Amazon will charge sellers a gasoline and inflation premium

Amazon.com Inc. announced on Wednesday that it will apply a 5% fuel and inflation tax on sellers who use its fulfillment and delivery services, the first time the business has implemented a fuel surcharge.

The Seattle-based e-tailer (NASDAQ: AMZN) said in a memo to sellers that the extra, which takes effect on April 28, will be added to the per-unit charges paid under its Fulfillment by Amazon program.

According to the memo, the surcharge is a better option for sellers than a permanent modification to Amazon’s price structure. It went on to say that, since the COVID-19 epidemic, its fulfillment and delivery rates have increased at a slower rate than those of its competitors.

Amazon has increased prices to cover rising costs as a result of pandemic-related changes in its operations. While post-pandemic normalcy has returned, the company is confronting rises in inflation, particularly in the cost of fuel.