Walmart became the latest retailer to say it will use tariff refunds to lower prices for shoppers.

During the retailer’s Aug. 20 earnings call, Chief Financial Officer John David Rainey said Walmart received $2.9 billion in tariff refunds. The money will be used for “a combination of rollbacks across food, general merchandise, consumables, fashion.”

“We know customers are looking for a variety of things across the basket,” he said.

Earlier this summer, Walmart also lowered the price of thousands of items at its stores and Sam’s Club, including staples such as beef.

Why Are Businesses Getting Tariff Refunds?

U.S. businesses began receiving refunds after the Supreme Court struck down tariffs imposed by the administration of President Donald Trump under the International Emergency Economic Powers Act, or IEEPA. Other tariffs remain in place.

A USA TODAY analysis in June examined more than 630 Securities and Exchange Commission filings that referenced the Supreme Court ruling and found at least 90 publicly traded companies were seeking tariff refunds.

Some companies, such as UPS, are giving refunds to customers who file claims. Amazon has announced that it will automatically credit a small number of customers whose purchases were affected by import tariffs. The retailer said it absorbed most tariff costs rather than passing them on to customers and would “utilize refunds to continue to invest in low prices for customers,” Amazon Chief Financial Officer Brian Olsavsky said during the retailer’s July 30 earnings call.

Target executives did not give specifics during their Aug. 19 earnings call about plans for the company’s tariff refunds, and Target did not respond to an inquiry from USA TODAY.

Lower Prices Keep Walmart Competitive

Neil Saunders, a retail analyst at the research and analytics firm GlobalData, said Walmart has not explicitly said where it will use its refunds. But he said the money is likely to go toward essential items, where price reductions could be meaningful to consumers and help Walmart maintain its competitiveness.

However, “this will help, but it’s not going to bring prices back to 2019 levels or create dramatic price reductions,” Saunders said.

Wider investments will include efforts such as improved stores, which Saunders said Walmart has been working on for a while.

Will Other Retailers Lower Prices?

Not all businesses and retailers have been as clear about how they will use refunds received from the government or whether consumers will benefit.

Some will invest in their businesses, Saunders said. Some will reduce prices, some may refund consumers directly, and others may simply take the money as profit.

“There is no universal response, as how retailers reacted to tariffs varied—not all simply passed them across to consumers in the form of higher prices,” he said.