Photo Courtesy of Adobe Stock
Photo Courtesy of Adobe Stock

Home Depot CEO Craig Menear said the company is hoping to minimize the impact potential tariffs have on prices by cutting costs elsewhere in the supply chain, CNBC reports. The company also makes around 70% of its goods domestically, which also could lessen the effects of potential tariffs, according to Menear.

“Some of it has to get passed through,” Menear said, but added that it was too early to know exactly where the impact would land. “There’s always ways — when you look at the entire value chain between the supplier all the way through our operations — ... to be able to offset these costs,” he said.

Menear also said the recent drop in the price of lumber continues to put pressure on the home improvement retailer, but that demand has picked up with the improving summer weather. He said the company’s professional contractors are busy and booked whenever he calls the stores.

Consumers are also spending more on remodeling and home maintenance as the nation’s housing supply ages, he said, adding that 52% of the housing stock in the U.S. is 40 years or older.

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