Retail sales rose 0.5% in July as consumers increased their purchases despite growing tariff pressures across the industry. American shoppers now face an average tax of 18.6% on imported goods, the highest level since 1933, following new tariffs that took effect in August 2025.
As input costs continue to climb, discount retailers have come under close watch. On Aug. 28, Dollar General’s (DG) stock dropped 1.32% after its second-quarter earnings report warned of margin pressures caused by tariffs. Even with a notable 9.4% rise in earnings per share, a market capitalization of $23.93 billion, and a steady 2.17% dividend yield, CEO Todd Vasos noted that tariffs have already led to some price increases. This highlights the challenging balance between keeping prices affordable and managing higher import costs.
