Walmart Inc., also known as just Walmart, is an American retail corporation with a chain of superstores, department stores, and grocery stores all over the United States and other countries, like Mexico, Canada, and India.
Last year, there were 10,524 Walmart stores under 48 names across the US and 23 other countries. This makes Walmart one of the world’s largest retail chain companies in terms of revenue, according to the Fortune Global 500 list in 2020.
While Walmart is an American retail chain, not all products sold there are made in the US or supplied by American companies.
Here is How Much Walmart gets from China:
Most of the United States still heavily relies on Chinese imports, including Walmart. Only roughly 20% of Walmart’s retail products are from US-based suppliers. According to estimates, 70 to 80% of Walmart products are from China, excluding food, meat, and fresh produce.
How Can I Know When An Item At Walmart Is From China?
Since Walmart is an American company, people are often surprised when they discover that the product they bought there is made in China.
The truth is around 80% of Walmart suppliers are based in China. Around 70 to 80% of the products sold across Walmart superstores, department stores, and grocery stores are from China. These China-based suppliers have an agreement that to manufacture products exclusively for Walmart.
If you want to know if the item you are about to buy from Walmart is from China, all you have to do is read the fine print on the box or the label.
All products sold in retail and grocery stores have labels that provide information about the product’s manufacturing. The label will indicate if the product is made in China. Otherwise, it will indicate the name of the manufacturer, and you can look this up to know if the manufacturer is a Chinese company or not.
Here is a list of some of the Chinese companies that exclusively manufacture products for Walmart:
- Donegoods Industrial Co., Ltd. (Guangdong, Foshan) – display racks, shoe racks, shelves, kitchen supplies
- Dongguan City Tianhua Photoelectric Technology Co. (Dongguan, Guangdong) – lamps, lights
- Suzhou Fairy Daily Products Co., Ltd. (Suzhou, Jiangsu) – clothes hangers, coat hangers
- Shandong Gulun Tire Co., Ltd. (Qingdao, Shandong) – tires
- Blue Sea Aerosol & Daily Care Co., Ltd. (Shenzhen, Guangdong) – shave foams, deodorants, hair sprays, aerosol products.
- Gaomi Deyun Industry and Trade Co., Ltd. (Weifang, Shandong) – glass bottles, vases, jars, scented candles
- Guangdong Xinyuan Culture Technology Co., Ltd. (Guangdong, Guangzhou) – envelopes, printing papers, boxes, notebooks
- Quanzhou New Style Bags Co., Ltd. (Quanzhou, Fujian) – sports bags, military bags, diaper bags, hydration backpacks
- Xiamen Yeyon Trade Co., Ltd. (Xiamen, Fujian) – women’s athletic clothes, shirts, slippers, women’s footwear, bags
- Hebei Cookware Kitchen Products Co., Ltd. (Shijiazhuang, Hebei) – cast iron cookware, casseroles, frying pans, skillets, Dutch ovens
Does Walmart Food Come From China?
Even though most of the products sold in Walmart come from China, with a percentage of 70 to 80%, this number does not include food products.
Food products sold in Walmart superstores and grocery stores do not come from China. These food products are sourced and produced in America.
Most of the fresh produce sold in Walmart stores is grown in America. Some ingredients may be sourced from neighboring countries like Mexico, but the food product itself is assembled or made locally.
Currently, Walmart works with 15 large suppliers, representing roughly 30% of its food and beverage sales in North America. The goal is to produce more sustainable food products from fewer sources.
By sourcing and producing food products locally, Walmart can support and help improve the livelihood of small and medium-sized local farmers.
Does The Meat At Walmart Come From China?
Many products sold in Walmart stores come from China, but this does not apply to their food products, including meat.
Meat at Walmart does not come from China.
Walmart has several partners and suppliers when it comes to its meat. These suppliers and meat processing plants are all based in North America.
Here are some of these suppliers:
Tyson Foods Inc.
This company is a US-based multinational corporation with its headquarters in Springdale, Arkansas.
This company is the world’s second-largest processor and marketer of chicken, beef, and pork.
Cargill Inc.
This company, founded in Delaware, is based in Minnetonka, Minnesota.
Some of Cargill’s businesses include the manufacture of livestock and feed.
Creekstone Farms:
This company is also based in Arkansas and is a prime supplier of beef and pork with superior quality.
Maple Leaf Prime:
This company is based in Winnipeg, Manitoba, Canada.
It is a well-known supplier of chicken and poultry products.
McClaren Farms:
In addition, Walmart also opened its facility in 2020 for processing Angus beef products. In 2021, Walmart launched McClaren Farms.
Walmart launches McClaren Farms as part of its end-to-end supply chain program for Angus beef. This initiative aims to bring high-quality Angus beef to Walmart stores across the United States while meeting the increasing demand for sustainability.
All beef products from McClaren Farms are raised by US ranchers, with no hormones added. This way, Walmart can guarantee its customers that each cut of meat sold in the stores is delicious and of the best quality, with more consumer-friendly prices.
This includes specialty meat products such as Ribeye, Short Ribs, Angus Filet Mignon, T-Bone, Porterhouse, Chuck Roast, and more.
Does China own Walmart?
Even though most of the non-food products sold in Walmart stores are from China, Walmart remains an American company.
China does not own Walmart.
The Walton family owns Walmart. Sam Walton is the founder of Walmart, initially naming it Walmart Discount City in 1962 in Benton, Arkansas.
However, Walmart is a publicly-traded company as it was listed on the New York Stock Exchange in 1972, which means many companies and individuals hold their shares in Walmart.
Walton Enterprises LLC is a private company that holds 35% of the total shares of Walmart, while the Walton Family Holdings Trust has less than 10% in shares.
A US-based company called the Vanguard Group Inc. holds 5% shares of Walmart.
Meanwhile, other companies that are investors and shareholders of Walmart include Geode Capital Management LLC, BlackRock Fund Advisors, State Street Global Advisors, Norges Bank Investment Management, and Morgan Stanley Smith Barney LLC.
Do The Trade Wars With China Affect Walmart?
The trade wars between the United States and China started in 2018. This was when the tariffs on Chinese-made products were increased.
Since a huge percentage of Walmart products come from Chinese suppliers and companies, the trade wars with China affect Walmart significantly.
Because of the trade wars, Walmart has increased the prices of many products. This is because an increase in import tariffs leads to an increase in the prices of consumer goods.
Many US-based retail companies, like Walmart, heavily depend on China for their supply chain for products like clothing, footwear, toys, appliances, electronics, and a lot more. So it is expected that the trade war between the United States and China will affect Walmart.
Did Walmart Try To Open Stores In China?
Since Walmart is a multinational company, it has stores under different names in other countries like Canada, Mexico, India, Chile, and South Africa.
As a consistently growing company, it was only inevitable that Walmart would open stores in China. Walmart officially entered the Chinese market and opened its first store in China in 1996.
The first Walmart store in China opened in Shenzhen – which is the part of China where many goods are being sourced and manufactured.
There are over 400 Walmart stores in China, including Sam’s Club, where Chinese workers make up 99% of the workforce.
Walmart in China is also known for its innovation. Walmart China was one of the pioneers of a smartphone app that customers can use to scan products while shopping in stores easily. The app also adds convenience to online shopping and delivery.
Sources:
Fact Sheet: Walmart’s Made In America Pledge
Does Walmart Sell Food From China?