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Amazon Adds 5% Inflation Surcharge for Domestic FBA Sellers

For the first time in its history, Amazon will charge U.S. sellers using its Fulfillment by Amazon (FBA) services a 5% per-item surcharge designed to address fast-rising costs, particularly for fuel. Amazon detailed the changes, which take effect April 28, 2022, here.

The country’s inflation rate reached 8.5% on an annual basis in March, according to Bureau of Labor Statistics data released April 12 — its highest rate in more than four decades. In March alone, the Consumer Price Index for All Urban Consumers rate rose 1.2% compared to the previous month, driven by an 18.3% increase in gas prices that accounted for more than half of the all-item increase.

Other heavily fuel-dependent companies such as Lyft and Uber added fuel surcharges in March, with the additional fees designed to go directly to its drivers, according to CNN. These companies also have partnered with providers that offer drivers gas rewards or cash-back programs.

While these surcharges could result in higher consumer prices as both Amazon and its sellers seek to pass along their impact, as of November 2021 Amazon remained the low-price leader in ecommerce, by 14%, according to the Profitero Price Wars study — although the price gap with Walmart was reported to be closing.

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