Amazon’s latest move signals growing impact of US-China trade war
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As global trade tensions escalate, ripple effects are now hitting the world’s largest online marketplace—and potentially your shopping cart.
Following the recent flare-up in the US-China tariff war, Amazon is reportedly canceling vendor orders from China and other Asian countries, triggering confusion for suppliers and concern for consumers.
So, what’s really going on—and what could it mean for your next Prime delivery?
Within days, Bloomberg and The Wall Street Journal reported that Amazon had started pulling back on select purchases from China, including beach chairs, scooters, and air conditioners—items the company typically buys directly in bulk.
These cancellations, Bloomberg noted, were outlined in an internal document and confirmed by sources close to the situation.
While Amazon declined to comment, its most recent annual report warned that trade restrictions and geopolitical tensions could “adversely affect [its] operating results,” particularly given its reliance on China-based sellers and suppliers.
Amazon claimed the order had been placed “in error.” The vendor, who asked to remain anonymous, said the chairs were already manufactured and ready to ship—making this cancellation both financially and logistically devastating.
Scott Miller, a former Amazon vendor manager turned consultant, confirmed that several of his clients also received sudden cancellations for products manufactured in China and other Asian nations.
“Amazon really holds all of the cards,” he told Bloomberg, noting that vendors now face the tough choice of finding alternative markets or offloading goods at steep discounts.
More trade war updates: Could parts of the US be left in the dark? Why this energy dispute matters
According to The Wall Street Journal, Amazon has been gradually scaling back purchases from smaller vendors in favor of third-party sellers—who pay fees to list and ship through the platform.
In this model, Amazon avoids the upfront risk of direct purchases and leans into its role as a middleman.
That means less inventory Amazon must import itself—and potentially fewer items on hand that could be impacted by costly new tariffs.
“Real damage has already been done to the economy,” wrote Daniel Ives and Sam Brandeis of Wedbush Securities in a note to investors.
They described the ongoing tariff war as “an epic debacle,” emphasizing that China remains a major source of goods for American consumers—especially in the tech space.
More trade war updates: These US cities could be hit hardest by the trade war with Canada—is your city one of them?
Have you noticed unusual order cancellations, rising prices, or changes in product availability? We want to hear from you. Share your experience in the comments and join the conversation as we navigate the evolving online marketplace together.
Following the recent flare-up in the US-China tariff war, Amazon is reportedly canceling vendor orders from China and other Asian countries, triggering confusion for suppliers and concern for consumers.
So, what’s really going on—and what could it mean for your next Prime delivery?
The Trade War's Latest Twist: Amazon Backs Away from Chinese Orders
On April 2, President Donald Trump announced sweeping tariffs targeting China and over 180 other nations.Within days, Bloomberg and The Wall Street Journal reported that Amazon had started pulling back on select purchases from China, including beach chairs, scooters, and air conditioners—items the company typically buys directly in bulk.
Amazon had started pulling back on select purchases from China. Image source: Bloomberg Podcasts / YouTube
These cancellations, Bloomberg noted, were outlined in an internal document and confirmed by sources close to the situation.
While Amazon declined to comment, its most recent annual report warned that trade restrictions and geopolitical tensions could “adversely affect [its] operating results,” particularly given its reliance on China-based sellers and suppliers.
A $500,000 Shock—and No Warning
One vendor, who had sold beach chairs to Amazon for over a decade, told Bloomberg that a $500,000 order was suddenly canceled via email.Amazon claimed the order had been placed “in error.” The vendor, who asked to remain anonymous, said the chairs were already manufactured and ready to ship—making this cancellation both financially and logistically devastating.
Scott Miller, a former Amazon vendor manager turned consultant, confirmed that several of his clients also received sudden cancellations for products manufactured in China and other Asian nations.
“Amazon really holds all of the cards,” he told Bloomberg, noting that vendors now face the tough choice of finding alternative markets or offloading goods at steep discounts.
More trade war updates: Could parts of the US be left in the dark? Why this energy dispute matters
Is It Just About Tariffs?
While the timing suggests a link to Trump’s tariff announcement, analysts say the shift may also reflect a larger strategic pivot within Amazon.According to The Wall Street Journal, Amazon has been gradually scaling back purchases from smaller vendors in favor of third-party sellers—who pay fees to list and ship through the platform.
In this model, Amazon avoids the upfront risk of direct purchases and leans into its role as a middleman.
That means less inventory Amazon must import itself—and potentially fewer items on hand that could be impacted by costly new tariffs.
Bigger Stakes for Consumers
This isn’t just a vendor problem. Analysts warn that rising trade tensions and unpredictable ordering policies could trickle down to you, the shopper.“Real damage has already been done to the economy,” wrote Daniel Ives and Sam Brandeis of Wedbush Securities in a note to investors.
They described the ongoing tariff war as “an epic debacle,” emphasizing that China remains a major source of goods for American consumers—especially in the tech space.
More trade war updates: These US cities could be hit hardest by the trade war with Canada—is your city one of them?
What This Means for Your Online Orders
If you rely on Amazon for affordable, fast-shipping essentials, here’s what to keep in mind:- Prices could rise. If Amazon’s direct imports are disrupted or become more expensive due to tariffs, expect to see price hikes on common items.
- Selection may shrink. If fewer items are sourced from major Asian suppliers, product availability could narrow—especially in seasonal or niche categories.
- Third-party sellers may step in. These sellers often face higher costs and longer shipping timelines, which could affect both your budget and your delivery expectations.
