Amazon Expands Logistics Reach to All Businesses
According to Global Trade Magazine, Amazon has launched Amazon Supply Chain Services (ASCS), offering its transportation, distribution, and fulfillment infrastructure to all companies—not just marketplace sellers. The service integrates Amazon’s network of U.S. fulfillment centers, trailers, intermodal containers, and aircraft to provide end-to-end logistics solutions. This marks a significant expansion from previous offerings like Supply Chain by Amazon, which were limited to Amazon Marketplace sellers.
Amazon Supply Chain Services combines freight transportation, parcel shipping, and distribution and fulfillment using its network of U.S. fulfillment centers, trailers, intermodal containers, and aircraft.
Market Impact and Competitive Pressure
While experts do not see Amazon as an immediate disruptor to established carriers like FedEx and UPS, the service is expected to exert long-term competitive pressure. Matthew Hertz, CEO and founder of Third Person, stated the launch is not an immediate game changer but noted Amazon has been steadily expanding through services like Amazon Shipping and Multichannel Fulfillment. He predicted that over the next three years, Amazon will organically grow and capture additional market share as its customer base expands.
Amazon Shipping, a two-to-five-day parcel delivery service within ASCS, could especially impact parcel delivery providers through pricing competition. The service leverages Amazon’s existing infrastructure, which includes over 200 fulfillment centers across the United States. According to the report, this network enables same-day and next-day delivery options in select metropolitan areas. The service is currently available in 18 U.S. states and plans to expand to all 50 states by 2027.
Industry Perspective and Customer Adoption
Industry analysts suggest that Amazon’s entry into the broader logistics market could accelerate supply chain optimization among mid-sized and large enterprises. Akhil Nair, SEKO’s Vice President of Global Carrier Management & Ocean Strategy APAC, reported that compared to previous years, shipments now need to be booked up to eight weeks earlier than usual due to increased demand and capacity constraints. This trend underscores the growing complexity of global logistics, which Amazon’s expanded network may help alleviate.
According to SEKO Logistics, the shift toward integrated logistics platforms is increasing, with 68% of surveyed companies planning to integrate third-party logistics (3PL) services with their internal supply chain systems by 2026. Amazon’s new offering could further drive this trend by providing a single platform for transportation, warehousing, and last-mile delivery.
Operational Scale and Infrastructure
Amazon’s logistics network supports over 1.5 billion shipments annually, with more than 400,000 employees dedicated to logistics operations. The company has invested $18.7 billion in its logistics infrastructure since 2020, including the acquisition of 10,000 delivery vans and the expansion of 12 air cargo hubs. These assets form the backbone of ASCS, enabling scalable, real-time tracking and delivery performance.
The service is built on Amazon’s proprietary logistics software, which uses machine learning to optimize routing, inventory placement, and delivery windows. As of May 2026, the system processes over 10 million real-time shipment updates daily. This level of data integration allows for dynamic pricing models and predictive delivery scheduling, giving businesses greater control over delivery timelines and costs.
Source: www.globaltrademag.com
Compiled from international media by the SCI.AI editorial team.
