Amazon and Shopify Sellers Face Crunch as E-Commerce Lenders Pull Back

On Friday, Amazon sent many merchants selling goods on its e-commerce site a memo with pointers on how to navigate trade uncertainty amid steep U.S. tariffs. Suggestions included pivoting to selling in new countries and reshuffling inventory to different warehouses.

Amazon also suggested merchants consider taking out loans, giving them funds to “invest in the areas of your business that make sense for you,” wrote Dharmesh Mehta, a senior executive overseeing Amazon’s seller relationships. But that kind of approach might not be a cure all for online sellers, with some e-commerce lenders growing skittish as 145% tariffs on Chinese imports slam potential borrowers.