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European Commission to investigate Amazon

2019-07-23 17:54:13

www.cargofee.com)New broadcast:

"European consumers are increasingly shopping online. E-commerce has boosted retail competition and brought more choice and better prices. We need to ensure that large online platforms don't eliminate these benefits through anti-competitive behaviour,” said European Competition Commissioner Margrethe Vestager.

“I have therefore decided to take a very close look at Amazon's business practices and its dual role as marketplace and retailer, to assess its compliance with EU competition rules.”

When providing a marketplace for independent sellers, Amazon continuously collects data about the activity on its platform. Based on the Commission's preliminary conclusions it says Amazon “appears to use competitively sensitive information – about marketplace sellers, their products and transactions on the marketplace”.

The move coincides with an agreement “in principle” by G7 Finance ministers and central bankers meeting in Chantilly, France this week “to tax activities without physical presence, in particular digital activities," according to French Finance minister Bruno Le Maire.

Earlier this month the French Parliament passed a law to collect e-commerce sales tax from Google, Apple, Facebook and Amazon despite discrimination complaints by the US. Now outgoing UK Chancellor Phillip Hammond, who also attended the G7 meeting, wants to apply a similar tax in Britain.

According to David Jinks, head of Consumer Services at UK delivery company Parcel Hero, Hammond’s “Amazon Tax” will apply to international search engines, social media platforms and online marketplaces with a global revenue of £500 million and UK revenues of more than £25 million.


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                                                                                                                                                             Reported by Miss Wren from Cargofee


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