FedEx Express will not renew contract with Amazon

By Sean Galea-Pace
The US-based courier giants, FedEx Express, will not extend its domestic contract with Amazon and will focus on serving the broader e-commerce market, a...

The US-based courier giants, FedEx Express, will not extend its domestic contract with Amazon and will focus on serving the broader e-commerce market, according to Supply Chain Dive.

With the contract set to expire on 30 June, the company decided against renewing due to “significant demand and opportunity for growth in e-commerce” and stressed that only 1.3% of FedEx’s total revenue comes from Amazon.

SEE ALSO:

The move will not affect any existing contracts or Amazon shipments through other FedEx business units, like FedEx Ground, or last-mile deliveries and international shipments.

Following the end of the partnership, FedEx has displayed a lack of interest in delivering packages for a firm and remains keen on expanding its own air network.

In an email to Supply Chain Dive, a spokesperson for Amazon, said: "We respect FedEx’s decision and thank them for their role serving Amazon customers over the years.”

Share

Featured Articles

IBM: Supply Chain Data is Sustainability 'Blockage'

IBM study highlights sustainability disconnect between intention and impact, with 76% of execs agreeing it's crucial but just 30% making much progress

Heineken Toasts Success of Supply Chain Transformation

Digital transformations have a notoriously high failure rate but not so at Heineken, who has transformed its European logistics operations to great effect

GEP's Procuretech Advice, as new Scope 3 Reporting Laws Loom

GEP issues advice around mandatory Scope 3 reporting, an issue that will figure large at Sustainability LIVE: Net Zero, being held in London

Cainiao: The World's Largest Ecommerce Logistics Provider

Operations

FedEx Express Opens Singapore Logistics HQ

Logistics

Supply Chain Problems Sees Partnerships Programme Grow

Operations