Amazon Expands Shipping Capacity To Fight Holiday Season Grunts
(Reuters) – Amazon.com Inc said on Monday it had doubled its container handling capacity and secured more shipment storage from ocean freight carriers in an attempt to overcome supply chain bottlenecks in time for the holiday shopping season.
The stop-and-start nature of the COVID-19 pandemic has scolded global supply chains that are optimized for the just-in-time movement of goods, while labor and equipment shortages and the lack of space to store products exacerbated the situation.
Amazon, which plans to hire 150,000 seasonal workers in the United States during the holiday season, said it had also increased ports of entry to its network by 50%.
The ecommerce giant isn’t the only company trying to use its scale and deep pockets to navigate its way through supply chain headaches.
Retailers, including Walmart Inc, Target Corp and Home Depot, have said they are chartering ships to deal with pandemic downturn in shipping networks that handle 90% of global trade.
Earlier this month, President Joe Biden urged the private sector to help ease supply chain bottlenecks by expanding overnight port operations to try to meet delivery needs.
(Reporting by Uday Sampath in Bengaluru; Editing by Shailesh Kuber)