Chinese companies selling products on Amazon are considering raising prices for U.S. customers or exiting the market entirely in response to President Donald Trump's tariff hikes, according to the head of China's largest e-commerce association. Trump recently announced plans to increase tariffs on Chinese imports from 104% to 125%, heightening tensions between the two major economies.

Wang Xin, who leads the Shenzhen Cross-Border E-Commerce Association representing over 3,000 Amazon sellers, expressed concerns about the impact of these tariffs on the businesses. She emphasized that the tariff hikes are not merely a tax issue but will significantly disrupt the cost structure, making it extremely challenging for companies to sustain their operations in the U.S.

In response to the situation, some sellers are considering raising prices in the U.S. market, while others are exploring alternative markets outside the U.S. Wang Xin cautioned that the tariffs pose a serious threat to China's small businesses and manufacturers, potentially leading to a rise in unemployment in the country.