Costco chief finance officer Richard Galanti has spoken out to allay fears that a price war has developed with rival Sam's Club.
Costco and Sam's Club have long been rivals, but there have been signs lately that competition between the two has become much stiffer.
Galanti said: 'One of the things that rocked the boat a bit (recently) call is the concern that there might be a price war brewing.
'We consider Sam's Club to be healthy competition - perhaps a little stronger than in the past.'
However, he said Costco chief executive Jim Sinegal had admitted that intensifying competition between the two companies was 'half us and half them.'
Costco has been focusing on introducing a greater range of own-brand product over the past two years to increase margins, as well as continuing an ambitious expansion programme.
Sinegal said the UK expansion would continue at about two or three stores a year.