Amazon faces probe in Germany over treatment of third-party traders: Report

Germany is Amazon's second-biggest market after the United States

Amazon
An Amazon spokeswoman said the company's policies were designed to make sure its partners set competitive prices.
Reuters Berlin
2 min read Last Updated : Aug 17 2020 | 9:44 AM IST

Germany's anti-trust authority has launched an investigation into Amazon's relationship with third-party traders selling on its site, its head was quoted as saying on Sunday.

"We are currently investigating whether and how Amazon influences how traders set prices on the market-place," Andreas Mundt, President of the Federal Cartel Office, told the Frankfurter Allgemeine Zeitung daily.

Germany is Amazon's second-biggest market after the United States.

During the first few months of the Covid-19 pandemic, when many stores were closed and shoppers flocked online, Mundt said there had been complaints that Amazon had blocked some traders because of allegedly overly high prices.


"Amazon must not be a controller of prices," he said, adding that Amazon had responded to his office's requests for information and those statements were being evaluated.

The cartel office was not immediately available to comment.

An Amazon spokeswoman said the company's policies were designed to make sure its partners set competitive prices.

"Amazon selling partners set their own product prices in our store," the spokeswoman said. "Our systems are designed to take action against price gouging," she said, adding that those who had concerns should contact its support team for its merchants.

Up until 2013, Amazon had prevented traders from offering their products via other online sites at a lower price than on its market place, a policy Germany's anti-trust watchdog forced it to abandon.

Last year, Amazon reached a deal with the German authority to overhaul its terms of service for third-party merchants, prompting the office to drop a previous seven-month investigation.

One subscription. Two world-class reads.

Already subscribed? Log in

Subscribe to read the full story →
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

Topics :CoronavirusAmazonGermanyAmazon sellers

Next Story