White House calls Amazon showing tariff-related pricing changes a 'hostile and political act'

Yahoo Finance
29 Apr

Amazon (AMZN) appears to have gotten itself on the wrong side of the Trump administration over a report that the e-commerce giant will begin showing tariff-related price increases on its website next to a product's cost.

When asked about the news, which was first reported by Punchbowl News, on Tuesday, Press Secretary Karoline Leavitt called it "a hostile and political act."

Shares of Amazon were off more than 1% in early trading.

On Monday, Reuters reported that some Amazon merchants were planning to pare back their participation in the company's Prime Day even this summer as a result of tariff uncertainty. 

"Why didn't Amazon do this when the Biden administration hiked inflation to the highest level in 40 years?" Leavitt said. "And I would also add that it's not a surprise because, as Reuters recently wrote, Amazon has partnered with a Chinese propaganda arm." 

It's not clear which report Leavitt was referring to, but a 2021 report from Reuters said Amazon partnered with China's propaganda arm to sell some publications on its US site. 

Guests including Mark Zuckerberg, Jeff Bezos, Sundar Pichai and Elon Musk, arrive before the 60th Presidential Inauguration in the Rotunda of the U.S. Capitol in Washington, Monday, Jan. 20, 2025. (AP Photo/Julia Demaree Nikhinson, Pool)
ASSOCIATED PRESS

"So this is another reason why Americans should buy American," Leavitt added. 

"It's another reason why we are onshoring critical supply chains here at home to shore up our own critical supply chain and boost our own manufacturing here."

Amazon didn't respond to a request for comment by press time.

Speaking earlier this month on CNBC, Amazon CEO Andy Jassy said when asked about tariffs, "We’re going to try and do everything we can to keep prices as low as possible for customers."

Asked about the company's contact with the Trump administration, Jassy said, "We [talk] to the administration all the time."

"We share with them different ... things that we think matter to consumers, things that we would think matter to enterprises... [We] have some conversations about tariffs as well. And we share what some of the concerns are and they’re aware of them."

Amazon is set to report its quarterly results after the bell on Thursday, and analysts and investors are expecting to hear more from Jassy about how the company is working through the impact of both tariffs and the Trump administration's changes to the de minimis exemption.

The de minimis exemption lets companies ship items under $800 to the US without having to pay a duty.

Trump had an acrimonious relationship with Amazon founder Jeff Bezos during his first term in office frequently criticizing Bezos over The Washington Post's coverage of him. Bezos owns The Washington Post.

Bezos has since met with Trump and attended his inauguration alongside Alphabet (GOOG, GOOGL) CEO Sundary Pichai, Apple (AAPL) CEO Tim Cook, Meta (META) CEO Mark Zuckerberg, and Tesla (TSLA) CEO Elon Musk. Amazon also donated $1 million to Trump's inauguration fund.

Sign up for Yahoo Finance's Week in Tech newsletter.
yahoofinance

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10