Sellers are worried their margins will take a hit, and most have not done a tariff price adjustment so far.
Several sellers on Amazon.com (AMZN) are planning to skip the e-commerce giant's Prime Day sale in June amid concerns that trade tariffs might hit their margins, Reuters reported.
Some sellers sell China-made goods, and their decision is another consequence of U.S. policies under Donald Trump.
The Reuters report cited four merchants and six consultants collectively advising hundreds of Amazon sellers.
Trump's broad tariff measures—some now on hold—and the heightened tensions with China, a major trade partner, have left many businesses facing uncertainty.
Amazon is particularly watching how the tariffs policy shakes out, which has wide implications for its supply chain and tie-ups with overseas suppliers.
Steve Green, who sells bicycles and skateboards imported from China, will skip Prime Day for the first time since 2020. According to the report, he is holding back merchandise he imported earlier to sell later at full price.
The summer edition of Prime Day is Amazon's flagship shopping event of the year. The company spends millions on ads to promote the sale.
A weak response would mean lost revenue for Amazon. In last year’s edition, the company reportedly clocked over $14 billion in sales during the two-day sale.
A company spokesperson told Reuters it has received a "strong response from selling partners to Prime Day 2025."
The deadline for electing to participate in Prime Day is May 23.
Adam Wilkens, who advises about 30 Amazon merchants, said that some of his clients "can't even think about Prime Day yet because they don't have their tariff pricing adjustments finalized."
Temu, the Chinese e-commerce platform that sells a considerable volume of China-made goods in the U.S., has raised prices by adding the extra import costs to several of the items on its site, according to a Bloomberg News report.
Amazon shares are down 14.4% this year.
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