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White House Criticizes Amazon's Plan to Display Tariff Costs

George Cranston profile image
by George Cranston
White House Criticizes Amazon's Plan to Display Tariff Costs

The White House strongly criticized Amazon on Tuesday over reports that the online retail giant plans to display Trump administration tariff costs alongside product prices on its website. "This is hostile and political act by Amazon," White House press secretary Karoline Leavitt told reporters during a press briefing.

Leavitt questioned Amazon's motives, asking why the company hadn't taken similar action during the previous administration. "Why didn't Amazon do this when the Biden administration hiked inflation to the highest level in 40 years?" She also urged consumers to "buy American" in response to Amazon's decision.

Amazon shares fell more than 2% in premarket trading following these comments. The company did not provide an immediate response when contacted by CNBC for comment on the matter.

According to Punchbowl News, which first reported the story Tuesday morning, Amazon intends to show consumers exactly how much of a product's cost results from tariffs. This amount will appear next to the total listed price of each item, according to a person familiar with the plan.

During the press briefing, a reporter asked if the administration agreed that Amazon's move showed that American consumers, not China, would bear the cost of tariff policies. Leavitt responded that she had "just got off the phone with the president about Amazon's announcement."

Amazon isn't the first retailer to highlight tariff impacts. China-based companies Shein and Temu have recently added substantial surcharges to their prices. Temu now includes an "import charge" line on checkout pages that adds approximately 145% to each item's cost.

The public dispute may signal growing tension between Trump and Amazon founder Jeff Bezos, despite recent attempts at reconciliation. Amazon donated $1 million to Trump's inaugural fund in December, and Bezos faced criticism for reportedly restricting the Washington Post's opinion section to publishing only pieces supporting "personal liberties and free markets."

The tensions come as Amazon pursues its ambitious Project Kuiper satellite internet initiative. The company will launch its first 27 satellites on April 9 from Cape Canaveral, aiming to compete with Elon Musk's Starlink. The service promises speeds up to 100Mbps with compact dishes priced under $400, with plans for a 3,200-satellite constellation.

George Cranston profile image
by George Cranston

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