Following reports that Amazon was considering showing the cost impact of trade tariffs to buyers, U.S. President Donald Trump reached out to Amazon founder Jeff Bezos.
Amazon had explored the possibility of reflecting tariff costs on its budget-friendly platform, Amazon Haul, which launched in the U.S. last year to compete with rivals like Shein and Temu.
However, the company clarified that it ultimately opted against the move, and the idea was never intended for its primary shopping platform.
The White House’s firm reaction to the report highlights the pressure it’s facing over recently imposed import taxes. Experts warn these taxes could lead to consumer price increases and a heightened risk of economic slowdown.
During a press briefing on Tuesday, marking Trump’s 100th day back in office, Press Secretary Karoline Leavitt said she had reviewed the Amazon matter with the president and claimed it was “another reason why Americans should buy American.”
“This is a hostile and political act by Amazon,” she said. “Why didn’t Amazon do this when the Biden administration hiked inflation to the highest level in 40 years?”
Since resuming office in January, Trump has escalated tariffs, defending the move as a strategy to bolster domestic manufacturing and boost U.S. revenue.
Despite softening some earlier proposals this month, many foreign-made goods are now subject to minimum duties of 10%, with Chinese imports in particular facing tariffs starting at 145%.
These developments have led to a notable decline in trade between China and the U.S., sparking concern over potential product shortages, from strollers to umbrellas—categories where China is a key exporter.
In response, some companies have begun alerting customers about increased costs. Platforms like Shein and Temu, which ship directly from Chinese producers, have already announced price increases.
Data indicates that around half of the vendors selling on Amazon’s U.S. site are based in China.
When questioned, Amazon representative Tim Doyle verified that such a plan had been reviewed for Amazon Haul.
“This was never approved and is not going to happen,” he said.
An insider with knowledge of the matter noted the conversation began when the U.S. ended a tariff exemption for Chinese shipments valued under $800.
According to the source, Amazon’s decision not to go ahead with the plan had nothing to do with the White House’s remarks earlier that day.
But asked by reporters about his call with Mr Bezos, Trump said the billionaire, who stepped down as chief executive in 2021, had “solved the problem”.
“Jeff Bezos was very nice. He was terrific. He solved the problem very quickly. He did the right thing. He’s a good guy,” he said.
Amazon had been one of several companies to contribute funds to Trump’s inauguration, with Mr. Bezos receiving a place of honor at the ceremony.
Following the 2016 election, Mr. Bezos—also the owner of The Washington Post—met with Trump and supported efforts to ease regulations and cut taxes.
Despite that, their interactions over the years have often been marked by friction.
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