Amazon policy to show tariff costs to customers a 'hostile and political act': White House

Amazon's stance highlights the growing conflict between businesses and President Trump, whose economic agenda is centered on aggressive tariffs and a global trade war.

After taking office in January, Trump slapped a 10 percent baseline tariff on most countries, along with higher levies on dozens of countries -- only to then pause the elevated rates for 90 days to allow for trade talks.

The White House has also imposed steep duties on China, and additional sector-specific measures -- leading Beijing to impose its own retaliatory tariffs on US goods.

The uncertainty kicked up by the on-again, off-again tariff rollout has shaken financial markets, briefly pushing volatility up to levels not seen since the Covid-19 pandemic.

While the endpoint of Trump's tariffs is currently unknown, they are already starting to have an impact on businesses in the United States.

Package delivery giant UPS said Tuesday it plans to cut 20,000 positions worldwide in 2025 following a significant drop in business for Amazon, its largest customer.

UPS Chief Executive Carol Tome said the firm, which had around 490,000 employees at the end of 2024, is taking the actions to "reconfigure" its operations in reaction to a "changing trade environment."

Trump's tariffs on Chinese imports would significantly impact Amazon, as 60% of its sales originate from smaller, independent retailers heavily reliant on those imports.