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" The president has also attacked Amazon for Bezos' ownership of the Washington Post, which has aggressively reported about missteps by Trump and his administration, thereby putting Bezos in Trump's cross hairs".

Trump took to Twitter on Thursday, noting that he has stated his "concerns with Amazon" long before the presidential election.

Amazon did not immediately respond to an AFP query on the Trump comments.

Amazon has been criticized for attempting to skirt state sales taxes, but since April past year it has voluntarily collected state sales tax on items it sells direct to customers in all 45 states that have one.

The report said Mr Trump had talked of using antitrust law to "go after" the company because he was anxious about small family stores going under.

Amazon has an agreement with the US Postal Service to deliver some parcels at bulk rates - a deal which some say provides a subsidy to the company but which others say helps the beleaguered postal operation.

"The post office actually makes a ton of money from Amazon", the source reportedly said. When retailers ship goods to states where they don't have a physical presence, they do not have to charge sales tax.

Amazon previous year announced plans to open a second headquarters as a companion to its home in Seattle, Washington, setting off a frenzied competition by states and cities offering tax breaks to the tech giant.

Stock in Amazon, the fourth most valuable company in the world, fell 3% Thursday morning. Amazon shares have still climbed 21% over the past three months while Microsoft's stock has gained 5.1% and the Dow Jones Industrial Average has lost 2.6%.

First of all, Amazon does pay taxes.

Deliveries for Amazon and other online retailers are the fastest-growing part of USPS' business, helping offset a sharp decline in regular first-class mail.

"There's no doubt that e-commerce is causing brick and mortar stores to close their doors", Behlke said. But other megastores like Walmart share much of the blame for that.

On later Wednesday, White House press secretary Sarah Huckabee Sanders said that the White House has no plan on any policy move directed at Amazon.

Amazon founder and chief executive Jeff Bezos also owns the Washington Post, which Mr Trump has criticised as "fake news".