Costco says the tariff rollback may lead to lower prices for customers


Costco Wholesale Inc. (NASDAQ: COST ) is among them 13 Best Defensive Stocks for 2025.

Costco says the tariff rollback may lead to lower prices for customers
Costco says the tariff rollback may lead to lower prices for customers

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On March 6, Reuters reported that wholesale company Costco (NASDAQ: COST ) said it would cut prices if it was linked to the US Supreme Court’s decision to overturn President Donald Trump’s emergency tariffs. Costco was one of more than 1,000 businesses that challenged the tariffs in court. The companies argued that Trump did not have the legal authority to enforce them under the International Emergency Economic Authorization Act of 1977.

During a post-earnings call, CEO Ron Vicris said it was still unclear whether companies would recover tariffs paid last year under the IEEPA. He noted that if Costco gets any money back, the company will aim to pass those benefits on to customers through lower prices and better value. This company has reduced the prices of some products after the decision of the Supreme Court, after the reduction of tariffs on a number of countries, including China. Items affected included clothing, bedding and cooking utensils.

Costco has also invested heavily in its private label brand, Kirkland Signature. The move is meant to attract customers looking for lower-priced alternatives to national brands. The company also raised its membership fee in 2024. For fiscal Q2 2026, Costco reported quarterly same-store sales growth of 6.7%, excluding gas. The figure came in above analysts’ expectations for a 5.88% increase, according to data compiled by LSEG. Net income for the second quarter increased nearly 14%, to $2.04 billion.

Costco Wholesale Inc. (NASDAQ: COST ) operates membership warehouses and e-commerce platforms that sell nationally branded and private label products across multiple categories.

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Read more: The 40 most popular stocks among hedge funds heading into 2026 And the 15 best stocks to buy now for passive income

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