Due to Trump’s tariffs, several American Amazon vendors decide not to participate in Prime Day
Some third-party merchants that previously sold products made in China during Amazon’s main shopping event in July will either refrain this year or reduce the amount of discounted products they offer.
The planned withdrawal, which had not previously been reported, is a way for sellers to protect their profit margins amid the U.S.-China trade war sparked by high tariffs imposed by U.S. President Donald Trump on Chinese goods, according to four merchants and six consultants who collectively advise hundreds of Amazon sellers.
Steve Green is one of them; he sells bikes from China for $230 and scooters for $60 on Amazon. For the first time since 2020, Green said, he will not be attending Prime Day.
Before Trump’s tariffs took effect on April 9, he imported goods, which he is now holding back to sell at full price. He claimed that newly imported goods will become «unaffordable» due to China’s 145% taxes, which will more than treble their price.
Prime Day was traditionally one of the most important shopping events of the year for Amazon, following Black Friday and Cyber Monday, respectively. And while participation is optional, Amazon invests millions in promoting Prime Day on television and social media ads, informing sellers that they will benefit from a halo effect by introducing their products to a wider audience of shoppers. Amazon has about 200 million Prime subscribers worldwide.
Tariffs on sellers’ products are putting Amazon in an awkward position for Prime Day, said Arun Sundaram, an analyst at CFRA Research.
