Federal

White House Slams Amazon Over Reported Plan to Show Tariff Costs on Prices, Denies Transparency Push

The Trump administration reacted angrily Tuesday to reports that Amazon was considering displaying the costs of President Donald Trump’s tariffs directly alongside product prices on its platform. White House Press Secretary Karoline Leavitt labeled the potential move a “hostile and political act,” showcasing the administration’s frustration with the idea of making tariff costs visible to consumers.

Trump has long maintained that tariffs are a tax paid by other countries, but economists widely agree that the burden typically falls on American consumers, who pay higher prices at checkout. If Amazon were to show a line item detailing the tariff’s impact on each purchase, it would make clear to shoppers exactly how much of the price increase stems from these tariffs, contradicting the administration’s narrative.

The controversy began when Punchbowl News reported that Amazon planned to show shoppers how much of an item’s price was attributable to new U.S. tariffs-particularly those targeting Chinese imports, which now face duties as high as 145% under Trump’s latest measures. The move, if implemented, would have provided American consumers with unprecedented transparency about the impact of tariffs on everyday goods.

More than 70% of the products sold on Amazon are produced in China.

Amazon quickly issued statements denying that it ever planned to implement such a pricing disclosure on its main marketplace. Company spokespersons clarified that the idea was only briefly considered for Amazon Haul, a budget-focused storefront launched to compete with low-cost platforms like Shein and Temu, but was never approved or seriously contemplated for the broader Amazon.com site.

Despite the clarification, the initial reports and White House criticism triggered a 2% drop in Amazon’s share price in premarket trading.

Regardless of whether Amazon itemizes tariff costs, American consumers will likely feel the impact through higher prices.

American consumers can expect to see increased prices from tariffs in stores as soon as late May or early June, according to supply chain experts and former Trump administration officials. Many retailers anticipated the impact of the new tariffs and rushed to stock up on inventory before the higher duties took effect, providing a temporary buffer against immediate price hikes and shortages.

However, this preemptive inventory build-up is only expected to last for several weeks. As these stockpiles are depleted and shipments from China decline-shipments to the West Coast are projected to drop by as much as 35%, retailers will face higher costs on new imports, which will likely be passed on to consumers through higher prices and reduced product variety. The reduction in shipments and uncertainty over future trade policy have already led companies to cancel or delay new orders.

Some retailers have begun displaying tariffs as a separate line item on their checkout screens.

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