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Amazon Gives Americans the Worst News After the Latest Rumors Are Confirmed
Amazon assumes a price increase in the United States following recent events
Amazon is preparing for a price increase on its platform due to new trade policies imposed by Donald Trump. Starting February 1, the United States government has applied a 10% tariff on products imported from China.
Additionally, it has eliminated the "de minimis" exemption, which allowed tax-free entry for packages under $800. This directly affects Amazon sellers who rely on Chinese suppliers to keep prices low.
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Now, companies importing from China will have to pay higher taxes and comply with stricter customs controls. These changes will increase operating costs, which could translate into higher prices for consumers.
How It Will Affect Amazon Sellers
Many of the items sold on Amazon come from China. From tech accessories to home goods, a large part of the platform's catalog depends on Chinese imports.
With the new tariffs, sellers bringing merchandise from China will face higher costs. To remain competitive, they will have to decide between reducing their profit margin or passing the increase on to consumers.
"I knew costs were going to rise, and these tools are made in China," explained Jay Salaytah. He is the owner of an auto repair shop in Detroit. Faced with the price increase, he decided to buy before the tax took effect.
More Controls, More Shipping Delays
The end of the "de minimis" exemption not only implies higher costs but also more customs inspections. This will make packages take longer to reach Amazon warehouses.
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"Most of these orders are valued at less than $800, so almost all will be affected," stated Youssef Squali, an analyst at Truist Financial.
Sellers will now have to deal with more rigorous customs processes, which could cause shipping delays and affect the availability of certain products.
The Impact on Amazon Prices
According to Juozas Kaziukenas, founder of Marketplace Pulse, price increases on Amazon will be inevitable. Although some sellers will try to absorb part of the cost, many will pass the impact on to consumers.
An increase of between 5% and 10% is expected, depending on the type of item and its reliance on Chinese suppliers.
Squali also highlighted that small sellers will be the most affected, as they do not have the same negotiating power as large brands.
The Future of Commerce on Amazon
These measures aim to reduce the United States' dependence on goods purchased from China. However, in the short term, consumers may notice higher prices and longer delivery times.
Amazon will have to adapt to this new reality while its sellers seek strategies to minimize the impact. What is certain is that shoppers will have to prepare to spend more on many of the products they used to buy at low prices.
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