
The break is over. Companies are jacking up prices again.
Subscribe to enjoy similar stories. Companies from Levi Strauss & Co. to McCormick & Co., among others, say they are raising prices early this year on items from bluejeans and spices to housewares and industrial products.
After holding the line on prices for several months, companies—big and small—have begun a new round of increases, in some cases by high-single-digit percentage points. Companies had raised prices last year after tariffs hoisted costs. Yet starting in the fall, many firms held off on increases and sometimes offered discounts to capture holiday shoppers.
The pricing break is over. Many companies typically raise prices at the start of the new year. Yet increases appeared to be stronger than normal for January for electronics, appliances and other durable goods, said UBS economist Alan Detmeister.
Some companies have pointed a finger at tariffs for their increases, while others, especially small businesses, also blame higher wages and hefty health-insurance costs that firms said they can’t absorb or share with suppliers. Prices on the most affordable imported goods are up by 2.3% since dipping at the end of November, according to data through Feb. 10 collected by Alberto Cavallo, a Harvard Business School professor who tracks daily online prices at major U.S.
retailers. The Adobe Digital Price Index found that online prices posted their largest monthly increase in a dozen years in January, driven by higher prices for electronics, computers, appliances, furniture and bedding. Columbia Sportswear said it is upping prices of spring and fall merchandise by, on average, a high single-digit percent after mostly avoiding increases for fall and winter goods.
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