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Amazon moving into shipping

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Amazon

Amazon is looking to take control of the shipping process that carries its products across the world's oceans.

When we think about Amazon shipping products to us, it typically involves a series of middlemen, including a major shipping company.

Now the online retailer is looking to take on that shipping role for itself. As Flexport reports, Amazon China has successfully registered to operate as an ocean freight forwarder in the US.

It's only the first step toward entering the $350 billion ocean freight market - the commencement of actual Amazon shipping could take years - but it's a significant one.

This doesn't just mean that Amazon will be able to ship its own goods into its home country. It also means that Amazon is now authorised to sell freight shipping services to other companies.

As the report points out, the ability to sell shipping services means that Amazon can make life easier for smaller Chinese companies who want to provide products to American customers through the Amazon web page.

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This could help Amazon to fight back against global rivals Wish and Alibaba, which have been making considerable progress of late.

All in all, the report suggests that this is a good move on Amazon's part, and the best time to join the shipping business with prices at a low point.

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