Should a B2B Manufacturer Sell Direct on Amazon US?

At the year-end review, your finance director shows how much of last year's export revenue came from just three US buyers. Nobody in the room likes the answer. If one of those buyers moves its orders to another country, the factory will feel it within a quarter.

That's the meeting where many owners and export directors start looking at Amazon US. A B2B manufacturer should sell direct on Amazon US when it has products American shoppers already search for, enough margin left after Amazon's fees, and the cash to carry stock and ads for most of a year. If that holds for even a handful of your products, going direct gives your factory a second route to the US that you control.

How do I reduce my dependence on a few US buyers as a manufacturer?

A manufacturer reduces its dependence on a few US buyers by adding customers it reaches itself, and for many factories the shortest route to American shoppers is a brand of their own on Amazon US. New B2B accounts help too, but each one brings the same pressure on price once it grows large.

You can see that pressure in the trade press. In April 2025, US buyers asked Pakistani textile exporters to cut prices by at least half of the new tariffs, Nukta reported. "If exporters comply, it will mean significant losses for our industry," said Javed Bilwani, patron of the Pakistan Hosiery Manufacturers Association.

Vietnam's exporters face the same arithmetic from a stronger position. Customs data showed exports to the US up 27.2% year on year in January to November 2025, according to Vietnam Law Magazine. More US revenue is good news, but if most of it runs through three or four buyers, each of them holds more of your margin in every negotiation.

An Amazon brand changes who sets the price. You choose the retail price, you see which products shoppers pick and why, and the customer reviews belong to your listing rather than to a buyer's private label. Tariffs still reach you, so ask your customs broker for current rates before you price anything.

Write down what share of last year's US revenue came from your three largest buyers. If the answer is most of it, you have a reason to test the direct route, and you know how much one lost account would cost you.

Should a B2B exporter start selling direct to US consumers on Amazon?

A B2B exporter should start selling direct to US consumers on Amazon when at least a few of its products pass the tests below, and it should wait when none do. Factory owners in Asia have asked this question for years. In a July 2021 column for The Daily Star, the Bangladeshi denim manufacturer Mostafiz Uddin asked, "Can Amazon also be a direct route to customers for Bangladesh RMG sellers?" In the same piece he wrote, "We rely on others to do it for us."

Some factories have started answering it. Vietcetera, citing Amazon's Vietnam SMEs Empowerment Report 2025, said the number of Vietnamese sellers enrolling in Brand Registry, Amazon's program for brand owners, rose by 30%. These are the tests worth running on your own catalog.

1. US shoppers already search for the product, and the top sellers leave a gap you can fill, such as a size, a flavor or a complaint in their reviews.
2. The price shoppers pay leaves margin after Amazon's fees, freight, duties and advertising.
3. You can fund stock and ads for the months before sales cover costs.

The last test is where most boards hesitate, and they're right to ask. Jungle Scout, which sells software to Amazon sellers, surveyed sellers at the turn of 2024 and found that 58% were profitable within their first year, according to its 2024 seller report. That leaves a large share who weren't. How fast your brand could grow is a separate question, and how long it takes to reach $1 million on Amazon US sets out the scenarios rather than a promise.

Run these tests on your 10 best B2B products this month. If none passes all of them, you've saved yourself a costly first shipment.

What changes inside your company when you sell direct?

Selling direct changes who does the selling, while the factory keeps doing what it does best. On a typical split, your team opens the seller account in your company's name, produces and packs the goods, and sends stock to Amazon's fulfillment centers for FBA, Fulfillment by Amazon, where Amazon stores, ships and handles returns. Your partner handles market research, the listings, advertising and growth, and you work out the P&L together, meaning the profit and loss plan for each product.

The costs also look different from an export order. Amazon charges a referral fee on every sale that varies by category, for example 15% in Home and Kitchen. FBA fees depend on the product's price, weight and dimensions, and storage is charged monthly by the space your stock takes up, as Amazon explains on its FBA page. None of that appears on an FOB quote, so your finance team will need to read it per unit.

Time matters as well. From choosing the products to a live listing and the first round of tuning usually takes about six to nine weeks. After that, your people will read a weekly report instead of a monthly order.

Name one person in your company who will own the Amazon P&L before you start. If nobody can take responsibility for that work, you're not ready to sell direct yet.

Will going direct put your B2B orders at risk?

Going direct shouldn't put your B2B orders at risk if your Amazon products don't compete with the lines your US buyers already carry. The risk comes from selling the same item under a different name at a lower price, or a design a buyer considers theirs. We set out how to avoid that, and how to tell your buyers, in will selling on Amazon US upset your B2B buyers.

Ask your export director to list what each US buyer carries from you before anyone picks a product for Amazon. You'll start from the products that are clearly yours to sell.

What should a manufacturer look for in an Amazon partner for going direct?

A manufacturer going direct should look for an Amazon partner that picks products from the catalog you already make, shows a P&L with a break-even month before you ship, and works in hours that overlap with yours. Many firms run ads and listings well. Fewer start from a factory's catalog and ask which products can leave a profit at prices US shoppers will pay.

Product choice deserves the most attention, because a first wave of the wrong products is the quickest way to lose your board's support. We explain the tests in detail in which of your products to sell on Amazon US first. Our own Amazon launch services start there, then plan the P&L and run listings, ads and scaling.

Be wary of anyone who promises a sales figure or a date for your first $1 million. A serious partner tells you what drives the timeline and shows you the scenarios.

Ask each candidate for a sample P&L for one of your products, with fees, freight, duties and ads as separate lines. You'll learn more from that page than from any pitch deck.

Frequently asked questions

Can we sell on Amazon US under the label our buyer puts on our goods?

Usually not. A private label belongs to the buyer, and so, often, does the design. Your Amazon brand needs a name and a trademark you hold, and your lawyer should read the supply contract before you list anything that looks like a buyer's product.

Will we have to set up a company in the US first?

Not always. Amazon accepts sellers from most countries that have a registered local business and verified documents. Some brands still form a US entity for payouts, tax or retail plans. Your lawyer or accountant should confirm what your setup needs, since we don't give legal or tax advice.

Should we sell on Walmart as well as Amazon?

Yes, if your products fit its shoppers. Walmart Marketplace and other US sites can run next to Amazon from the start, each with its own sale events, and keeping every site's fees in one P&L shows where each product earns most.

Is selling direct worth it while our export margins are still healthy?

It can be, because the best time to build a second channel is before you need it. A brand takes months to gather reviews and rank, and that work is easier to fund while B2B orders are strong.