E-commerce

Subterms

    Latest story

    150 Shares79 Views

    White House calls Amazon ‘hostile’ for reportedly planning to list tariff costs

    by

    The White House accused Amazon of committing a “hostile and political act” after a report said the e-commerce company was planning to inform customers how much Donald Trump’s tariffs would cost them as they shopped.The press secretary, Karoline Leavitt, was responding to a report in Punchbowl News, which, citing a person familiar with the matter, reported that Amazon would begin displaying on its site how much the tariffs had increased the prices of individual products, breaking out the figure from the total listed price.“Why didn’t Amazon do this when the Biden administration hiked inflation to the highest level in 40 years?” Leavitt asked during a press briefing.Trump himself called Jeff Bezos, Amazon’s billionaire founder, shortly after the report published to complain about the change, according to multiple reports.Amazon’s online marketplace has seen prices rise across the board since Trump announced sweeping tariffs at the start of April, particularly on China, where many products listed on Amazon.com ship from. In response, the company has pressured its third-party sellers to shoulder the burden of the extra import costs rather than pass them on to customers. Amazon did not immediately respond to a request for comment.“This is another reason why Americans should buy American,” Leavitt continued, though Amazon is headquartered in Seattle.Amazon moved to distance itself from the report, saying the idea had been considered by Amazon Haul, the company’s recently launched low-cost shopping hub, but had been rejected.“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,” said Tim Doyle, Amazon spokesperson.Online shopping has been upended by Trump’s trade policies. The day before the White House took aim at Amazon, discount retailers Temu and Shein, which ship from China, began displaying 145% “import charges” in customers’ totals to reflect the surcharge on Chinese goods.Asked if the strident statement from the White House signaled a rift between Trump and Bezos, who stepped down as CEO in 2021 and donated $1m to Trump’s inauguration fund earlier this year, Leavitt said: “I will not speak to the president’s relationships with Jeff Bezos.”Bezos and Trump endured a strained relationship during the president’s initial run for the White House. During the 2016 campaign, the Amazon founder publicly argued that some of Trump’s rhetoric, including threats to lock up his political opponents, damaged democracy, while Trump accused the tech giant of failing to pay enough taxes.Scrutiny of Trump’s first term by the Washington Post, which is owned by Bezos, angered the US president. He was further infuriated by Bezos’s apparent refusal to intervene. In a bid to pile pressure on Amazon, Trump threatened to block federal aid for the US Postal Service unless it hiked shipping rates for online firms.Since Trump’s return to power, however, Bezos has taken a noticeably different approach to the president. He attended Trump’s inauguration, alongside a string of other big tech founders, and Amazon donated $1m to Trump’s inauguration fund.Days before last November’s presidential election, the Washington Post announced its editorial board would not endorse a candidate for the first time in more than three decades – prompting an exodus of subscribers. Bezos insisted the move was a “principled decision” and claimed that “inadequate planning” had led to the last-minute call.The Post went a step further in February, announcing an overhaul of the newspaper’s opinion section to focus its output “in support and defense of two pillars: personal liberties and free markets”, Bezos said. The decision angered readers and staff and prompted the resignation of the opinions editor, David Shipley.His actions drew a sharp rebuke from Marty Baron, the highly regarded former editor of the Washington Post, who told the Guardian that Bezos’s plan for the newspaper’s opinion section amounted to a “betrayal of the very idea of free expression” that had left him “appalled”.Amazon, meanwhile, is reportedly paying some $40m to license a documentary on the life of the first lady, Melania Trump. More

    More stories

    • 100 Shares50 Views

      in Elections

      White House Assails Amazon, Citing Tariff Pricing Report

      by

      The White House press secretary, Karoline Leavitt, attacked the retail giant over a report that suggested Amazon would display the cost of tariff-related price increases. Amazon said it never considered doing so on its main website.There’s a fresh spat brewing between the White House and Amazon.Karoline Leavitt, the White House press secretary, on Tuesday accused the online retail giant of being “hostile and political,” citing a report — disputed by Amazon — from Punchbowl News saying that the company would start displaying the exact cost of tariff-related price increases alongside its products.Displaying the import fees would have made clear to American consumers that they are shouldering the cost of President Trump’s tariff policies rather than China, as he and his top officials have often claimed would be the case.An Amazon spokesman said the company had considered a similar idea on part of its site, Amazon Haul, which competes with Temu, a Chinese retailer. Temu primarily ships directly to consumers and has begun displaying “import charges” to reflect the end of a customs loophole that had exempted low-priced items from tariffs.“Teams discuss ideas all the time,” the spokesman, Ty Rogers, said in a statement. “This was never a consideration for the main Amazon site and nothing has been implemented on any Amazon properties.”Standing beside Treasury Secretary Scott Bessent during a briefing at the White House on Tuesday morning, Ms. Leavitt tore into the retailer. She said that she had just been on the phone with the president about the report, and she asked why Amazon hadn’t done such a thing when prices increased during the Biden administration because of inflation.Ms. Leavitt said it was “not a surprise” coming from Amazon, as she held up a copy of a 2021 article from Reuters with the headline, “Amazon partnered with China propaganda arm.” Mr. Trump’s aggressive tariffs on Chinese goods have touched off an escalating trade war, even as his administration has backed off its broader global levies amid what it said were negotiations with dozens of nations on new trade deals.Ms. Leavitt’s attack on Amazon was all the more noteworthy because the company’s founder, Jeff Bezos, has lately gone to great lengths to curry favor with this White House. Amazon donated $1 million to Mr. Trump’s inaugural fund, securing seats for Mr. Bezos and his bride-to-be in the Capitol Rotunda for the inauguration.In December, Mr. Bezos explained his Trump-ward turn while speaking at The New York Times DealBook conference. “What I’ve seen so far is he is calmer than he was the first time,” Mr. Bezos said of Mr. Trump, “more confident, more settled.”He added, “I’m very hopeful. He seems to have a lot of energy around reducing regulation.”Ms. Leavitt was asked whether the White House still considered Mr. Bezos to be a Trump supporter, given the latest report.“Look, I will not speak to the president’s relationships with Jeff Bezos,” Ms. Leavitt said, “but I will tell you that this is certainly a hostile and political action by Amazon.” More

    • 150 Shares87 Views

      in US Politics

      Trump’s meme coin soars after he asks top 220 holders to dinner

      by

      The value of Donald Trump’s meme coin jumped by more than 50% on Wednesday after its official website said the coin’s top 220 holders would be invited to a private gala dinner with the president on 22 May.The top 25 holders of the coin would also get “an ultra-exclusive VIP reception with the president”, as well as a special tour, the website said.The coin, called $TRUMP, rose by more than 50% after the announcement to trade at about $14.70. It fell back slightly to $12.30 in early trading on Thursday, according to CoinMarketCap.Despite the sharp rise, the price of the president’s coin is far below the peak it hit shortly before his inauguration in January, when it soared from about $6 to $75. The launch of coins for Trump and his wife, Melania, have prompted experts to accuse the pair of “shameful” conflicts of interest.The sudden jump in Trump’s meme coin on Wednesday came as investors had been expecting the start of a process that allows more original investors and insiders to cash out their holdings. This “unlock” usually leads to a price fall but the coin’s X account said this would be delayed by 90 days.Meme coins are digital tokens inspired by trends such as viral moments and have no inherent utility. They typically fall in value after an initial strong rally.Last year, the “hawk tuah girl” Haliey Welch, made famous online by a viral video, launched a meme coin that was worth $490m in December but it quickly plummeted in value and is now worth just $2.9m.While Trump was sceptical of cryptocurrency in his first administration, he has since called himself the “crypto president” and promised to support growth in the sector.In March, he hired the venture capitalist David Sacks to act as an artificial intelligence and crypto tsar, as well as establishing a national stockpile of bitcoin and other cryptocurrencies.The Trumps have become actively involved in the cryptocurrency sector. The first lady also launched a meme coin in January, and last year the president and his three sons started a crypto platform called World Liberty Financial.Meanwhile, Trump Media and Technology Group, where the president is a majority shareholder, announced plans last month to work with the trading operation Crypto.com to provide investment products linked to crypto.This month the US justice department said it would disband a unit dedicated to investigating cryptocurrency-related fraud, as oversight in the digital assets sector began to loosen.The deputy attorney general, Todd Blanche, said the department would no longer pursue litigation or enforcement actions that had “the effect of superimposing regulatory frameworks on digital assets while President Trump’s actual regulators do this work outside the punitive criminal justice framework”.The deregulation has prompted influential congressional Democrats and watchdogs to warn about the growing risks to investors and the economy posed by multiple deregulatory crypto actions at federal agencies. More

    • 150 Shares113 Views

      in Elections

      At Trial, Mark Zuckerberg of Meta Calls TikTok a Major Competitive Threat

      by

      The Meta chief executive testified for a third day in a landmark antitrust trial accusing his company of quashing competition through acquisitions.Mark Zuckerberg, the chief executive of Meta, took the witness stand in a landmark antitrust trial for a third day, saying on Wednesday that the video app TikTok has emerged as a serious competitor in social networking.In a friendly exchange led by lawyers for Meta, Mr. Zuckerberg said that the fast growth of the Chinese-owned app was “probably the highest competitive threat for Instagram and Facebook over the last few years.”Mr. Zuckerberg’s lawyers were trying to poke holes in the case, Federal Trade Commission v. Meta Platforms, which went to trial on Monday. The F.T.C. has accused the social media company, which was previously known as Facebook, of acquiring Instagram and WhatsApp when they were tiny start-ups in a “buy-or-bury strategy” to snuff out competition. Meta’s core function is connecting friends and family, making Snapchat its only serious social media competitor, the F.T.C. has said.Mr. Zuckerberg countered during his more than seven hours of testimony so far this week that Meta faces significant competition in the world of social networking, including from TikTok and Apple’s iMessage. On Wednesday, he said Meta’s addition of a short-video feature known as Reels to Instagram and Facebook was in large part a response to TikTok’s rise. Users continue to engage more on TikTok than with his apps, he said.“TikTok is still bigger than either Facebook or Instagram, and I don’t like it when our competitors do better than us,” Mr. Zuckerberg said.Judge James E. Boasberg, who is presiding over the case in the U.S. District Court for the District of Columbia, must decide whether Meta broke the law. The government plans to seek a breakup of the company if it wins.Judge James E. Boasberg will rule on whether Meta violated antitrust law.Erin Schaff/The New York TimesWe are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

    • 88 Shares131 Views

      in Elections

      Amazon Sellers Struggle with Trump’s Tariff Plans

      by

      When President Trump announced tariffs this month on goods from all over the world, Jing and Eddie Levine, who sell party supplies on Amazon, were on a flight home to Chicago after visiting suppliers in Asia.Amazon was the center of their life. They met at a conference for Amazon sellers in 2016 and had their first kiss at another Amazon conference two years later. They moved in together and grew their business, Treasures Gifted. When they married in 2022, they threw an Amazon-themed wedding, with guests assigned Amazon product numbers instead of table numbers.The Levines tried to make sense of the news. The giant poster that Mr. Trump pointed to during a Rose Garden ceremony on April 2 showed that China would be hit with large tariffs, but so would every country they had just visited — and almost every country on the planet, for that matter.“Thank God the Wi-Fi on the plane was not bad this time,” Mr. Levine said, “because I would have had a heart attack.”The balloons, plates and decorations that the Levines import are just a speck in the trillions of dollars in goods that swirl around the globe. A week after Mr. Trump announced his so-called reciprocal tariffs, he pulled them back for most countries for at least 90 days, while sending tariffs on China even higher.Countries or major companies may be able to lobby the president for a break, as he seemed to give Apple and other electronics makers over the weekend. But the best the Levines of the world can do is wait for news updates and hope their plans haven’t been shredded by Mr. Trump’s vision for unraveling decades of global trade. And like thousands of other small-business owners who sell online, the Levines are struggling to adapt to an e-commerce system that let them tap into international markets but that is now on the verge of falling apart.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

    • 163 Shares149 Views

      in Elections

      Shein and Temu Will be Hit by Trump’s China Tariffs. Americans Are Worried.

      by

      The Trump administration’s plan to add steep fees to packages from China will deal a blow to Temu, Shein and some TikTok Shop sellers, worrying American consumers.Tamika Johnson, a 44-year-old in Chicago, posted videos to TikTok this month about her orders from Shein, the Chinese e-commerce giant. She was nervous about potential delivery delays in the face of upcoming tariffs.Her 213,000 followers chimed in as she shared status updates on her purchases of clothing and suitcases, detailing their own plans for last-minute orders and sharing concerns about their shipments.“People are very worried,” Ms. Johnson, who posts to TikTok under the handle @TammyTheBlackPrepper, said in an interview. “I’m trying to stock up on clothes now and the things that I need.”Ms. Johnson is one of many American consumers who have been posting anxiously to TikTok and Reddit about a coming Trump administration-induced change for the Chinese e-commerce companies Shein and Temu, which sell inexpensive items like $8 dresses and $14 wagons. Starting on May 2, the Trump administration is poised to end a trade loophole that enabled the delivery of ultra low-cost goods from Chinese factories straight to Americans’ doorsteps without being subject to duties. That will add steep new fees to packages from Shein and Temu.At least some sellers on TikTok Shop, the popular app’s growing marketplace, and AliExpress, another Chinese e-commerce site, will also take a hit.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

    • 138 Shares189 Views

      in Elections

      Did You Sell Concert Tickets or Clothes? You May Owe Taxes

      by

      If you received more than $5,000 for online sales of “goods or services” in 2024, you might get a Form 1099-K. Don’t ignore it, an expert says.If you sold personal items like concert tickets or used clothing online last year or received money for services through payment apps, you may get an unfamiliar tax form this year.A tax law change means most online marketplaces and payment apps must send the Internal Revenue Service a form called a 1099-K, with a copy to you, if you received more than $5,000 in payments for “goods or services” in 2024. That’s down from a threshold of $20,000 in payments and more than 200 transactions. (Starting in 2024, the number of transactions no longer matters.)“As the threshold keeps going down, it catches more people,” said Melanie Lauridsen, vice president for tax policy and advocacy at the American Institute of Certified Public Accountants.Under the old cutoff, the forms mostly went to people running active businesses rather than to occasional or small-time sellers. “This substantial drop in the reporting thresholds could result in millions more taxpayers receiving Forms 1099 this filing season than in prior years,” according to a blog post by Erin M. Collins, the national taxpayer advocate, who leads a group within the I.R.S. that works on behalf of taxpayers.Here’s what to know about Form 1099-K:Who’s eligible to receive Form 1099-K?If you bought several concert tickets, for example, and resold them online at a markup, you could potentially meet the 2024 threshold for getting the form, Ms. Collins said in an interview. Tickets for big-name concerts, she said, such as performances by Taylor Swift, have reportedly sold for more than $1,000 per ticket. If the seller made money, the gain is taxable.The rule doesn’t apply to personal payments, like gifts or transfers of money to friends and family, the I.R.S. says. If you and a friend go to a concert, and your friend pays you for the ticket using a payment app, “you should not receive a Form 1099-K for the reimbursement and, generally, it would not be taxable,” according to “common situations” described on the agency’s website.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

    • 150 Shares159 Views

      in US Politics

      UK marketplace sellers face ‘second Brexit’ hit from Trump’s US import rules

      by

      Many UK-based independent sellers on marketplaces such as eBay and Amazon could suffer a significant hit to US sales from planned changes to import rules under Donald Trump, with experts comparing the impact to a second Brexit.The new rules, which mean all parcels originating or made in China and being sold into the US must pay import duty – of as much as 15% on fashion items – and an additional 10% tariff, are also expected to impact bigger online clothing retailers such as Asos and Boohoo.The changes were introduced at the start of February in an attempt to protect US retailers from a surge in competition from the likes of Chinese online marketplaces Shein and Temu, but were indefinitely paused after the US customs service struggled to cope with the massive increase in parcels requiring checks last week.However, they are expected to be implemented within the coming months, potentially driving up prices for US consumers and hitting sales for online retailers.Before the change, parcels with a value of less than $800 (£635) shipped to individuals in the US were exempt from import tax and did not pass through the usual customs checks. That scheme, originally designed to help smooth online shopping, is being revoked after it emerged that the number of shipments under the “de minimis” rules had ballooned to more than 1bn, valued at $54.5bn by 2023 – most of them from China or Hong Kong via firms including Shein and Temu.“You are looking at an increase of $30 to $50 per consignment [group of parcels],” said Brad Ashton at the advisory firm RSM. “It is creating a perfect storm for online retailers putting goods into the US market. It has a lot of the hallmarks of Brexit in terms of its potential impact on small traders.“Businesses will see their margins eroded because costs will increase. We may get to a point where the changes make a UK business uncompetitive in selling to the US.”The widespread use of Chinese factories for many British brands, particularly in fashion, means businesses such as Asos and Boohoo will be drawn in, as well as many UK independent marketplace sellers.It will not just affect goods made in China and then sent from the UK, but potentially a much wider array, as any package containing even one product made in China may have to pay import tax and pass through customs checks, further increasing costs, according to experts.There is also an expectation that the de minimis rules will eventually be scrapped for all imports, no matter their origin.About $5bn worth of parcels were exported to the US from the UK under de minimis rules in 2021, according to a Congressional Research Service analysis of data from US Customs and Border Protection. About 80% of that was estimated to be related to online retail, with fashion likely to be a large proportion of it.Chris White, at the logistics company Fulfilmentcrowd, said that during the brief period when the rules were in place in early February, one-third of the parcels it shipped to the US from the UK were found to be of Chinese origin and subject to the new taxes.Fast-fashion specialists Asos and Boohoo sell about £300m of clothing a year to the US. Both are already struggling to compete with the rise of Shein and high street retailers, which have revived after the Covid pandemic. John Stevenson, a retail analyst at Peel Hunt, said Asos and Boohoo would have to “adjust prices or take a view on [the] profitability of operating in the US”.As well as the higher tax charges, customs checks required after the rule change will add as much as two days to the processing of orders, making UK retailers less competitive with US-based operators on the speed of delivery.skip past newsletter promotionafter newsletter promotionStevenson said the hit to Asos and Boohoo was “not business-critical” in the way it could be for Shein or Temu, which he believed were heavily reliant on the tax benefit, but that it would have an impact.In the short term, online sellers will probably have lower sales because of uncertainty among US shoppers over possible taxes. White said that during the period when the new rules were in place, similar parcels were loaded with different levels of duty as local customs officers made different decisions.He said a further element of the rule change might be to expose brands that were “trading on an image of being British or European” as being “made in China and not Savile Row”, potentially damaging their appeal.There would be “lots of crossed fingers and puzzled faces” over the changes in legislation, with retailers potentially opening more US warehousing or, longer term, to switch sources of supply, White added.Boohoo closed its US warehouse earlier this year, and Asos is scheduled to close its facility there in November. However, a reversal could be on the cards if the de minimis rules are confirmed. Many fast-fashion companies have already diversified their supply chains – making more in India, Bangladesh or Turkey. Trump’s tax changes could accelerate this further.Shein is reportedly incentivising Chinese suppliers to set up in Vietnam, according to a report by Bloomberg.It is not clear when the new rules might be implemented as the US tries to put the technology and workforce in place to handle the new system. Experts say it could take weeks or months.While there is a chance that Trump will change his mind, as he has done on tariffs with Canada and Mexico, no business can bet on which way the US might jump. More

    • 100 Shares129 Views

      in Elections

      Amazon Sued Over Slow Deliveries to Low-Income Areas

      by

      The District of Columbia’s attorney general said the company deliberately outsourced Prime member deliveries in certain ZIP codes.The attorney general of the District of Columbia sued Amazon on Wednesday, accusing it of violating consumer protection laws by making slower deliveries to Prime members in historically lower-income neighborhoods.In one of the first complaints of its kind, which was filed with the Superior Court of the District of Columbia, Attorney General Brian L. Schwalb said Amazon had deliberately and secretly stopped its fastest delivery service to the nearly 50,000 Prime subscribers in certain ZIP codes that were lower-income neighborhoods.According to the lawsuit, Amazon has used third parties like United Parcel Service and the Postal Service to make Prime deliveries in those areas for the past two years. That resulted in slower deliveries than those made by Amazon’s own delivery drivers, who serve other Washington residents.Amazon “cannot covertly decide that a dollar in one ZIP code is worth less than a dollar in another,” Mr. Schwalb said in a statement. “We’re suing to stop this deceptive conduct and make sure District residents get what they’re paying for.”Amazon told Mr. Schwalb that it had made the change because of safety concerns in those neighborhoods, the attorney general said. He said the company had violated consumer protection laws by failing to disclose the change to consumers.Amazon said that it disagreed that it had deceived customers and that it had informed Prime subscribers in those areas about each stage of the delivery process. The company said it tried to work with the office of the attorney general to support crime prevention and improve safety for drivers in those areas.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More