The reports state that orders for beach chairs, scooters and air conditioners, among others have been affected
In an attempt to reduce its exposure to tariffs imposed by United States President Donald Trump, Amazon has cancelled some product orders from China and other Asian countries, leaving suppliers in confusion, as per the media reports.
Products including beach chairs, air conditioners, scooters and other household items have been affected due to the sudden cancellations. As per the reports, the company has not given any prior notice before cancellations, leading vendors to connect it to tariff concerns.
The reports highlighted a vendor stating that the company informed over email that certain orders had been placed in error and were not intended to be shipped. The reports added that a majority of the orders that were cancelled were direct import orders. This is an instance where the company purchases items in their country of origin and ships them to US warehouses, as per the reports.
Earlier, in its annual report, the company identified international trade disputes as a risk factor and stated that China-based suppliers provide significant portions of its components and finished goods, as per the reports.
In a significant turnaround, US President Donald Trump on Wednesday revealed a 90-day pause on most reciprocal tariffs, while sharply escalating duties on Chinese imports to 125 per cent, effective immediately. The temporary suspension, Trump said, would apply to reciprocal tariffs and the 10 per cent levy on imports from all countries except China.
The move comes less than a day after fresh rounds of tariffs had taken effect on imports from multiple trading partners, raising fears of a full-blown global trade war.
