TRUMP EFFECT: Target slashes prices on essential grocery items as economy rebounds under new leadership

By willowt // 2025-01-31

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Target initiates permanent price cuts on essential grocery items following President-elect Trump's victory, signaling a shift in the retail landscape.
The price reductions are part of the industry's "Perm Markdowns" or "C-Markdowns," reflecting a competitive response to a changing market and economic environment.
Examples of price drops on staple items, such as eggs, cheese and sausage, demonstrate the immediate impact of these changes.
Trump's policies, aimed at tackling inflation and improving supply chains, are cited as drivers of this positive economic trend.
This move by Target highlights a broader competitive market response to the new administration, ultimately benefiting consumers with more affordable grocery prices.

In a stunning development that underscores the immediate impact of President-elect Donald Trump’s economic policies, retail giant Target has begun permanently reducing prices on essential grocery items. This move, initiated shortly after Trump’s election victory on November 5, 2024, signals a dramatic shift in the retail landscape as businesses adapt to a rapidly improving economic environment. According to a high-level insider with years of experience in Target’s pricing strategy, the company is implementing what are known in the industry as “Perm Markdowns” or “C-Markdowns”—permanent price reductions designed to keep the retailer competitive in a changing market. “The first instance I could find was with an 11/29 effective date,” Sarah Fields from Threadreader revealed. “It takes about two weeks for permanent price changes to go through the system and print new price tickets to stores. Basically, retail leaders initiated price reductions for consumers days after Trump was elected.” Fields' inside source, who managed multi-billion-dollar businesses at Target, explained the decision-making process behind these price cuts. “I would negotiate with vendors on cost, then determine pricing based on hundreds of different factors—gross margin goals, competitor pricing and more. Now, we’re seeing competitors like Walmart and Amazon testing lower prices, and Target is responding to stay competitive.”

Evidence shows prices dropping nationwide

The proof is in the pudding—or, in this case, the eggs, cheese and sausage. Photos taken at local Target stores this morning reveal significant price reductions on staple items:

Eggs: 6.69→5.99
Eggs: 4.59→4.19
Cheese: 8.39→7.49
Sour Cream: 1.59→1.29
Sausage: 3.99→3.69
Pasta: 1.99→1.89

These are not temporary discounts or limited-time promotions. These are permanent price changes, reflecting a broader trend of deflationary pressure in the grocery sector.

Why this matters: A return to affordability

For millions of Americans, the soaring cost of groceries has been a painful reminder of the economic turmoil of recent years. Under the Biden-Harris administration, inflation spiked to a 40-year high, with food prices rising 23% since the onset of the COVID-19 pandemic. Families struggled to afford basics like eggs, milk and meat, while critics blamed the administration’s policies for exacerbating supply chain disruptions and energy costs. Now, with Trump’s election, the tide appears to be turning. The president-elect has long promised to tackle inflation and bring down grocery prices, citing increased energy production and supply chain improvements as key solutions. While Trump has acknowledged that lowering prices is “very hard,” the early signs are encouraging. “I think that energy is going to bring them down. I think a better supply chain is going to bring them down,” Trump told Time magazine in a recent interview. “The supply chain is still broken. It’s broken.”

A competitive market forces change

Target’s decision to slash prices permanently is not just a response to Trump’s policies—it’s a reflection of a competitive market adapting to new realities. Retailers are using data syndicators like IRI and Nielsen to monitor competitors’ pricing strategies. “We can see, for example, if Walmart is testing butter at $3.49 in 500 stores, then moves the test to 1,000 stores,” the insider explained. “That indicates they’re going to drop prices, and we would do the same to remain competitive.” This competitive pressure is a win for consumers, who are finally seeing relief at the checkout counter. And while some critics may dismiss Target as a “woke company,” the undeniable fact is that its actions are a direct response to the economic shifts brought about by Trump’s leadership.

A promising start to the Trump era

The permanent price reductions at Target are just the beginning. As Trump’s policies take hold—boosting energy production, streamlining supply chains and fostering a pro-business environment—Americans can expect more good news on the economic front. For those who doubted Trump’s ability to deliver on his promises, the evidence is clear: grocery prices are coming down, and the economy is on the mend. As one insider put it, “They are being forced to lower costs in the wake of a Trump administration.” This is what leadership looks like. This is the Trump effect in action. And for American families, it’s a welcome return to affordability. Sources include: Threadreader.com NBCNews.com ABCNews.com