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Amazon will get a growth boost from its OTT video service. Amazon will benefit from a new kind of growth model in 2024, thanks to its ad-supported video-on-demand initiative with Prime Video. By the end of the year, Amazon will have transitioned most of its OTT viewers to an ad-supported subscription tier in the US, Canada, Germany, the UK, France, Mexico, and several other major markets.

They are already sparking layoffs: Stellantis is cutting 900 jobs and pausing production in Canada and Mexico. A big bite out of Apple: In 2023, Apple started accelerating production in India and Vietnam to reduce reliance on China. With those regions no longer serving as viable tariff workarounds, Apple鈥檚 cost mitigation options are narrowing quickly.

Microsoft, Alphabet, Meta, and Amazon also saw sharp declines. The S&P 500 narrowly avoided correction Tuesday, while the Dow dropped 500 points and the Nasdaq slipped 0.2%. Why it鈥檚 worth watching: Markets and investors are reacting to uncertainty over geopolitical trade wars.

President Donald Trump鈥檚 executive orders on new tariffs against China, Canada, and Mexico eliminate the 鈥渄e minimis鈥� exemption, which had allowed tariff-free shipments of goods valued under $800 per recipient per day. This will create major headwinds for Shein, Temu, and other retailers shipping directly from China, even as they work to diversify their supply chains.

But in Mexico this year, so 2024 is the first year that Mercado Libre is going to overtake Amazon in Mexico. So, it already happened in Brazil because there always was the leader, but in Mexico specifically, that's always been a battleground market that Mercado Libre's been really investing heavily into.

The decision comes amid controversy surrounding Jeff Bezos鈥� ownership of The Post after the Amazon founder had a front-row seat at Trump鈥檚 inauguration and reportedly directed the paper to cancel its planned endorsement of Kamala Harris. Zooming out: The current administration has revealed how some companies鈥� political ambitions and brand awareness intersect.

Retailers brace for headwinds: Companies ranging from Amazon to Whirlpool are preparing for multiple challenges that could pressure consumer spending and their bottom lines.

Ford has already raised prices on three Mexico-built models by up to $2,000, per Bloomberg. And more increases may be coming: Anderson Economic Group estimates domestic vehicle prices could climb $2,000 to $3,000, while foreign models could jump by more than $12,000. More pressure ahead: Tariff-related cost increases are just beginning.

Brazil, Mexico, and Russia are also relatively large economies set for impressive ecommerce growth, but unlike India they鈥檙e not in the $100 billion ecommerce club鈥攁 threshold only six countries have crossed as of the end of 2023. Every country we track will post positive ecommerce growth in 2024.

Trump鈥檚 tariffs could disrupt US brands鈥� nearshoring efforts, particularly in Mexico, which has become an attractive manufacturing hub for retailers seeking a closer, cost-effective alternative to China. Higher import duties on goods produced in Mexico could erode those cost-saving advantages.

Now in Mexico, it's a slightly different story where we've seen Mercado Libre and Amazon really battle it out for market share since 2016 when Amazon actually entered the market in 2016.

Amazon Prime Day 2023 will drive a surge of activity for Amazon, competing retailers, and brands looking to generate a sales boost before the back-to-school and holiday shopping seasons.

TikTok Shop plans to launch in Mexico next month, inviting merchants with locally registered entities to sell on the platform. This follows recent rollouts in Spain and Ireland, signaling ByteDance鈥檚 efforts to diversify TikTok Shop鈥檚 geographic reach.

Three of Latin America鈥檚 most prominent retail and ecommerce players鈥擬ercado Libre, Falabella, and Walmart Mexico鈥攚ere among the leaders of the fastest-growing companies ranked by digital advertising revenues. Tesco launched Tesco Media and Insight in November 2021, powered by its data science and loyalty division, dunnhumby.

Methodology: Data for retail ecommerce sales for Alibaba and in Mexico and Mercado Libre's retail ecommerce sales in Mexico figures are both from Insider Intelligence's June 2022 forecast. Data from Amazon is from Insider Intelligence's November 2022 forecast.

Amazon will get a growth boost from its OTT video service. Amazon will benefit from a new kind of growth model in 2024, thanks to its ad-supported video-on-demand initiative with Prime Video. By the end of the year, Amazon will have transitioned most of its OTT viewers to an ad-supported subscription tier in the US, Canada, Germany, the UK, France, Mexico, and several other major markets.

The non-Amazon portion of the market will be divided up mainly among Walmart Connect, Loblaw Advance, Best Buy, and Canadian Tire Triangle. Source. Mars United Commerce.

The situation: Sky-high tariffs on goods from China and the end of de minimis shipments from China and Hong Kong pose a fundamental threat to ecommerce giants like Shein and Temu, as well as countless sellers relying on Amazon and other marketplaces. The new duties are already triggering major changes.

Prime Video ads will start out in the US, the UK, Germany, and Canada in early 2024, then expand to France, Italy, Spain, Mexico, and Australia later in the year, according to a company statement. As Amazon expands Prime Video ads, these markets will offer even more opportunities for advertising. 4. Other platforms have had success introducing ads.

Companies hit hard by tariff swings include Amazon, Apple, Microsoft, Meta, Google, Nvidia, and Tesla. Tariffs on production hubs like China, India, and Vietnam were announced, paused, and, in China鈥檚 case, raised repeatedly.

The exceptions are countries with a strong local competitor, like Mercado Libre in Mexico and Brazil. Domestic retailers in smaller markets, like Canada, have been slow to develop ecommerce channels, resulting in Amazon's dominance. Canada鈥檚 lag was acute in the past decade, especially versus the US.