Amazon pushes suppliers for cuts ahead of Supreme Court tariff ruling: FT
AMAZON is seeking to cut what it pays suppliers for goods it sells on its e-commerce platform, as the tech giant moves to reverse concessions intended to limit the shock of US President Donald Trump’s tariffs, the Financial Times reported on Tuesday.
The company has sought discounts from suppliers ranging from low single digits to as high as 30 per cent, the report said, citing several vendor consultants.
Amazon did not immediately respond to a Reuters request for comment.
The world’s largest e-commerce platform had accelerated talks with some suppliers by several weeks and in individual cases had sought to impose a Jan 1 deadline, the report added.
Last year, Amazon agreed to raise the price it paid to some suppliers for tariffed goods in return for them guaranteeing minimum margins. The company sells goods directly and hosts third-party retailers, who account for more than 60 per cent of sales on its platform, FT said.
The US Supreme Court said last week it would issue its next rulings on Jan 14 as several major cases remain pending, including the legality of Trump’s sweeping global tariffs.
The administration faces the possibility of having to refund nearly US$150 billion paid in tariffs to importers if the court declares that the sweeping duties Trump has imposed under the International Emergency Economic Powers Act are illegal. REUTERS
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