By Connor Hart

Shares of Dollar Tree and Five Below tumbled after President Trump unveiled a sweeping new tariff plan that includes higher rates for nations the White House considers bad actors on trade.

Dollar Tree's stock price fell 10%, to $69.81, in after-hours trading, while Five Below's declined 12%, to $72. Through Wednesday's close, shares of Dollar Tree have tumbled 42% in the past year. Five Below's stock has lost half its value in the past year.

Both companies are heavily reliant upon trade.

"Among our foreign suppliers, China is the source of the majority of our direct imports," Dollar Tree said in its most recent annual filing with the Securities and Exchange Commission.

Tariffs against China, or other countries from which Dollar Tree imports goods, as well as retaliatory actions by such countries, "could impair our ability to meet customer demand and could result in lost sales, an increase in our cost of merchandise or other adverse impacts on our operations," the company said.

Under Trump's new trade plan, duties will be 34% on China, effective April 9.

Five Below additionally manufactures a significant portion of its merchandise outside of the U.S., with China as its single largest source of direct imports.

Tariffs "could have a material adverse effect on our business, financial condition and results of future operations," the company said in a recent SEC filing.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

April 02, 2025 17:53 ET (21:53 GMT)

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