Chinese sellers on Amazon’s marketplace are weighing whether to hike prices in the U.S. or leave the market entirely due to President Donald Trump’s tariffs on China.
The head of the Shenzhen Cross Border E-commerce Association, Wang Xin, told Reuters that it will be “very hard for anyone to survive in the U.S. market,” calling Trump’s tariff plan an “unprecedented blow.”
The Shenzhen Cross Border E-commerce Association represents 3,000 Amazon sellers.
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Amazon declined to comment.
On Wednesday, Trump raised tariffs on Chinese imports to 125% in direct response to China boosting tariffs on American goods to 84%. That hike took effect immediately due to Beijing’s “lack of respect,” Trump posted on Truth Social.
Trump simultaneously gave all other nations a brief reprieve, announcing that reciprocal tariffs on other countries would be paused for 90 days, during which the tariff rate for all U.S. imports would be 10%.
Amazon’s marketplace is largely occupied by Chinese-based sellers, which increased their market share to more than 50% in 2024, according to Marketplace Pulse research. More than half of the top sellers on the platform are Chinese sellers.
Some Chinese sellers told Reuters they were planning to up their prices and two others are looking to find new markets.
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One of them, Dave Fong, who sells a range of products including school supplies and speakers, has already raised prices by up to 30%, and plans to reduce his investment in the U.S.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AMZN | AMAZON.COM INC. | 181.22 | -9.88 | -5.17% |
“For us and anyone else, you can’t rely on the U.S. market, that’s quite clear,” Fong told the outlet. “We have to reduce investment, and put more resources into regions like Europe, Canada, Mexico and the rest of the world.”
Brian Miller, who has sold on Amazon from Shenzhen for seven years, said he did not see a reason to develop new products in the current environment and anticipated he and other sellers would need to raise prices steeply when current inventories run out in one or two months.
Building blocks for children that sell on Amazon for $20 that cost his company $3 to produce would now cost $7 including the tariff. Maintaining margins would require raising the price by at least 20%, and prices for higher-cost toys might see 50% increases, he said.
Reuters contributed to this report.
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