China Distribution Center by Amazon For US-Bound Inventory

AI Summary

In a notice to sellers on April 9, merchants can now bulk-store inventory destined for the U.S. at the e-commerce giantโ€™s new China distribution center by Amazon based at Shenzhen, which is the countryโ€™s manufacturing hotspot.

The announcement says the global warehousing and distribution location will give sellers the ability to conveniently replenish products into Amazon’s U.S. fulfilment network as needed.

Global Warehousing and Distribution provides a low-cost storage option at the origin of where a product is made, while Amazon Global Logistics provides the transportation across borders.

The Shenzhen facility offers benefits, including storage costs up to 45% lower than the U.S.-based bulk storage services of the company โ€“ Amazon Warehousing and Distribution, the business said. Through the combination of Shenzhen storage and Amazon Global Logistics, Amazon said sellers can also get inventory to U.S. fulfilment centers up to seven days faster.

The services powered by the China distribution center by Amazon at Shenzhen, as per the company are the first step in its drive to assist merchants sell their goods internationally and that too from day one. The e-commerce giant is bolstering up its global warehousing and cross-border logistics services while it expands its capabilities as a one-stop-shop supply chain services provider for sellers. Amazon faces stiff competition in this arena from rival Walmart, which has been ramping up its own international logistics services for merchants.

The global head of fulfilment from Amazon, Sunny Jain, said in a LinkedIn post that Shenzhen allows sellers that manufacture in China to hold inventory closer to the source and then ship products to the U.S. only as demand increases.

Jain says โ€œItโ€™s about cash flow, flexibility, and the ability to test new regions without excessive risk. The response has been immediate. Within two days of our announcement, sellers are already booking shipments.โ€

Amazon has announced that interested sellers can submit requests for delivery for the Shenzhen facility from within the Seller Central portal of Amazon.

Jain said the Shenzhen site was just the beginning and Amazon is extending itย to more locations in China and building connectivity to fulfilment networks throughout the world. Although he did not say where, but the South China Morning Post said Amazon would bring its Global Warehousing and Distribution model toย Yangtze River Delta region in Chinaย and broaden its distribution to Europe as well as Japan.

Chinese-based sellers happen to beย big driver of sales on Amazonโ€™s website, making up about half of the e-commerce giantโ€™s active sellers around the world, as per Marketplace Pulse research that wasย published in September 2025.

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