*
Amazon ( AMZN ) says it considered tariff list on Haul, rejected
the idea
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Company denies any plan for tariff notes on main Amazon ( AMZN )
site
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Share prices initially drop 2%, partially recover
(Adds post from Taylor Greene in paragraph 10 and Trump quote
in paragraph 13)
By David Shepardson and Greg Bensinger
WASHINGTON, April 29 (Reuters) - Amazon ( AMZN ) said on Tuesday
its low-cost Haul unit had considered listing import charges for
goods in light of new U.S. tariffs but denied looking at such a
plan for its main website, after the White House accused it of a
hostile political act.
The Seattle retailer spent a chaotic morning denying a
report from Punchbowl News that it planned to display prices
showing tariffs' impact on Amazon.com ( AMZN ). It acknowledged it had
considered it for certain inexpensive China-made products on
Haul but then rejected the idea.
The confusion initially prompted a 2% drop in Amazon ( AMZN )
shares after White House press secretary Karoline Leavitt called
the reported pricing plan "a hostile and political act by
Amazon ( AMZN )." Amazon ( AMZN ) denied the initial story .
The company said its smaller Haul division, which competes
for low-cost buyers with Temu and Shein, had mulled displaying
import levies. "The team that runs our ultra low cost Amazon
Haul store considered the idea of listing import charges on
certain products. This was never approved and (is) not going to
happen," a company spokesperson said, adding that "teams discuss
ideas all the time."
Amazon ( AMZN ) shares settled and were down less than 1% in
afternoon trading.
President Donald Trump has imposed a tsunami of tariffs on
U.S. trading partners, including China which has seen tariff
costs rise by 145% since Trump took office, sending many
corporations scrambling. Trump called Amazon ( AMZN ) founder and
executive chairman Jeff Bezos to complain about the Punchbowl
News report, a White House official said.
Automakers and others have said new tariffs could
drastically hike the cost of consumer goods.
Amazon's ( AMZN ) Haul site, which debuted in November, is
particularly susceptible to tariffs because it is dependent on
goods shipped directly from China, similar to popular low-cost
site Temu. In exchange for lower prices, customers face longer
shipping times.
Trump this month signed an executive order that closes a
trade loophole known as "de minimis" that has allowed low-value
packages from China and Hong Kong to enter the United States
free of duties. The order takes effect on May 2.
U.S. Representative Marjorie Taylor Greene, a Trump
ally, jumped into the fray. "Ahhh come on Amazon ( AMZN )!!," she posted
on X. "I was getting so excited about the Amazon ( AMZN ) tariff tracker
so I could avoid buying anything from China!!"
Reuters reported on Monday that some third-party merchants
who previously sold China-made goods during Amazon's ( AMZN ) premier
July Prime Day shopping event are sitting it out this year or
reducing the amount of discounted merchandise they offer.
The company on Tuesday announced the return of Prime Day
this year, but did not provide specific dates, a departure from
prior announcements.
Trump was a frequent critic of Bezos during the
Republican's first term, particularly over what he said was
unfair coverage by The Washington Post, which Bezos owns.
Bezos and Amazon ( AMZN ) have appeared to try to reconcile with
Trump including by buying a documentary about first lady Melania
Trump for $40 million, contributing to the president's inaugural
fund and showing episodes of Trump's reality show The Apprentice
on Prime Video.
The strategy to remain in the White House's good graces
seemed to have been working. In a March interview with The
Atlantic that was published Friday, Trump said of Bezos, "He's
100 percent. He's been great."
But Leavitt on Tuesday cited a 2021 report by Reuters
that the tech company had partnered with a "Chinese propaganda
arm."
"So, this is another reason why Americans should buy
American," Leavitt said, underscoring the Trump administration's
efforts to shore up critical supply chains and boost domestic
manufacturing.
Amazon ( AMZN ) in 2021 said it "complies with all applicable laws
and regulations, wherever we operate, and China is no
exception."
The White House tweeted a link to the Reuters report
earlier Tuesday. The White House did not immediately comment
after Amazon ( AMZN ) denied the tariffs report.