Amazon just told China to kick rocks. In the wake of Trump’s announcement of new tariffs on imports from damn near every country that makes anything remotely affordable (think China, Vietnam, Thailand)---Amazon abruptly canceled a slew of inventory orders from vendors in those regions. Translation: This is the kind of passive-aggressive B.S. that doesn’t say “tariffs” but screams it between the lines. 

(Source: Giphy) 

In short, multiple vendors have taken the hit, including one that’s been supplying Amazon with beach chairs for over a decade. Their recent $500K order that, mind you, has already been manufactured? Yeah, it’s about as toast as my knee after playing football. So now they're stuck paying their factory and sitting on a half-million dollars’ worth of unsold aluminum and fabric. If Amazon had done this during Covid, they’d be in front of Congress again. But in 2025? It’s just Wednesday. 

Of course, Amazon didn’t bother to clarify just how widespread these cancellations are. But based on what former vendor managers and consultants are saying, this wasn’t isolated. It’s a pattern. And not a new one. What’s different is the timing, and what it reveals about Amazon’s next move. You see, these were all “direct import” orders. Which means Amazon was buying the inventory wholesale in Asia, shipping it to its own U.S. warehouses, and acting as the importer of record. Which also means Amazon would’ve been on the hook for the new 100%+ tariffs when those goods hit U.S. ports. Trump’s trade war sequel just made that math impossible. So Amazon noped out.

(Source: Bloomberg) 

And now, vendors are left holding inventory they can’t sell without eating massive tariff costs themselves, or offloading it at a loss to other retailers dumb enough to take it. Amazon, meanwhile, walks away clean. No inventory, no tariff bill, no accountability. Just another line item cleared from the balance sheet. 

Now if you think this is just a reactionary move to avoid a few million in import fees, you’re missing the bigger picture. Bloomberg also reported Amazon is planning a $15 billion expansion of its U.S.-based warehouse network. That’s not a coincidence… like at all. Amazon’s quietly but clearly trying to cut the cord on its China dependency. Not because it wants to, but because it has to. Tariffs, geopolitical instability, and the risk of getting caught in the crosshairs of another trade war make global supply chains a liability.

(Source: Giphy) 

Which again, is exactly why Amazon is ghosting China. Amazon has officially made their partners overseas disposable. The company’s not here to protect its partner’s margins, inventory, or bottom line. Amazon is here to protect itself. Always. And this snapshot perfectly shows Amazon pivoting on a dime, while vendors get stuck with the bill. The worst part? It’s being cut off by Amazon while still being dependent on it. Ooof.

In the end, keep an eye out for Amazon’s new $15 billion bet, and pour one out for the ones who got absolutely shafted in Asia. As always, stay safe and stay frosty, friends. Until next time… 

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Stocks.News does not hold positions in companies mentioned in the article.