EU SMEs Hit 17 Billion Euros in Amazon Exports

Why It Matters

The surge underscores Amazon’s growing importance as a gateway for European SMEs to reach international customers, while the proposed VAT reforms could reshape cross‑border e‑commerce costs and competitiveness across the EU market.

Key Takeaways

• EU SMEs generated €17 bn ($18.5 bn) in cross‑border Amazon sales.
• Cross‑border sales now exceed 40% of EU SMEs' Amazon revenue.
• 85% of EU SME sellers exported beyond their home country in 2025.
• Intra‑EU exports grew to €13.5 bn ($14.7 bn), up from €12 bn.
• Amazon urges EU policymakers to extend VAT collection to all online sales.

Pulse Analysis

Amazon’s platform has become a critical export engine for European small and medium‑sized enterprises. In 2025, more than 100,000 EU‑based SMEs leveraged the marketplace, collectively surpassing €40 bn ($43.6 bn) in sales and delivering €17 bn ($18.5 bn) in cross‑border revenue. This growth outpaces the prior year by €2 bn ($2.2 bn) and reflects a broader shift toward digital trade, where the average transaction value hovers around €30 ($33). The data highlights Amazon’s role not just as a domestic retailer but as a catalyst for pan‑European commerce.

The cross‑border dynamics reveal nuanced regional patterns. While 85% of EU SME sellers shipped beyond their borders, intra‑EU exports dominate, climbing to €13.5 bn ($14.7 bn) and representing roughly three‑quarters of all cross‑border sales. Countries such as the Netherlands and Belgium treat Amazon as a springboard to external markets, whereas Germany, the United Kingdom, France, Italy and Spain remain Amazon’s strongest domestic hubs. This divergence suggests that market maturity, logistics infrastructure, and consumer preferences shape how SMEs exploit the platform for international reach.

Policy considerations are now front‑and‑center. Amazon’s call for extending deemed‑supplier VAT legislation—to require online retailers to collect tax on every sale regardless of seller location—aims to eliminate a structural disadvantage for European SMEs. Uniform VAT collection could simplify compliance, reduce administrative burdens, and foster a more level competitive field across the bloc. If adopted, the reform may accelerate SME participation in cross‑border e‑commerce, further embedding Amazon in Europe’s digital trade ecosystem.