Amazon Tightens Supply Chain Rules Safeguards Reporting Rights

Amazon is updating its supply chain standards, effective January 19th, with stricter requirements for labor protection, grievance mechanisms, child labor, working conditions, natural resource use, and information security. Sellers should be aware that improper attempts to remove follow sellers might result in losing the right to report infringement. This article details the impact of the new regulations and the correct steps to remove follow sellers, helping sellers operate in compliance. The new rules emphasize ethical and sustainable practices within the Amazon ecosystem.
Amazon Tightens Supply Chain Rules Safeguards Reporting Rights

Imagine spending months building a best-selling product listing on Amazon, only to have unauthorized sellers swoop in, undercut your prices, and erode your profits. Your instinct might be to report these infringements, but Amazon's changing policies could render your complaints ineffective—or even backfire.

Amazon recently announced significant updates to its Supply Chain Standards, effective January 19, 2024, across U.S., European, and Japanese marketplaces. These changes go beyond routine policy tweaks—they fundamentally alter how sellers can protect their intellectual property, with potentially severe consequences for those who misuse the reporting system.

I. Stricter Supply Chain Standards: Heightened Responsibilities

The updated standards emphasize human rights, labor protections, and environmental sustainability, applying to all vendors and third-party sellers. Key changes include:

  • Enhanced labor protections: Suppliers must provide clear employment terms before workers begin assignments and ensure full understanding of rights and obligations.
  • Robust grievance systems: Workers must have access to retaliation-free complaint channels with guaranteed timely resolution.
  • Zero-tolerance child labor policy: Immediate corrective action required for any child labor violations, including proper education placement.
  • Workplace safety mandates: Suppliers must provide protective equipment, safety training, and preventive measures against occupational hazards.
  • Environmental safeguards: Prohibits land appropriation and illegal resource extraction, requiring compliance with local ecological regulations.
  • Data privacy requirements: Strict protocols for handling worker information and preventing data breaches.

II. The Reporting Paradox: How Anti-Counterfeit Efforts Can Backfire

Many sellers aggressively report suspected counterfeiters, but Amazon now scrutinizes these complaints more rigorously. Exaggerated claims or false reports may trigger penalties, including:

  • Temporary or permanent revocation of reporting privileges
  • Lengthy appeal processes with low success rates
  • Extended vulnerability to counterfeiters during investigations

The platform has grown increasingly intolerant of reporting system abuse, leaving legitimate sellers caught between counterfeit threats and strict enforcement.

III. Strategic Counterfeit Reporting: Best Practices

To effectively combat counterfeiters while avoiding policy violations:

  • Thoroughly review Amazon's intellectual property policies
  • Verify your trademarks, patents, or copyrights are valid and enforceable
  • Document infringements with comprehensive evidence (registration certificates, product comparisons, purchase records)
  • Select accurate reporting categories—misclassification voids complaints
  • For test purchases: photograph packaging, document quality issues, and preserve order details

IV. Step-by-Step Infringement Reporting

Step 1: Navigate to Brand Registry → "Protect" → "Report Violation" → Select marketplace → Search ASIN

Step 2: Confirm listing control (your offer should appear grayed-out/unselectable)

Step 3: Choose "Trademark infringement"

Step 4: Select "Counterfeit product"

Step 5: Indicate whether test purchases occurred (provide order numbers if applicable)

Step 6: Submit contact information (use Brand Registry email for consistency)

Important: Unauthorized sales ≠ counterfeiting. Genuine products sold without permission require different enforcement strategies.

V. The Compliance Imperative

Amazon's policy updates reflect growing emphasis on ethical commerce. Sellers must balance brand protection with strict adherence to platform rules—those who weaponize reporting systems risk losing critical anti-counterfeit tools. In Amazon's evolving marketplace, long-term success belongs to those who master compliant brand enforcement.