025, aim to make shopping faster and more appealing, countering the 'softening' demand noted by CFO Adam Orvos. Ross's focus on customer experience, like streamlined checkouts and curated stock, mirrors tactics used by rivals like TJ Maxx.

Despite tariff pressures, Ross's lean operations and deal-hunting model position it to weather the storm, though they are prepared and aware that macroeconomic volatility could still hit hard.

Ross's Bold Play: Value Wins in Tough Times

Ross Stores is acting fast to shield shoppers from tariff-driven price spikes, proving its mettle in a retail crisis. By rethinking sourcing, prioritising essentials, and sprucing up stores, Ross is betting on value to keep customers loyal.

These changes, set to transform stores by July 2025, show resilience in the face of economic headwinds, but staying competitive will demand relentless innovation.

Ross is holding the line on prices, its ultimate weapon in a tariff-charged market.