💥 Tariff War Hits U.S. eCommerce

🚨Hey hustlers, big moves this week!

The "Liberation Day" tariffs are shaking up the U.S. eCommerce scene. AI agents are transforming the shopping experience, while mobile-first consumers are pushing merchants to rethink their payment systems. Amazon is making a play for TikTok, and digital wallets are quickly becoming the backbone of global transactions.

Let’s dive in! 🚀

ECOMMERCE NEWS

🚨 ‘Liberation Day’ Tariffs Could Reshape U.S. Ecommerce

A new wave of “Liberation Day” tariffs, announced by Trump on April 2, could upend the ecommerce status quo. The plan includes a 10% baseline tariff on most imports and proposes closing the $800 de minimis loophole.

This shift could mirror the pandemic’s supply chain shock, but without the cushion of government stimulus. Major ecommerce players like Amazon, Shopify, Wayfair, and PayPal could see higher costs and shrinking volumes.

🔎 Key fallout areas:

• Ad spend pullbacks: Brands are slashing marketing budgets, impacting Meta, Pinterest, and Reddit.

• Cloud strain: Providers like AWS may see margin pressure as ecommerce clients cut back.

• Inventory hits: Retailers are trimming Q4 holiday orders in anticipation of higher import costs.

Analysts warn this isn’t just a short-term blip. The tariffs could trigger long-term structural changes across pricing, sourcing, and hiring strategies.

SPONSORED BY LISTKIT

Cold Email Setup Offer

We started sending 10,000 cold emails per day, and scaled a brand new B2B offer to $108k MRR in 90 days. Now, you can have the same system set up (completely done-for-you) inside your own business - WITHOUT going to spam, spending thousands of dollars, or any manual input. Close your next 20 clients easily. We’ll set up the tech, write your scripts, give you the leads, give you the inboxes, and the sending tool - all starting at $500/mo.

Get Pricing & Details

ECOMMERCE AI

🤖 From Browsing to Buying: How AI Agents Are Redefining Ecommerce

Online shopping is convenient — until it becomes overwhelming. With infinite choices at our fingertips, decision fatigue can quickly replace delight. Enter AI agents: intelligent personal shoppers built for the digital age.

According to NVIDIA’s latest AI in Retail report, 64% of retailers investing in AI are prioritizing hyper-personalized recommendations. These agents don’t just respond, they anticipate needs, enrich product catalogs, improve search, and even offer virtual try-ons to reduce returns and boost confidence.

🔎 Here’s how they’re reshaping ecommerce:

• Personalization at scale: AI agents act like digital stylists, delivering smarter product suggestions.

• Smarter search: They correct typos and understand context to surface the right items fast.

• Catalog enrichment: Tools like Amazon’s TensorRT-LLM auto-generate detailed listings that improve SEO and discoverability.

• 24/7 omnichannel support: Multimodal AI handles text, image, and voice anytime, anywhere.

Companies like Amazon, SoftServe, and Instacart are already deploying AI agents to cut costs and enhance CX. As tech advances, expect a fusion with AR/VR to bring immersive, interactive shopping experiences that rival or even outperform in-store visits.

👉 Would you trust an AI to be your next personal shopper?

DIGITAL PAYMENTS

📱 Merchants Eye Payment System Constraints as Consumers Embrace Mobile-First Shopping

Mobile commerce is booming, with 42% of U.S. shoppers using their mobile devices for recent purchases, across both online and in-store channels. Younger generations, particularly millennials and Gen Z, are leading the charge with their high engagement in digital shopping.

🔍 Key Findings:

• Payment system concerns: 52% of U.S. merchants worry their current systems won’t meet mobile-first demands in the next three years.

• Stored payment credentials: 67% of U.S. shoppers used stored credentials for online purchases, emphasizing the need for seamless payment options.

• Mobile-first features: 59% of in-store shoppers use mobile for price comparisons, and 15% use mobile payments and financing options.

💡 What Merchants Need:

• Seamless payment options: Consumers demand faster, easier payment experiences, especially through stored credentials.

• Third-party solutions: Many merchants are turning to third-party payment systems to tackle security, technology limitations, and consumer expectations.

With technological evolution outpacing some payment systems, merchants are seeking solutions to meet the growing demand for convenience, security, and speed.

ECOMMERCE SOCIAL MEDIA

🏃‍♂️ Amazon Makes Bid for TikTok

Amazon has made a last-minute attempt to acquire TikTok, just before a looming deadline requiring TikTok’s owner, ByteDance, to divest or face a ban. Meanwhile, President Trump has granted another 75-day extension until TikTok has to be sold or face a ban in the US.

🔎 Key Details:

• Deadline pressure: ByteDance must find a buyer or face a potential TikTok ban in the U.S. due to national security concerns.

• Amazon’s bid: Reportedly, the offer was made through a letter to JD Vance and Commerce Secretary Howard Lutnick, though it’s unclear how seriously it was considered.

• Partnership history: Amazon and TikTok have collaborated before, allowing users to shop on Amazon directly within the TikTok app.

Other bidders, including Oracle and AppLovin, are also vying for TikTok. AppLovin, with its powerful AI capabilities, has the potential to be the “next TikTok” by using data to tailor ads.

ECOMMERCE DIGITAL PAYMENTS

💳 Digital Wallets Poised to Become the SMS of Global Money Movement

Mobile wallets are becoming essential tools for instant transactions, revolutionizing the way we pay merchants or complete peer-to-peer (P2P) transfers. The global spread of real-time networks makes it easier than ever to move money across borders but interoperability remains a challenge.

🔎 Key Details:

• Growing preference: 42% of consumers prefer digital wallets for cross-border payments, leaving a significant untapped market.

• TerraPay’s role: TerraPay, an interoperable network, is simplifying cross-border payments by enabling wallet-to-wallet transfers and connecting banks and merchants.

• Small-value transactions: Over 50% of TerraPay’s transactions globally were delivered to mobile wallets, offering banks opportunities to serve small-value customers.

TerraPay is breaking down barriers in digital wallets by creating infrastructure for cross-border payments, covering compliance, reconciliation, and settlement. This enables broader financial inclusion for underbanked populations.

As mobile wallets grow, TerraPay is building the framework for seamless global transactions, helping merchants and consumers trust cross-border payments just like domestic ones.

Signing off,

The Merchant @CartHustle