U.S. Manufacturing | Supplier Inclusion | Make in India | Market Access for Smallholder Farmers & Small Producers
By sourcing products made, grown, or assembled in the U.S. and our American Lighthouses work, we seek to help grow business ecosystems across America.
U.S. Sourced Products
Walmart has a long history of supporting products made in, grown in, or sourced from America. More than two-thirds of Walmart U.S.’s total product spend in FY2023 was on items our suppliers reported were made, grown, or assembled in the United States. We have also committed to an incremental investment in products that support the creation of American jobs through our America at Work initiative:
- In FY2023, we satisfied the commitment to invest an incremental $250 billion over our FY2013 purchases on products made, grown, or assembled in the United States before 2023.
- In March 2021, Walmart committed to investing an incremental $350 billion over our FY2021 purchases on products made, grown, or assembled in the United States over ten years. As of the end of FY2023, we have increased cumulative U.S. receipts by $47 billion towards that goal.
We expect our commitment to U.S. manufacturing to catalyze the expansion of businesses across the country: we estimated that our most recent ten-year commitment has the potential to support more than 750,000 new jobs and avoid more than 100 million metric tons of emissions.2 For example, longtime Walmart supplier Classic Fashion announced a new California cut-and-sew apparel facility in October 2022. The facility is expected to create 125 jobs by 2023 and an additional 225 jobs over five years.
In June 2022 Walmart hosted our ninth annual Open Call for shelf-ready products made, grown, or assembled in the U.S. More than 1,100 small- and medium-sized enterprise (SME) owners from across the country pitched their products to Walmart U.S. and Sam's Club merchants. Preliminary results indicate that more than 330 of those pitches resulted in a deal for businesses to sell their items to Walmart customers through placement on Walmart or Sam’s Club shelves, online at Walmart.com or on Walmart’s Marketplace. Nearly 60% of business owners invited to Open Call in 2022 self-identified as diverse-owned; more than 40% of these diverse owned businesses continued discussions for potential deals.
For more tools and resources for suppliers, visit our Jobs in U.S. Manufacturing Portal (JUMP).
To support our own sourcing and the growth of U.S. manufacturing at large, Walmart launched a collaborative initiative called “American Lighthouses” in 2021 to identify and overcome top-down barriers to U.S. production. Through this initiative, we aim to foster collaborative ecosystems among local supplier communities with support from civil society, academia, government, and local economic development groups. Our focus is on five key supply chains: textiles, pharmaceutical and medical supplies, food processing, plastics, and motors and metals. Work underway as of FY2023 includes:
- Textiles: We formed a Textiles Lighthouse Advisory Board, comprised of experts from multiple fields and industries, to guide Walmart’s efforts to strengthen U.S. textiles manufacturing, create American jobs and bolster the domestic textiles supply chain, including through boosting circularity in U.S. Manufacturing.
- Pharmaceutical/Medical Supplies: Walmart joined the Alliance for Building Better Medicine, an initiative that seeks to create a pharmaceutical research, development, and manufacturing hub in the Richmond/Petersburg area of Virginia.
- Food production and processing: Seeking to spur the indoor vertical farming industry in the United States, in January 2022 Walmart entered into a sourcing agreement with Plenty to source leafy greens for Walmart's California stores. Walmart also made an equity investment in Plenty, making Walmart the first large U.S. retailer to significantly invest in vertical farming.
Supplier Inclusion Program
Walmart's Supplier Inclusion Program helps Walmart diversify and enhance our product offering to better meet customer needs while helping to foster equity and inclusion for suppliers. The program focuses on companies at least 51% owned, managed, and controlled by racial and ethnic minorities, women, veterans, members of the LGBTQ+ community, and people with disabilities, helping put them on equal footing to effectively work with us while at the same time growing their business. Our U.S. businesses sourced more than $13 billion in goods and services from approximately 2,400 diverse suppliers in FY2023.
While Walmart merchants make product sourcing decisions, they are supported by a Supplier Inclusion team and an internal Supplier Inclusion Advisory Council. The Supplier Inclusion team seeks out qualified diverse suppliers at business conferences, product and procurement fairs, expos, and similar events and fields incoming requests from suppliers interested in doing business with Walmart. The Council provides guidance and recommendations to Walmart merchant teams, the Supplier Inclusion team, and executive leadership on how to best engage and develop diverse suppliers.
Beyond sourcing, we support diverse suppliers and inclusive sourcing through the following:
- We partnered with C2FO to expand our early payment program to help diverse- and minority-owned suppliers increase their cash flow. The program accelerates payment of approved invoices to as little as within 48 hours of submission. From launch to the end of FY2023, the early payments program has provided financing for more than 300 diverse suppliers, issuing $1.8 billion in early payments.
- We built upon our Open Call concept by expanding our partnership with RangeMe/ECRM to launch a diverse-supplier submission link on our Supplier Inclusion home page. The link allows diverse suppliers to propose new products for sale at Walmart by submitting their products for review to our merchants and to receive real-time feedback through the technology-driven platform.
- In 2023, Walmart and Citi introduced Bridge built by CitiSM to Walmart suppliers. This platform will help improve access to capital for Walmart’s U.S. small and medium-sized and diverse supplier base through a network of over 70 lenders, including 20+ diverse financial institutions, driving financial inclusion for diverse businesses. Through a single loan request form, Walmart suppliers can interact with a broad group of lenders located across the United States. Once a request is submitted, the platform seamlessly connects suppliers with multiple potential lenders that can evaluate their requests.