Amazon, Temu, others to raise prices in response to Trump’s tariffs

American consumers are set to face higher prices as major companies react to sweeping tariffs introduced by President Donald Trump.

This month, Trump imposed a 10% tariff on nearly all imported goods, excluding only a few categories such as semiconductors and pharmaceuticals.

These new tariffs come in addition to existing ones on steel, aluminum, and automobiles.

China, the third-largest trading partner of the US, is now facing a cumulative tariff burden of 145%.

China-based e-commerce platforms Temu and Shein were among the first to respond.

Both companies issued identical statements earlier this month, confirming they will raise prices for US shoppers starting April 25.

The companies stated the price hikes are designed to “fully offset” the across-the-board 10% tariff issued by Trump.

The changes will only affect the US market.

“There won’t be price increases in the other regions,” said Eric du Halgouët, Hermès’ executive vice president for finance, in a call with analysts.

AutoZone CEO Philip Daniele said the Memphis-based car parts retailer would also increase prices in response to the tariffs.

“We will pass those tariff costs back to the consumer,” Daniele said during a previous earnings call.

AutoZone has not yet issued an updated comment on its pricing plans.

Ferrari reacted within hours of the auto tariffs being announced.

The luxury carmaker said it would raise prices by up to 10% on some models to compensate for the additional cost.

Trump also announced a 90-day pause on an additional 20% tariff for goods from the European Union.

This move is part of a broader suspension of so-called “reciprocal tariffs.”

As companies adjust to the new policies, economists widely expect price increases to ripple across various industries in the US

(ABC News)