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Amazon is suspending shipping on non-Amazon packages as it struggles to keep up with customer orders during the coronavirus pandemic. The test program, known as Amazon Shipping, will be paused in June because the e-commerce juggernaut needs to shift its workers toward fulfilling its own orders, the Wall Street Journal reported. “We regularly look at …
Amazon is suspending shipping on non-Amazon packages as it struggles to keep up with customer orders during the coronavirus pandemic.
The test program, known as Amazon Shipping, will be paused in June because the e-commerce juggernaut needs to shift its workers toward fulfilling its own orders, the Wall Street Journal reported.
“We regularly look at a variety of factors across Amazon to make sure we’re set up in the right way to best serve our customers,” Amazon said in a statement.
Amazon Shipping is available in a handful of U.S. cities, including Los Angeles, and handles packages that would otherwise go to UPS and FedEx. Shares of those companies soared Wednesday on the news as it will generate more business for them.
The Seattle company is grappling with a demand surge in the United States, where many residents are under stay-at-home orders to stop the spread of the novel coronavirus that is sweeping around the globe.
Amazon has been unable to get many packages to customers in one or two days, as it had promised prior to the epidemic. The company last month banned sellers from shipping any non-essential items to its warehouses as it shifted its focus to demand for basic staple items such as medical supplies and baby products.
The suspension of the Amazon Shipping program will allow the company to focus on its core delivery operation, said Trevor Outman, founder of consultancy Shipware.
Amazon said in March it would hire 100,000 warehouse and delivery workers in the United States to deal with a surge in online orders.
With Post wires
