California Alleges Amazon Forced Walmart to Boost Online Prices on Khakis

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California AG alleges Amazon coerced Walmart to raise online prices on products like Levi’s khakis under threat of promotional penalties in a broader price-fixing scheme. Walmart declined to comment but insists it works to keep prices low as a preliminary injunction hearing looms in July.

1. Alleged Pressure on Retailers

The filing states Amazon demanded vendors, including Walmart, raise prices on their websites or face penalties such as promotional restrictions or product removal. Example cited Levi’s khaki pants, where Amazon flagged lower Walmart.com prices and requested an increase to $29.99.

2. Walmart's Response

A Walmart spokesperson said the company does not comment on litigation where it is not a party and emphasized its ongoing efforts to keep prices low for customers despite the allegations.

3. Legal Proceedings and Next Steps

Attorney General Rob Bonta has asked the court for an immediate halt to the practices ahead of a trial next year. A hearing on the motion for a preliminary injunction is scheduled for July.

Sources

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