Amazon clarified on Tuesday that it will not display tariff-related price adjustments on its main platform, following a whirlwind of criticism from the U.S. White House. The company acknowledged exploring the idea for its budget-focused Haul section, which specializes in low-cost China-made goods, but ultimately scrapped the plan.
The controversy erupted after Punchbowl News reported that Amazon planned to itemize tariffs imposed during the Trump administration alongside product prices. White House Press Secretary Karoline Leavitt labeled the reported strategy a "hostile and political act," triggering a brief 2% drop in Amazon's stock. Leavitt urged consumers to "buy American" during a press briefing with U.S. Treasury Secretary Scott Bessent.
Former President Donald Trump reportedly contacted Amazon founder Jeff Bezos directly about the issue. Trump later told reporters, "Jeff Bezos solved the problem very quickly. He did the right thing."
The incident highlights growing tensions between businesses and policymakers as U.S. tariffs on Chinese goods have surged by 145% since 2017. Retailers like Best Buy have warned that mounting trade costs threaten supply chains and product availability.
While Amazon's main platform avoided tariff labeling, the episode underscores corporate struggles to navigate shifting trade policies ahead of November's U.S. elections, with analysts predicting further market volatility.
