Amazon Broadens Freight Offering Across the United States Shares of Saia (NASDAQ:SAIA), Old Dominion Freight Line (NASDAQ:ODFL) and FedEx Freight (NYSE:FDXF) came under pressure in premarket trading after Amazon (NASDAQ:AMZN) unveiled a significant expansion of its…
ss-than-truckload (LTL) freight business. Saia and Old Dominion shares fell approximately 7%, while FedEx Freight declined around 6%, as investors assessed the competitive implications of Amazon’s move deeper into the freight transportation market
Amazon announced that its LTL service can now deliver freight to any destination across the United States, extending beyond its previous focus on shipments destined for Amazon facilities. Service Now Available to Businesses of All Sizes The expanded offering enables companies to ship freight to third-party warehouses, distribution centres and retail locations nationwide, regardless of whether they sell through Amazon’s marketplace. The company said the decision follows strong adoption among Amazon vendors and selling partners, with growing demand encouraging a broader rollout.
Since launching the service in 2019, Amazon has supported tens of thousands of merchants and suppliers, transporting millions of pallets through its logistics network during the past year alone. Extensive Logistics Network Supports Expansion Amazon’s freight operation is backed by a large transportation infrastructure that includes more than 80,000 trailers and 24,000 intermodal containers operating across major U.S. markets. The service allows customers to ship palletised freight without paying for an entire trailer, offering a lower-cost solution for partial loads while providing access to available transportation capacity.