Amazon Says Tariffs Are Pushing Prices Higher

Amazon has acknowledged that U.S. tariffs are beginning to push prices higher on its platform. Speaking at the World Economic Forum in Davos, Amazon CEO Andy Jassy said that inventory stockpiled ahead of tariff implementation was depleted by late 2025, allowing higher costs to filter through to consumers. According to CNN, this marks a shift from earlier statements that prices were not rising significantly.

Jassy explained that Amazons third-party sellers are responding differently to higher costs. Some are passing price increases directly to shoppers, others are absorbing them, while many are taking a mixed approach. This has led to uneven price changes across product categories rather than broad-based increases.

Amazon emphasized that overall price levels remain largely stable, noting that fluctuations vary by seller and brand. A company spokesperson told CNN that changes seen on the platform are within normal ranges, even as certain imported goods become more expensive.

The White House maintains that tariffs are borne by foreign exporters and not U.S. consumers, but comments from Amazon and other major retailers—including Walmart and Target—suggest that some costs are reaching end buyers. Federal Reserve surveys indicate many businesses plan further price increases in 2026.

Amazons experience highlights how trade policy can influence consumer prices. While the company continues to prioritize low prices, Jassy acknowledged that tariffs represent a structural cost that is becoming increasingly difficult to absorb.