Widespread impact! The US government has implemented a new law and Amazon has actively responded by releasing new regulations, warning that sellers may face store closures

US law leads to Amazon's new regulations, warning of store closures for non-compliant sellers

Last year, the US government signed the “INFORM Consumers Act”, aimed at combating the sale of stolen, counterfeit, and dangerous goods in the online retail market by ensuring high transparency among a large number of third-party sellers.

The “INFORM Consumers Act” defines “third-party sellers” as any sellers independent of online marketplaces who sell, offer to sell, or contract to sell consumer goods in the United States through such online marketplaces.

As the law will come into effect on June 27, 2023, Amazon Seller Forums has recently released related regulations. It is reported that the law requires a large number of third-party sellers to provide information about their business, and to collect, verify, and disclose information about their business on Amazon.

Source: Amazon Seller Center

The newly released regulations indicate that a large number of third-party sellers who have conducted 200 or more transactions and have a total income of $5,000 or more within a consecutive 12-month period are online marketplace participants who need to undergo an information verification process once a year.

0 1

Bank account information

0 2

Government-issued identification

0 3

Tax identification number


Contact information, including company address, work email address, work phone number, etc.

Amazon will continue to notify sellers by email to complete the information verification required by the INFORM Consumers Act. If a seller who qualifies as a large number of third-party sellers does not provide the required information within ten days of receiving the email, Amazon will suspend the seller’s sales account in accordance with the law until the verification is successfully completed.

Sellers must pay close attention to emails of this type recently released by Amazon and cooperate with the platform to collect, verify, and disclose information about their business to avoid unnecessary trouble.

There is still more than a month before the implementation of this regulation. YunWuJie warmly reminds: Sellers who hold batch accounts or have met the requirements should start preparing, conduct self-inspections in advance, and reserve enough time to deal with “unexpected” events.

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