Amazon Sellers Raise Prices After Trump’s China Tariff: ‘It’s Unsustainable’
Amazon sellers are facing mounting challenges as they grapple with President Trump’s new tariffs on Chinese goods, forcing many to hike prices on popular items. The price increases are hitting everything from kitchen appliances to clothing, jewelry, and electronics, as sellers cope with rising import costs. According to SmartScout data, approximately 25% of the recent price hikes have come from sellers based in China.
Amazon’s third-party marketplace, which accounts for about 60% of the company’s online sales, has been significantly impacted by the ongoing trade war with China. Many sellers, particularly those based in China or reliant on Chinese suppliers, now face the difficult choice of either absorbing the additional costs or passing them on to consumers. This has placed tremendous pressure on sellers who already operate with slim margins, navigating increased costs from storage, fulfillment, and advertising fees.
Despite the price hikes, Amazon downplayed the impact, stating in a statement to CNBC that the price changes observed were “sensationalized” and affected only a small fraction of their offerings. The company emphasized that price fluctuations remain consistent with typical patterns.
However, as the trade war continues to disrupt supply chains, the financial strain on Amazon sellers remains palpable, with many questioning the sustainability of these new cost burdens. As the situation evolves, it seems clear that both sellers and consumers will continue to feel the ripple effects of the tariff conflict for some time.