NEW YORK CITY, New York: This week, the U.S. Federal Trade Commission (FTC) dropped its lawsuit against PepsiCo, which had accused the company of giving Walmart better prices than other stores.

The case claimed this was unfair and violated the Robinson-Patman Act, which hasn’t been used much in recent years.

The case was filed in New York on January 17, just before President Donald Trump took office. Current FTC Chairman Andrew Ferguson criticized former Chair Lina Khan for rushing the case, saying, “Taxpayer dollars should not be used for legally questionable political stunts.”

PepsiCo said it always offers fair and competitive prices, discounts, and promotions to all customers. Walmart has not commented yet.

The FTC had argued that PepsiCo’s pricing gave Walmart an unfair advantage and hurt other stores—both big grocery chains and small convenience shops—leading to higher prices for shoppers.

Khan posted on social media platform X that the dismissal of the case was “a gift to giant retailers as they gear up to hike prices. “