AMZ123 has learned that Amazon is expanding its China-to-US air freight service, Amazon Global Logistics (AGL), adding Air SMP and Economy Air to provide faster restocking, more flexible inventory placement and lower shipping costs.

AGL speed and cost comparison

Air SMP lets sellers split inventory at the China origin and fly goods to designated Amazon fulfillment centers across five US regions, with delivery in 7–10 calendar days from pickup and daily flights from Shanghai and Hong Kong. It charges no FBA inbound placement fee and no extra surcharges for apparel, electronics or lithium batteries.

Economy Air offers lower-cost air shipping from Shanghai or Shenzhen to Los Angeles, with 11–15 days transit. It is cheaper than standard AGL air but faster than ocean, creating a middle option.

Ocean usually takes 30–45 days and costs least; Economy Air takes 11–15 days and costs about 2–3 times ocean; Express Air takes 3–7 days but may cost 4–6 times ocean.

Starting in Q4 2026, Amazon will extend the $0 FBA inbound placement fee structure to air cargo. Previously, single-destination shipments forced Amazon to redistribute goods to regional fulfillment centers, incurring placement costs. The 2024 FBA inbound placement fee, based on size, weight and distance, ranges from $0.27 to over $1.58 per unit; for single-destination air, standard-size items could reach $0.89–$1.58 or more.

After this expansion, air cargo can receive $0 inbound placement fees whether sellers choose one or multiple destinations. Amazon also offers Seller Managed Placement for greater placement control; with air included, the cost pressure of regional allocation by air has decreased.

However, $0 placement fees do not mean AGL is always cheaper. Total landed cost includes factory pickup, consolidation, export/import clearance, freight, duties, final delivery, palletization, labeling, insurance and other charges. Sellers should compare total cost from factory to Amazon warehouse, not just freight or placement fees.

For example, 500 kg from Shenzhen to the US might cost $3,950 via AGL versus $4,550 via a traditional forwarder; but if Amazon’s base freight or destination fees are higher, the advantage may shrink, so sellers need item-by-item comparison.

Air SMP and Economy Air suit peak-season stocking, stockout recovery and time-sensitive new launches. Economy Air is especially suitable when stockout is two to three weeks away, allowing 11–15-day restocking without higher express fees. Seasonal goods, small-batch new products and fast-moving SKUs can benefit. For stable demand, ocean remains lower-cost; air is best as a supplement, not a replacement.

AGL seller compliance requirements

AGL does not remove compliance obligations. It can provide customs brokerage, but sellers remain the Importer of Record. The accuracy of value, HS codes, origin, duties and declaration information still falls on sellers.

AGL covers mainland China, Hong Kong and Vietnam as origins, serving the US, UK, France, Germany, Italy, Spain and Japan. Goods can move from suppliers to FBA or AWD, with booking and tracking in Seller Central.

For the US, 2026 tariff and import conditions make cost calculation more complex. Sellers using AGL from China to the US should track full landed cost, including product cost, freight, tariffs, surtaxes, customs bond, placement, labeling and insurance.

AGL requires FBA registration, an AGL account and payment method, plus Importer of Record documents. After approval, sellers can book in Seller Central and track status and clearance via Seller Central or Shipper Central.

AGL’s main advantage is centralized processing: freight booking, customs, FBA inbound and tracking in one system. Traditional forwarders still provide more flexible routes, pricing, warehousing, consolidation and special cargo handling, and may better serve multi-channel sellers. Some sellers use both systems.

AGL service options

AGL offers Standard Ocean, Fast Ocean and Air Freight. Standard Ocean supports FCL and LCL to the US, UK, France, Germany, Italy, Spain and Japan as a lower-cost regular option. Fast Ocean supports FCL and LCL, mainly for the US, faster than Standard Ocean but cheaper than air.

FCL suits large volumes and reduces handling; LCL suits shipments that cannot fill a container. Durable goods can use floor loading to improve space utilization and lower unit cost; fragile or heavy goods benefit from palletization despite using more space.

In the US, Amazon Managed Placement lets Amazon distribute inventory to multiple fulfillment centers and includes placement costs in the service price; it supports LCL/FCL and Standard/Fast Ocean, limited to 2,000 boxes per 40-foot and 1,000 per 20-foot container. Seller Managed Placement lets sellers ship directly to different regional warehouses for greater control. Minimal Shipment Splits sends inventory to a single US fulfillment center but incurs FBA inbound placement fees, sometimes cheaper for low-density containers.

Global logistics service GWD

Amazon says only 30% of sellers sell in more than one country, while multi-country sellers earn on average 70% more. Global Warehousing and Distribution (GWD) will expand from the US to seven more countries—the UK, Japan, Germany, France, Italy, Spain and Canada—covering eight countries by the end of 2026.

Sellers can send one batch to an Amazon warehouse near their factory and allocate inventory to countries based on demand. Amazon expects GWD storage costs to be up to 45% lower than US AWD, and FBA replenishment up to five days faster. AWD has also expanded to the EU, UK and Australia.

Compliance testing and supply chain tools

Different country packaging, labeling, safety and ingredient rules make compliance a major barrier. Amazon now allows one test submission to meet multiple country certifications, starting with toys; electronics and baby products are expected by the end of 2026. Pilot sellers report up to 60% compliance cost savings. By 2027 Amazon plans to expand categories and show requirements before production. It is also building a unified supply chain interface and extending Seller Assistant to handle aging inventory, inbound plans and proactive alerts.

Source: Amazon News
Original link: https://www.amz123.com/t/tEUfN1Tk