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How Amazon Sellers Can Manage Tariffs Without Losing Sales | TaxValet

Written by Orlando Rivera | Jun 30, 2025 9:56:38 AM
 

Amazon and Tariffs: A Complicated Relationship

If you sell on Amazon and import products—especially from China—you may have noticed your costs going up. That’s because of tariffs, which are government fees charged when products come into the U.S. from other countries.
 

Some of these tariffs have gotten really steep—up to 145% in some cases (more on why later). Amazon CEO Andy Jassy even acknowledged that these extra costs are creeping into product prices—but not in ways customers can easily see.

 

Why You Won’t See Tariff Fees on Amazon Listings

In 2025, Amazon thought about showing tariff-related price increases on product pages—especially on its “Amazon Haul” deals section. The idea was to be transparent with shoppers about why prices were going up.

But that plan hit a political wall. Reports say the White House saw it as a bad move, and Amazon quietly backed away. They made it clear that no such labels would appear on their main site.

So even though sellers are paying more to import products, those added costs aren’t visible to shoppers.

 

How Amazon Handles Tariff Costs Behind the Scenes

Instead of labeling tariff costs, Amazon is working behind the scenes to soften the blow. Here’s how:

1. Buying From Other Countries

Amazon is sourcing more products from places like Vietnam, India, and Mexico to avoid the highest tariffs on goods from China.

 

2. Cutting Deals with Big Suppliers

In some cases, Amazon eats part of the extra cost—or negotiates with large suppliers to split it. But small and mid-sized sellers usually don’t have that leverage.

 

3. Encouraging Sellers to Go Global

Amazon is nudging sellers to list in Europe to reach new customers and deal with different trade rules, where tariffs might be less of an issue.

 

What Amazon Sellers Need to Know

If you’re an Amazon seller, you can’t add a line on your listing that says “Tariff Fee: $3.00.” Amazon doesn’t allow that. Your only real option? Increase your base price.

But that’s risky. Here’s why:

  • Raise prices too much? You could lose the Buy Box.
  • Raise them too little? You’re eating the cost and shrinking your margins.
  • And if shoppers don’t know tariffs are the reason, it’s hard to justify the bump.

 

💡 Tip: Tariffs can quietly chip away at your margins—and even jeopardize your pricing strategy on Amazon. Here are the top three import tariff challenges that every seller should watch out for.

 

What Is the Amazon Buy Box?

The Amazon Buy Box is the white box where shoppers click “Add to Cart.” When multiple sellers offer the same product, Amazon picks just one to feature there—usually the one with the best mix of price, shipping, and performance.

Winning the Buy Box can make or break your sales. But here’s the problem: if you raise your prices—even just to cover rising costs like tariffs—you could lose it. And once you’re out of the Buy Box, your listing is harder to find, and sales can drop fast.

But here’s the kicker: you might be paying even more in tariffs than you realize.

Why? Because of a hidden cost called tariff stacking.

 

How Tariff Stacking Quietly Raises Costs Even More

One reason some sellers are surprised by just how much their costs have gone up? It’s not just one tariff—it’s several layered on top of each other.

With something called tariff stacking, you can get hit with multiple layers of import duties—one for the finished product, and others for the parts inside it. For example:

  • You import a backpack from China. 
  • But that backpack has zippers and fabric also made in China. 

  • You might get charged separately for each part—and again for the whole item.

The total? In some cases, businesses are paying more than 100% in combined duties.

 
 
 

What It Means for Consumers

Buyers won’t see a “tariff fee” listed on your Amazon page—but they’re still paying more. It’s just subtle. A price that used to be $19.99 might quietly become $21.49.

Amazon’s approach keeps pricing looking stable, but behind the scenes, sellers are the ones taking the hit.

 

Can You Charge Customers for Tariffs on Amazon?

Not directly.

Amazon doesn’t let you add a separate fee for tariffs, like it does for shipping or tax. If you want to cover the cost, you have to bake it into your price.

It’s a tricky dance. You’re always balancing:

  • Staying competitive
  • Keeping your margins
  • Avoiding Buy Box penalties

That’s why it’s important to know exactly where your costs come from—and what you can do about them.

 

Sales Tax Is Complicated Enough—Let’s Take One Thing Off Your Plate

Amazon’s decision not to show tariff costs might make sense for their brand—but it makes life harder for sellers. You’re stuck juggling pricing, competition, and rising import costs—all while trying to stay compliant with dozens of state tax laws.

That’s where TaxValet comes in.

While we don’t handle pricing strategy, we do specialize in making sales tax simple—especially for Amazon and eCommerce sellers navigating multi-state tax obligations.

👉 Get in touch with our team to offload sales tax stress, reduce risk, and free up your time to focus on what you do best.