E-commerce company, Amazon has revealed on Wednesday that it will charge sellers a 5% fuel and inflation surcharge from April 28.
According to the American multinational technology company the surcharge which is occurring for the first time in the company’s history was imposed because there is a recent severe significant inflation, CNN reports.
Amazon wrote in memo that was provided to CNN by the company stating that: “In 2022, we expected a return to normalcy as Covid-19 restrictions around the world eased, but fuel and inflation have presented further challenges,”
“It is unclear if these inflationary costs will go up or down, or for how long they will persist.”
Amazon spokesman Patrick Graham also said, the fee surcharge applies only to fee rates paid by sellers that choose to use Amazon’s fulfillment services, which include storing, packing and shipping products.
As businesses seek to pass along rising expenses to their customers, Amazon’s fee hikes on sellers could translate to higher costs to consumers.