TORONTO — Walmart Canada has announced plans for a substantial investment of $6.5 billion over the next five years, marking the largest capital allocation for its Canadian operations since entering the market nearly 30 years ago. This ambitious expansion initiative will include the launch of dozens of new stores across the country, beginning with five new supercenters expected to open by 2027.
The retailer's development strategy highlights specific locations, including new stores set to open later this year in Port Credit and Oakville, Ontario. Notably, the Port Credit store is scheduled to launch during the summer of 2025, followed by the Oakville supercenter at Hopedale Mall later the same year.
Walmart will also establish three additional supercenters in Alberta—specifically, Calgary, Edmonton, and Fort McMurray—by 2027, signaling its intent to significantly expand its footprint and accessibility to customers throughout the province. Alongside these new storefronts, Walmart plans to modernize and upgrade its distribution infrastructure, with the Vaughan distribution center expected to begin operations by spring 2025. Company officials describe this facility as their "most advanced."
According to Joe Schrauder, Walmart Canada's chief operations officer, the investment aims to refine and expand their offerings both online and at physical retail locations. Schrauder stated, "Across the country, we’re making strategic investments in our online and in-store offerings to be more relevant to more customers than ever before." This strategy aligns with the broader retail industry trend, as competitors like Target are also ramping up their expansion efforts.
Walmart Canada's move to diversify its services includes the sale of its fleet service to Canada Cartage, which specializes in transportation and logistics. This decision, according to company representatives, is expected to streamline its supply chain efficiency. Notably, no employees from the fleet service will lose their jobs as part of this transition; Canada Cartage has committed to retaining the existing workforce.
Gui Loureiro, Walmart Canada's regional CEO, echoed the company's commitment to enhancing customer experiences with the expansion. He remarked, "Walmart Canada is on an ambitious growth Journey to serve even more Canadians -better and differently than ever before. This $6.5 billion investment is the largest we’ve made in Canada since we first arrived here 30 years ago."
The retailer's expansion also follows competitive dynamics, considering Walmart’s strategy to open 150 new stores across the United States. Creating additional physical stores aligns with increasing consumer preferences for convenient shopping options, including curbside and free delivery services, which have surged during the pandemic.
Currently, Walmart Canada operates over 400 locations nationwide, employing more than 100,000 staff members. This planned growth responds not only to competitive pressures but also to shifting consumer demands for more integrated shopping experiences. This includes improvements to both their online and offline sales channels.
Walmart is also prioritizing employee welfare by raising wages for hourly retail workers and frontline associates, reflecting the company's dedication to its workforce amid recognized labor challenges. The recent wage adjustments affect approximately 40,000 workers, showcasing Walmart’s response to the broader economic environment, ensuring its employees are adequately compensated.
Looking forward, this expansion serves as both a response to current market demands and a proactive measure to prepare for future growth. Walmart aims to modernize its infrastructure and offer enhanced services, aligning with changing shopping habits and the digital transformation of retail commerce.
This substantial investment by Walmart Canada not only signifies the company's long-term commitment to the Canadian market but is also expected to have widespread positive effects on local economies, providing new jobs and improving access to goods and services for customers across the nation.
With efforts like this, Walmart is positioning itself not just as a grocery supplier but as a pivotal player reshaping the retail sector, driven by convenience and customer satisfaction.