Amazon Global Warehousing and Distribution now gives eligible US sellers sourcing from China 30 days of free storage, a new Shanghai facility, and lower-cost inventory replenishment ahead of peak season.
Cross-border logistics has traditionally required sellers to coordinate warehouses, freight providers, and inventory transfers across multiple partners. That process can add costs and make it harder to respond quickly when customer demand changes.
With recent enhancements to Amazon Global Warehousing and Distribution, Amazon is continuing its effort to centralize more of that workflow under one service. The latest announcement introduces several changes that could help sellers improve inventory planning while reducing storage expenses.
Amazon Global Warehousing and Distribution Expands Benefits for Sellers
Amazon has announced new updates to Amazon Global Warehousing and Distribution, giving eligible sellers in the US store who import products from China 30 days of free storage for shipments received at an active GWD fulfillment center between July 1 and December 31, 2026. The promotion is applied automatically when eligible shipments arrive, after which standard storage rates apply.
The announcement also expands Amazon GWD with a new fulfillment center in Shanghai beginning July 16, 2026, alongside the existing Shenzhen location. Amazon will also support the Free On Board (FOB) Incoterm across all GWD locations, allowing sellers to receive separate invoices for export declarations and origin port handling charges.
According to the announcement, sellers can use the service to store Amazon inventory closer to their manufacturers in China while Amazon replenishes inventory to Fulfilled by Amazon fulfillment centers in the United States based on demand. This approach is intended to simplify Amazon logistics, reduce US storage costs for inventory that is not yet ready to sell, and help products remain available for customers.
The announcement also highlights several practical benefits for sellers:
- Start with one shipment and no long-term commitment.
- Avoid increased storage fees during the promotional period.
- Store inventory closer to manufacturers in Shenzhen or Shanghai.
- Keep control of export documentation with FOB support.
- Reduce US storage costs by storing inventory in China first.
- Let Amazon replenish FBA inventory based on demand.
- Submit shipments through the GWD workflow in Seller Central.
For sellers evaluating whether these updates fit their business, an experienced Amazon agency can help determine if the program aligns with their inventory and fulfillment strategy.
Global Warehousing and Distribution Offers Lower Storage Costs
According to an Ecomcrew article, Amazon is using the promotion to encourage sellers who manufacture in China to try a different inventory flow before the busiest selling months of the year. Rather than shipping large quantities directly to the United States, sellers can first stage products through Amazon Global Warehousing and Distribution and evaluate whether the service fits their business while the free storage offer is available.
The free storage incentive does not remove every cost associated with the program. Amazon GWD shipments still incur processing fees of $0.20 per inbound carton and $0.30 per outbound carton, while export declarations cost $50 per inbound shipment plus $0.10 for each outbound carton, and transportation charges are billed separately through Amazon Global Logistics.
Sellers that rely on automatic replenishment may also qualify for additional fee relief as part of their inventory management strategy. Amazon states that products stored for 181 to 365 days can avoid low-inventory-level fees, storage utilization surcharges, and aged inventory surcharges when at least 70% of the SKU has been replenished through GWD or AWD over the previous 90 days.
The program does involve a tradeoff because Amazon determines when and how much inventory is transferred into US fulfillment centers under auto-replenishment. Sellers who prefer to schedule replenishment around promotions or major sales events can continue using manual replenishment, although those shipments do not qualify for the same fee waiver benefits.
GWD Expansion Adds New Storage and Logistics Benefits
The latest Amazon Global Warehousing and Distribution update combines a limited-time free storage promotion with new logistics capabilities for eligible US sellers sourcing products from China. The changes are intended to help sellers reduce inventory costs, improve inventory planning, and prepare for higher demand during the peak shopping season.
| Update | Seller Benefit |
|---|---|
|
30 days of free storage |
Applies to eligible shipments received between July 1 and December 31, 2026 |
|
Storage rates |
Up to 45% lower than US Amazon Warehousing and Distribution |
|
New Shanghai facility |
Available beginning July 16, 2026, alongside the existing Shenzhen location |
|
FOB Incoterm support |
Available across all GWD locations for export documentation flexibility |
|
Demand-based replenishment |
Inventory moves to US FBA fulfillment centers based on customer demand |
The expansion of Amazon GWD adds a warehouse in Shanghai, giving sellers another storage location closer to manufacturing and export hubs in eastern China. ChannelMAX reports that Amazon also introduced FOB support across all GWD locations, allowing sellers to receive separate invoices for export declarations and origin port handling charges.
Eligible sellers can participate by creating a shipment through Send to Amazon Warehousing and Distribution in Seller Central, selecting a China ship-from address, choosing a GWD distribution center, entering products and quantities, and submitting the booking. The 30-day free storage benefit is applied automatically once an eligible shipment arrives at a participating GWD facility.
