Amazon got $600 million in Trump tariff refunds and will pass return along to some customers
📰 source: cnbc_topnews · 💼 business
amazon disclosed on thursday that it received about $600 million in tariff refunds after the supreme court ruled trump's levies illegal, and it will pass some of that cash back to customers. the company's finance chief, brian olsavsky, said on the earnings call that the refund came in q2.
amazon had previously stayed silent on whether it would apply for refunds, even as apple, walmart, costco, home depot and general motors said they would. trump told cnbc in april he'd 'remember' companies that didn't seek refunds. apple said its earnings per share got a 5% boost from tariff refunds in the third quarter. a class action lawsuit in seattle accused amazon of skipping refunds to curry favor with trump.
olsavsky explained the refund was limited because amazon pre-ordered inventory to beat the tariffs and isn't the importer of record for most items sold on its marketplace — third-party sellers handle more than 60% of goods. in cases where amazon can trace that it passed specific import charges to customers, it will automatically issue refunds. otherwise, the money goes toward keeping prices low.
why it matters: amazon's $600 million refund from scrapped trump tariffs will flow partly to customers, showing legal rulings can put money back in shoppers' pockets.
source: cnbc_topnews
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