Amazon sails into ocean freight

Amazon has begun shipping shipments from merchants in China to its warehouses in the US via ocean freighters. This is a service Amazon used to outsource to outside freight companies.

Amazon logotype printed on cardboard boxAmazon doesn’t own any ships, however they now act as a logistics provider shipping the containers on vessels owned by other carriers. They will book cargo space which will convey goods from those carriers to warehouses and vice versa. Controlling parts of its own process for procuring goods and offering services to others marks another push forward into delivery.

This move gives Amazon an even bigger edge against traditional U.S. retailers in negotiating lower prices for goods, and at the same time competing with the likes of FedEx and UPS.

Since October Amazon have coordinated shipping of goods imported from China for at least 150 containers.

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