Amazon has allows access to its US ecommerce site to Australian shoppers again, following customer backlash.
Six months ago, Amazon decided to shut off its US ecommerce site to Australian shoppers adn redirected them to the local site, Amazon.com.au. Shipping to Australia from Amazon.com was also shut off at the same time. As a result, Australian shoppers were limited to buying goods sold by local sellers. There are only about 80 million products on the Australian store vs 500 million on the US site.
The reason behind that decision was the so-called ‘Amazon Tax,' a change in Australian tax regulation requiring businesses earning more than $75,000 AUD per year to charge its 10% Goods and Services Tax (GST) on low value items imported by consumers.
Amazon dropped the block although the Australian law is still in place, meaning that the retailer obviously absorbed the 10% tax after all. Notably, the decision comes just in time for the shopping season.
Speaking to Reuters, an Amazon spokesman said the company had changed its mind after listening to customer feedback, adding it had built the "complex infrastructure needed to enable exports of low-value goods to Australia and remain compliant with [local] laws".to Amazon US Store