Amazon’s CEO says tariffs are starting to creep into prices

Amazon CEO Andy Jassy says consumers are starting to see the impact of the tariffs less than a year after President Donald Trump implemented them. Sweeping fees On a group of imported goods. during Interview with CNBCInventory that Amazon and third-party sellers had pre-purchased in early 2025 to keep prices low has “run out,” meaning “you’re starting to see some tariffs creep into some prices,” Jassy says.

Acceptance comes after only one day Study from the Kiel Institute for the World Economy It found that foreign exporters absorb only 4% of the cost of tariffs, while 96% of it is passed on to American consumers. “Some sellers decide that they are passing these higher costs on to consumers in the form of higher prices,” Jassy tells CNBC. “Some decide they will accommodate it to increase demand.”

On top of the wave of tariffs, Trump issued an executive order to close the “de minimis” loophole that allowed low-cost goods to enter the United States duty-free. the The bloc took effect last AugustAccording to Jassy, ​​there is little Amazon and third-party sellers can do to avoid additional price increases.

“If people costs go up 10 percent, there won’t be a lot of places to absorb them,” Jassy says. “So we will do everything we can to work with our selling partners to make prices as low as possible for consumers — but you don’t have endless choices.”