Topic
Amazon Profit
How US Tariffs Impact Amazon Sellers: What You Need to Know in 2025
If you import products into the US to sell on Amazon, tariffs can quietly eat into your margins—sometimes more than PPC ever will. And with ongoing changes to trade policies and Section 301 tariffs, it’s crucial to understand how these fees affect your business in 2025.
This guide breaks down how US tariffs work, how to check if your product is affected, and what you can do about it.
What are US tariffs and why do they matter to Amazon sellers?
A tariff is a tax imposed on imported goods. When you bring products into the US from abroad—whether via sea, air, or ground—you may need to pay an import duty depending on what you’re importing and where it’s coming from.
For Amazon sellers, this matters because:
Tariffs directly increase your landed cost
You may not notice them until your profit margin disappears
They apply even if you're using FBA (Amazon won't cover them)
Countries like China, Vietnam, and India are popular sourcing hubs, but many goods from these regions are subject to US tariffs—especially under current trade tensions.
Which products are affected by tariffs in 2025?
Some of the most commonly affected categories include:
Electronics and components
Tools and industrial supplies
Home and kitchen products
Apparel and textiles
Toys and baby products
As of 2025, many products from China still fall under Section 301 tariffs, which add an extra 7.5%–25% depending on the HTS code.
👉 You can check your product's tariff rate using the HTS Search Tool.
How tariffs affect your margins and pricing on Amazon
Let’s say you source a product at $4 from China. If the tariff is 15%, you’re now paying $4.60 before shipping. Add another $0.50 in freight, and you’re suddenly at $5.10 landed cost—25% higher than expected.
That higher cost can affect:
Your profit margin
Your price competitiveness
Your ability to scale ads profitably (TACoS goes up)
Tariffs are invisible to customers but very real for sellers. If you’re not adjusting pricing or sourcing accordingly, you could be losing money without realizing it.
How to check your product’s tariff rate before importing
Before placing your next order, make sure you:
Identify your product’s HTS code
Use the HTS lookup tool to find the exact duty rate
Ask your freight forwarder or customs broker for confirmation
Consider tools like Flexport, Freightos, or Jungle Scout’s supplier databases for guidance
A 10-minute check can save you thousands later.
Strategies to reduce the impact of tariffs
Here are smart ways Amazon sellers are dealing with tariff pressure in 2025:
Source from alternate countries like Mexico, India, or Turkey to avoid US-China tariffs
Modify your product materials (e.g., switching from metal to plastic) if one material is tariffed higher
Bundle with non-tariff items to shift your HTS classification (consult a customs expert)
Negotiate with your supplier to share or offset the tariff cost
Adjust ad strategy to focus on higher-margin products
Should you pass on tariff costs to customers?
You have two options:
Increase your price to cover the added cost
Absorb the cost and take a hit on margins
If you’re in a competitive niche, raising prices might hurt your sales. But if your competitors are doing the same, it could be the only way to stay profitable.
Final tips + How Atlisco can help
Tariffs are now a standard part of selling physical products on Amazon. They’re not going away—but you can work around them with the right strategy.
Key Takeaways:
Always check tariff rates before importing
Know how they affect your true landed cost and margins
Adapt your sourcing and pricing strategy to stay profitable
At Atlisco, we help Amazon sellers scale profitably—even when costs like tariffs go up.
Need help adjusting your ads around changing margins? Let’s talk.