Cargo Breaking News
Amazon will have FedEx deliver large packages to the retailer’s customers for the first time in six years. The companies reached a multiyear agreement that renews a relationship that ended in 2019. The deal follows a January announcement by UPS that it will cut the number of packages it delivers for Amazon by half by the end of next year, according to the report. Amazon said in the report that it does not plan to use FedEx to replace the business it still does with UPS; instead, FedEx will serve as one of several third-party partners that deliver to the retailer’s customers, per the report. “FedEx joins our other third-party partners like UPS and the USPS that work alongside our own last mile delivery network to help us balance capacity to best serve customers,” Amazon spokesman Steve Kelly said in the report. Amazon’s own logistics network, which is made up of small businesses, delivers more than two-thirds of the retailer’s packages, according to the report.A FedEx spokesperson said in the report, “We have reached a mutually beneficial, multiyear agreement to provide residential delivery of select large packages for Amazon.”
