Tensions between the White House and Amazon escalated on Tuesday after reports emerged that the e-commerce giant plans to inform customers how much President Donald Trump’s tariffs are increasing product prices.
The move has drawn a sharp response from the Biden administration, which labeled it as politically charged and retaliatory.
“This is a hostile and political act by Amazon,” said White House Press Secretary Karoline Leavitt during a briefing in Washington. She questioned the timing of the initiative, asking, “Why didn’t Amazon do this when the Biden administration hiked inflation to the highest level in 40 years?”
The comments came in response to a Punchbowl News report citing an insider familiar with Amazon’s plans. According to the report, Amazon will soon begin displaying the specific tariff costs tied to Trump’s new trade policies on individual product listings.
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Since returning to office in January, President Trump has implemented a sweeping 10% baseline tariff on most imported goods, alongside higher duties on select countries and sectors. However, many of the elevated tariffs have been temporarily suspended for 90 days to allow room for trade negotiations.
These actions have been accompanied by additional tariffs specifically targeting Chinese goods, prompting Beijing to retaliate with its own levies on American imports.
The tit-for-tat escalation has injected significant uncertainty into global markets, triggering increased volatility not seen since the early days of the COVID-19 pandemic.
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The impact of Trump’s tariff strategy is already reverberating through U.S. businesses. On Tuesday, package delivery giant UPS announced plans to cut 20,000 jobs globally in 2025, citing a significant decline in shipments from Amazon — its largest customer.
UPS CEO Carol Tomé said the company, which employed nearly half a million people by the end of 2024, must “reconfigure” operations to adjust to a rapidly shifting trade environment.
While Amazon has yet to publicly comment on the reports, its potential move to highlight tariff-related price increases could set a precedent in e-commerce transparency — and significantly influence public perception of trade policy impacts.
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