The Albertsons tells suppliers to eat the tariff costs. “We’re not accepting increased costs.”

• Grocery Chain Albertsons We take a hardline approach to tariffsA letter from the company’s merchandising director told suppliers they would not accept price increases. “We are not accepting rising costs,” the letter states. It then writes about the multi-part approval process for a supplier that has been hit by tax.

One of America’s largest supermarket chains is to tell suppliers that due to increased tariffs, they have to eat cost hikes.

The Albertsons, who owns 2,200 grocery stores across the United States, wrote in late March to a supplier writing about how to handle price increases.

“With a few exceptions, Not accepting increased costs I read the words “for customs duties” (original emphasis).

“The suppliers are Invoices are not permitted to include customs related expenses Without prior approval by Albertsons Companies,” he added, “an invoice containing such a claim without prior permission will be subject to dispute and may result in delays in payment.”

The second-largest grocery store in the United States explained that the policy “derives from its commitment to maintaining the value it expects.

Instead, the tariff-stricken supplier is forced to go through a multi-stage process to “request a cost change” for the goods they supply to the Albertsons, as they provide 90-day advance notice. They must fill out the cost change form, provide a “detailed explanation of the impact of the customs duties”, and hand over support documents such as tariff notifications and import customs receipts.

Once all documents are submitted, the supplier will have to wait another 30 days for the Albertsons to review. And even so, approval is “not guaranteed,” the letter states.

The Albertsons did not respond to requests for comment on the letter.

The missile highlights one of the many tactics retailers use to avoid the Trump administration’s biggest tariffs on many imports.

After President Donald Trump imposes a surprising tariff on China in late February, Walmart They reportedly tried similar pressure tactics to Chinese suppliers and reportedly asked them Major price reductionsIn some cases, 10%, according to Bloomberg. However, price cuts are a non-starter for some suppliers, and their margin could be less than 2%, the outlet reported, and Chinese officials quickly launched their own Pressure Campaign at Walmart.

meanwhile, Amazon They are also trying to renegotiate some of their orders to keep prices low, CNBC It has been reported. CEO Andy Jussy told the outlet Sellers on the platform may try to pass higher costs to consumers, adding, “I understand why.”

Trump’s tariffs have shaken the market and sent consumer sentiment down as shoppers are widely expected Price hiking As a result of the highest taxes on foreign trade in almost a century.

But the Albertsons response is a sign that the chain is wielding market forces like a hug against detractors, forcing small suppliers to bend over their will.

In tariffs, “If the costs of many items rise sharply and the suppliers cannot cover these increases, the suppliers will go out of business,” said Matt Stoller, head of research and director of research at the American Economic Freedom Project. I wrote it Calling the Albertsons on Thursday calls for “absurdness.”

David Dayen, Executive Editor of Progressive Magazine America’s outlook, Who first discovered the letter was put it as a sign that large corporations could freely take over price increases.

“Grocery suppliers that are procured or manufactured overseas are clearly owing the costs for their products, but such hardballs mean they have to compensate for losses with other retailers,” Dayen I wrote it.

Similar dynamics came during the supply chain shortage encouraged by the covid pandemic, as large grocery chains exploited the disruptions to raise prices and impose stricter requirements on suppliers. Report.

The Albertsons have thousands of locations, mostly in the western United States and owns brands such as Vons, Safeway, Acme, Shaw’s and Randalls. The size is second Croger. The two chains attempted the largest merger in industry history in 2022, but were trading at $24.6 billion. It’s falling apart After multiple legal challenges.

This story was originally introduced Fortune.com