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Amazon Launches LTL Shipping Service for its Warehouses

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Source: Photo by Nico Baum, Unsplash

Amazon has announced the launch of an LTL service for delivering goods to its warehouses in the U.S. This decision allows sellers to use the cheaper ways of transportation.

This is especially important in the context of the current Trump Administration's tariff war with China and other countries.

The new LTL service is integrated into the Amazon Partner Carrier program, giving sellers a choice of carriers to send shipments. Matt Nelson, Amazon's global purchasing director, noted that this increases flexibility and reduces costs for customers.
 

Photo by Daniel Holland, Unsplash 

LTL freight rates vary depending on the distance, but Amazon guarantees competitive prices. The company also offers discounts of up to 25% for Freight Partner program participants, encouraging the use of the service.

The launch of the service has raised concerns among traditional LTL carriers such as XPO and Old Dominion due to potential volume reallocation. Analysts suggest that Amazon may expand its LTL offering beyond its own needs, which will increase competition in the industry.


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