Amazon Not a Big Winner with Trump Tariffs

Based on its stock performance last week, Amazon doesn’t appear to be a beneficiary of President Donald Trump’s new tariffs, Danielle Chemtob reported for Forbes Daily.

Amazon’s strong financial position, with a 9% profit margin in 2024, gives it flexibility in how it responds. I Photo: soumit Flickr

However, the retail giant may still hold a competitive edge thanks to several strategic options: it could raise prices for consumers, reduce already-thin margins for its suppliers, or absorb the added costs itself.

Amazon’s strong financial position, with a 9% profit margin in 2024, gives it flexibility in how it responds.

Another potential upside for Amazon is Trump’s move to close the “de minimis” trade loophole.

The change is expected to hit foreign e-commerce rivals Shein and Temu harder, as they’ve been shipping tax-free packages to the U.S. by declaring them under the $800 value threshold.