Amazon Expands Its Own Delivery and Alternative Carrier Networks
Amazon continues to expand its own delivery and alternative carrier networks, while some Australian sellers are shifting to U.S.-based fulfillment warehouses.
What are the key facts?
- 1Amazon continued expanding its own delivery network in the first half of 2026
- 2Amazon expanded its alternative carrier network to reduce reliance on traditional carriers
- 3Amazon further expanded last-mile delivery coverage
- 4Some Australian sellers use U.S.-based fulfillment warehouses to process orders
- 5Profit margins for cross-border small-parcel direct shipping may be squeezed by multiple costs
What happened?
Supply Chain Dive reported on November 10 that Amazon continued expanding its own delivery and alternative carrier networks in the first half of 2026 to reduce reliance on traditional carriers such as UPS and further expand last-mile delivery coverage. The report also noted that some Australian sellers are already processing orders through U.S.-based fulfillment warehouses to address changes to low-value import rules and pressure from cross-border direct-shipping costs. The trend is directly relevant to sellers in China, Australia and other overseas markets. For products with low average order values, large package volumes or high return rates, profit margins may continue to be squeezed by tariffs, delivery and return costs when using cross-border small-parcel direct shipping alone. The original report recommends that sellers compare the total landed costs of FBA, Walmart local warehouses, third-party overseas warehouses, platform delivery and self-fulfillment rather than comparing only first-leg shipping costs.
What does this mean for cross-border sellers?
Amazon’s expansion of its own delivery, alternative carriers and last-mile coverage means sellers need to reassess whether cross-border direct shipping or local fulfillment is more suitable. Products with low average order values, large package volumes or high return rates may continue to face margin pressure from tariffs, delivery and return costs, so sellers should not look only at first-leg shipping costs.
What should sellers do now?
- 1This week, use a profit calculator to create a comparison table for FBA, Walmart local warehouses, third-party overseas warehouses, platform delivery and self-fulfillment for core listings with low average order values, large package volumes or high return rates, recording the total landed cost of each option.Profit calculator
- 2This week, enter package dimensions for core listings with large package volumes, verify dimensional weight and delivery costs, compare the results with cross-border small-parcel direct shipping, and complete a reviewable logistics-cost checklist.Dimensional weight
- 3This week, calculate the costs of FBA, Walmart local warehouses, third-party overseas warehouses, platform delivery and self-fulfillment for the same product, produce a channel-selection table, and specify the current option and switching triggers.Marketplace fee compare