Big Tech and fast-fashion retailers are playing a new game with old rules — and the rest of us are being misled in the process.
Amazon announced it will begin displaying tariffs as a line item in customer checkout totals. Meanwhile, Chinese e-commerce giant Temu is adding “import charges” to its pricing, following the reintroduction of Trump-era tariffs. On the surface, it sounds like these companies are embracing transparency. In reality, they’re shifting blame and confusing shoppers about who’s really paying the price. Temu is inflating the retail value of the import when the tariffs are based on the wholesale value. And then Amazon backtracked by denying its announcement after a call from Trump.
Here’s the truth: US tariffs on Chinese goods are based on the wholesale value — the price paid by importers, not the final sticker price seen by consumers. A 25% tariff on a $100 item imported from China means the importer owes $25. That cost may then be passed on, but it’s up to the seller how much of that burden hits the customer.
The key point here is that tariffs are calculated based on the wholesale cost of the goods at the point of importation, not the retail price. For example, if an importer buys a product for $10, and the tariff rate is 25%, the tariff would be calculated on the $10 wholesale cost — not the $20 price you might see at a retail store. This is outlined by US Customs and Border Protection (CBP), which uses the customs value — typically the wholesale price — to determine the appropriate tariff.
When a company like Amazon shows a $12 “tariff fee” during checkout for a $50 item, it may not be charging you based on what Amazon paid — they’re presenting a calculated markup to make the fee feel more painful. No surprise, says the Trump Administration, as Amazon is partnered with a Chinese propaganda arm. The intention seems to be political: highlight Trump’s tariffs and make consumers feel they’re being gouged by government policy rather than by corporate pricing.
After benefiting from the “de minimis” loophole, which let Chinese goods under $800 to ship duty-free, Temu now faces higher costs. But instead of adjusting product pricing or absorbing some impact, they’ve slapped on new import fees, blaming tariffs while masking the real reason behind their historically low prices: tax dodging and exploitative shipping routes.
By inflating or misrepresenting tariff costs, companies create political pressure and consumer confusion. But make no mistake: tariffs are real, and they’re applied to wholesale costs — not what you see at checkout. True transparency would mean disclosing the actual import cost and how the tariff was calculated. Instead, consumers are treated to a pricing theater that hides more than it reveals.
In this economic shell game, Amazon and Temu aren’t informing the public — they’re manipulating perception.
As Proverbs 11:1 reminds us: “Dishonest scales are an abomination to the Lord, But a just weight is His delight.”
Whether in ancient markets or modern e-commerce, the call for honest measurement and truthful pricing remains the same. Transparency without accuracy isn’t justice — it’s deception.
Sources:
https://www.cnbc.com/2025/04/28/temu-adds-import-charges-after-trump-tariffs.html
https://www.theverge.com/news/657807/trump-amazon-tariff-hostile-pricing?utm_source=chatgpt.com
Posted in The Daily Jot