California AG: Amazon forced Levi’s, Hanes to raise prices

California Attorney General Rob Bonta has released a series of unredacted court documents detailing how US e-commerce giant Amazon allegedly pressured fashion and lifestyle brands to inflate prices across the retail market. The filings, part of an ongoing antitrust lawsuit in the San Francisco Superior Court, implicate major industry names such as Levi Strauss & Company (Levi’s) and Hanesbrands (Hanes) in a systematic effort to prevent competitors from undercutting Amazon’s pricing.

The evidence suggests that Amazon leveraged its dominant market position to monitor prices on rival platforms, including Walmart and Target. When lower prices were detected, Amazon reportedly compelled brands to intervene with those retailers to secure price increases, threatening them with reduced visibility or delisting on the Amazon marketplace if they failed to comply.

“The evidence we've uncovered is clear as day: Amazon is working to make your life more unaffordable. The company is price fixing, colluding with vendors and other retailers to raise costs for Americans beyond what the market requires — beyond what is fair,” said Attorney General Bonta in a statement.

Pressure on apparel leaders Levi’s and Hanes

Newly unsealed communications highlight the specific roles of prominent US apparel firms in these pricing dynamics. In 2021, an Amazon employee reportedly flagged 'styles of concern' to a counterpart at Levi’s, referencing khaki pants priced lower on Walmart.com. Following the exchange, the Levi’s representative confirmed that Walmart had partnered to raise the price of the Easy Khaki Classic fit to 29.99 dollars, describing the move as being in the ‘best interest of the marketplace’.

A similar pattern was observed with US-based basic apparel manufacturer Hanes. Court records show that in 2022, Amazon sent Hanes direct links to lower-priced items on the websites of Target and Walmart. A Hanes employee subsequently confirmed the brand had “reached out to Target and Walmart to have the prices increased” to align with Amazon’s expectations.

Rob Bonta said his office released the new filings Monday to demonstrate how Amazon “coordinates” with vendors and major retailers—including Target, Walmart, Chewy, Best Buy, and Home Depot—to drive price increases across the market.

Strategic implications for fashion executives

The legal challenge, which is set to go to trial in January 2027, poses significant questions for the fashion industry’s distribution strategies. For executives at brands like Levi’s and Hanes, the allegations highlight the risks of maintaining price parity across multiple retail channels under pressure from a dominant platform.

Bonta is currently seeking a preliminary injunction to halt these practices immediately. For the fashion sector, the outcome of this case may redefine the boundaries of wholesale partnerships and digital commerce compliance.