Overcoming Challenges of Selling on Amazon from Abroad: Personal Journeys and Tips

Overcoming challenges of selling on Amazon from abroad involves strategic planning around tariffs, compliance, logistics, and market adaptation, supported by personal experience and practical tips.

Key challenges include managing customs duties and taxes, navigating international compliance (such as VAT/GST and product regulations), and optimizing supply chain and inventory placement to reduce costs and delays. Sellers must also localize pricing and payment methods to suit each target market.

Personal journeys often highlight these strategies:

• Diversify markets beyond the U.S. to avoid high tariffs by selling on Amazon marketplaces in Europe, Japan, or Australia, where tariff structures and duty exemptions may be more favourable.

• Optimize supply chains by sourcing products from countries with lower tariffs and using regional fulfillment programs (e.g., Pan-European FBA) to keep inventory closer to customers, reducing shipping time and costs.

• Ensure full customs duty payment upfront to prevent shipment returns and delays at Amazon fulfillment centers, often by partnering with experienced logistics providers.

• Comply rigorously with local regulations including product safety, labeling, and tax registration. Use Amazon’s compliance dashboards and VAT Calculation Services where available, and consult tax professionals to avoid legal pitfalls.

• Localize pricing and payment options using Amazon Pay, currency converters, or third-party services like Stripe or Wise to handle multiple currencies and improve buyer experience.

• Leverage Amazon Service Provider Network for expert guidance on market entry, compliance, and operational setup.

• Prepare for operational changes and capital investment needed for international selling, including adapting to different market demands and regulatory environments.

These approaches, combined with persistence and learning from experience, help sellers overcome the complexities of cross-border Amazon selling and build sustainable global businesses.