Retailer Denies Intent to Show Import Charges on Main Site, Citing Misunderstanding

SEATTLE – Amazon has reversed course on a reported plan to display the cost of U.S. tariffs on its product listings, following sharp criticism from the White House and a direct call from President Donald Trump to Amazon founder Jeff Bezos. The decision, announced Tuesday, April 29, 2025, came after a day of intense speculation and political backlash sparked by a report suggesting the e-commerce giant would highlight tariff-related price increases.

The controversy began when Punchbowl News reported early Tuesday, citing an anonymous source, that Amazon intended to show “how much of an item’s cost is derived from tariffs — right next to the product’s total listed price.” The report suggested this move would make transparent the impact of President Trump’s recently imposed tariffs, which include a 145% levy on Chinese imports and a 10% duty on goods from other countries. These tariffs, part of Trump’s trade policy since re-entering office in January, have driven up costs for retailers and consumers alike.

White House Press Secretary Karoline Leavitt quickly condemned the reported plan as a “hostile and political act,” accusing Amazon of undermining the administration’s narrative that tariffs would not significantly burden American consumers. Leavitt also suggested, without evidence, that Amazon had “partnered with a Chinese propaganda arm,” escalating the rhetoric. A senior White House official later confirmed to NBC News that Trump personally called Bezos to express his displeasure, a conversation first reported by CNN.

Amazon swiftly denied the report, clarifying that no such plan was in place for its main website. In a statement, the company said its low-cost Amazon Haul unit, designed to compete with budget Chinese retailers like Temu and Shein, had briefly considered listing import charges but abandoned the idea. “This was never approved and is not going to happen,” an Amazon spokesperson told CNBC, emphasizing that the company had no intention of displaying tariff costs on its primary e-commerce platform.

The reversal comes amid heightened tensions over Trump’s tariff policies, which economists warn are inflationary and likely to raise consumer prices. Data from MoffettNathanson Research indicates that Amazon prices on a sample of 50 products rose 4.2% in the three weeks following Trump’s April 2 “Liberation Day” tariff announcement. Retailers like Temu and Shein have already implemented price hikes of up to 377% due to the end of the de minimis exemption, which previously allowed tariff-free imports under $800.

Amazon’s decision to back away from tariff transparency may reflect a strategic move to avoid further antagonizing the Trump administration. Jeff Bezos, who attended Trump’s inauguration in January, has publicly expressed optimism about the president’s second term, signaling a desire to maintain cordial relations. The company’s stock, trading around $187 on Tuesday, faces pressure from tariff-driven cost increases, with UBS analysts predicting “some level of tariff-driven demand destruction” in Amazon’s businesses.

Retail analysts suggest Amazon’s retreat could have broader implications. “Amazon is caught in the middle of a political and economic storm,” said Michael Morton of MoffettNathanson. “They either absorb tariff costs and hurt margins or pass them on and risk losing market share to competitors.” Other retailers, like Walmart, have confirmed tariff-related price increases but are also avoiding itemizing these costs, likely to sidestep similar political fallout.

As the tariff debate continues, consumers are left with less clarity about the true drivers of rising prices. Posts on X reflected mixed sentiment, with some users praising Amazon’s decision to avoid politicizing its platform, while others expressed frustration over the lack of transparency. “I want to know what I’m paying for,” one user wrote, echoing a broader call for retailers to disclose tariff impacts.

Amazon’s next steps remain uncertain as it prepares to report quarterly results on Thursday, April 30, 2025. Investors and analysts will be watching closely for commentary on how tariffs are affecting the company’s e-commerce, cloud computing, and advertising sectors. For now, the retail giant appears focused on navigating the tariff storm without drawing further ire from Washington.