
Trump-Bezos ties strained as Amazon tariff controversy erupts
President Donald Trump called Amazon founder Jeff Bezos this morning to complain about reports that his company was considering displaying the cost of U.S. tariffs next to prices for certain products on the company's website, two senior White House officials told CNN, CE Report quotes Kosova Press.
The call came shortly after one of the senior officials called the president to inform him of the story, first reported by Punchbowl News.
"Of course he was angry," one of the officials, who was granted anonymity to speak candidly, told CNN. "Why should a multi-billion dollar company pass on the costs to consumers?"
White House press secretary Caroline Leavitt made it clear during a press conference earlier today that Trump, with whom she had spoken earlier that morning, considered it a "hostile political act."
Shortly after the call between Trump and Bezos, an Amazon spokesperson issued a statement clarifying that this move "was not considered on Amazon's home page and has not been implemented on any Amazon properties."
The spokesperson later sent CNN a revised statement, adding:
"This move was never approved and will not happen".
Trump and Bezos have grown increasingly close in recent months. Multiple Trump administration officials told CNN that Bezos often visits the West Wing when he is in Washington to meet with the president, and the two speak frequently on the phone.
Amazon said in an updated statement Tuesday that, while it was previously considering imposing fees on its Amazon Haul site, that change is no longer in the works.
"The team that runs our ultra-low-cost store on Amazon Haul considered the idea of listing import tariffs for certain products. This was not approved and will not happen," Amazon spokesman Tim Doyle said in a statement.
The announcement comes after the White House attacked Amazon over a media report that the company planned to publish the fees.
A person familiar with the matter told CNN that the anticipated change to Amazon Haul was prompted by the Trump administration getting rid of the "de minimis exemption," which allowed packages worth less than $800 to enter the United States without tariffs.
This exemption is scheduled to expire on May 2 as a result of an executive order that President Trump signed in April.
The Trump administration aggressively attacked Amazon on Tuesday after reports that the company would begin showing the added cost of President Donald Trump's tariffs on items.
White House Press Secretary Caroline Leavitt called the move a "hostile and political act."
Punchbowl News reported earlier Tuesday that Amazon will soon “display how much of an item’s cost is due to tariffs — right next to the product’s total listed price.” The move could directly illustrate to American consumers how Trump’s tariffs are affecting the cost of goods.
But this threatens to destroy any goodwill the company and founder Jeff Bezos have built with the Trump administration.
"This is a hostile and political act by Amazon," Leavitt said at a White House press conference, noting that she had spoken about the issue with Trump earlier in the morning.
She cited a 2021 Reuters report on a partnership between the e-commerce company and a “Chinese propaganda arm,” while urging Americans to “buy American products.” CNN has reached out to Amazon for comment.
"This is another reason why Americans should buy American products, it's another reason why we're supporting critical supply chains here in the country, to strengthen our critical supply chain and increase our manufacturing here," she said.
Amazon shares opened down more than 1% on Tuesday morning following the comments.
Leavitt declined to say what the move portended for the relationship between Trump and billionaire Amazon founder Jeff Bezos, who has actively worked to cultivate a relationship with the president in his second term, congratulating him on his election in November and having dinner at the White House.
Amazon donated $1 million to Trump's inaugural fund. Trump recently praised Bezos, telling The Atlantic in an interview published Monday:
"He's 100 percent. He's been brilliant."
But Bezos' net worth has fallen by billions since the beginning of this year, according to Bloomberg, as a result of Trump's tariff policies.