The role of Amazon as a sales platform for European small and medium-sized enterprises (SMEs) has become increasingly significant, demonstrating the power of e-commerce in fostering international trade. In 2025, over one hundred thousand EU-based SMEs sold more than 40 billion euros worth of goods on Amazon for the first time, a milestone highlighting the platform’s scale. These businesses traded an astonishing volume, exceeding 1.3 billion products, which translates to over 2,500 items sold every minute. With an average product price around 30 euros, this activity underscores a vibrant marketplace where a diverse range of goods, from everyday essentials to niche products, finds a global audience.
A key driver of this growth is cross-border sales, which are central to Amazon’s value proposition for many European sellers. Last year, 85 percent of European SME sellers on Amazon engaged in international trade, generating a collective 17 billion euros in cross-border sales, an increase of 2 billion euros from 2024. The majority of this trade, amounting to 13.5 billion euros, occurred within the European Union itself, showing the platform’s effectiveness in connecting businesses with neighboring markets. This intra-EU growth, alongside an additional 3.5 billion euros in sales to customers outside the Union, indicates that SMEs are successfully expanding their reach both inside and outside Europe’s borders.
The importance of cross-border sales varies by country, reflecting Amazon’s strategic positioning in different European markets. In countries like the Netherlands and Belgium, where Amazon is not the dominant market leader, the platform often serves as a crucial springboard for local sellers to access international customers. Conversely, in Europe’s largest e-commerce markets such as Germany, the United Kingdom, France, Italy, and Spain, Amazon’s domestic dominance provides a strong base for local sales. Overall, cross-border transactions accounted for more than 40 percent of European SMEs’ sales on Amazon in 2025, demonstrating that international expansion is a fundamental part of their business strategy on the platform.
Despite this success, Amazon identifies regulatory hurdles as a challenge for European SMEs seeking to trade across borders. The company advocates for policymakers to level the playing field by reducing administrative burdens, specifically calling for an extension of deemed supplier legislation. This proposal would require online retailers to collect VAT on all sales, irrespective of the seller’s location, aiming to eliminate a structural disadvantage currently faced by European SMEs. By simplifying tax compliance, such measures could further empower SMEs, reduce barriers to international trade, and help them thrive in the competitive global e-commerce landscape.
