Amazon receives $600 mn in tariff refunds, to reimburse some shoppers

By Matt Day

 

Amazon.com Inc. says it received about $600 million in tariff refunds during the second quarter and pledged to automatically issue reimbursements to consumers under a “limited set of circumstances.” 

 

Chief Financial Officer Brian Olsavsky made the disclosure on a conference call with analysts to discuss the company’s quarterly earnings. He said Amazon’s refund total was smaller than it might have otherwise been because the company stockpiled inventory in anticipation of tariffs. He also said Amazon was not the importer of record for most items sold in its store.

 

“In cases where we did see an increase in costs due to tariffs, we largely absorbed these costs rather than pass them on to customers,” Olsavsky said. 

 

 

“We have identified a limited set of circumstances where we can trace that we passed specific import charges onto customers, and when we receive those refunds, we will proactively contact affected customers and automatically issue refunds to them,” Amazon’s finance chief said. 

 

The US government has begun issuing billions of dollars in refunds collected from importers after the Supreme Court ruled that President Donald Trump lacked the authority to impose some of the levies. 

 

Walmart Inc. has said it would prioritize using tariff refunds to invest in prices. Costco Wholesale Corp. previously said it started submitting its refund claims and that it planned to return the proceeds to customers in some form. How much Costco can return and when would depend on a variety of factors, the company said.