Amazon expands LTL freight to all US businesses
Amazon Supply Chain Services expanded its less-than-truckload freight service to all US destinations, including third-party warehouses, distribution centers, and retail partners. The service, supported by a fleet of more than 80,000 trailers and 24,000 intermodal containers, allows businesses to ship partial loads by pallet with features like real-time GPS tracking and automated scheduling. This expansion targets the $1.3 trillion third-party logistics market, which analysts believe could be a significant long-term growth driver for Amazon.

*this image is generated using AI for illustrative purposes only.
Amazon Supply Chain Services (ASCS) expanded its less-than-truckload (LTL) freight service to all US destinations, including third-party warehouses, distribution centers, and retail partners. The service, previously limited to inbound shipments for Amazon, now allows businesses of all sizes to ship partial loads by pallet, offering cost-effective freight shipping, reliable capacity, and GPS-powered tracking. This expansion builds on Amazon's broader push into third-party logistics, a market Bank of America estimates is worth $1.3 trillion globally. Analysts suggest the ASCS rollout could become a significant long-term growth driver by monetizing logistics infrastructure originally built for its retail operations, similar to the Amazon Web Services model.
The LTL service is part of Amazon Freight, which spans full truckload, LTL, and rail services. It is supported by a fleet of more than 80,000 trailers and 24,000 intermodal containers, with terminals across major US metros. Businesses can ship freight ranging from one to six pallets, or between 150 and 15,000 pounds, to warehouses, between facilities, or to retail partners and distributors. The service gives shippers access to the same logistics infrastructure, technology, and reliability that Amazon uses to move its own freight every day, with scalable capacity to support businesses when shipping volumes increase.
Key Features and Benefits
Amazon LTL offers several benefits designed to streamline logistics operations:
- Drop trailer support: A unified drop trailer pool supports both LTL and full truckload shipments, simplifying yard operations for customers using multiple ASCS Freight services.
- Shipment visibility: End-to-end real-time GPS tracking from pickup through delivery, proactive milestone updates, automated appointment scheduling, and electronic proof of delivery.
- Sensor-equipped fleet: Centralized monitoring with cargo cameras and door sensors enables automated driver alerts and real-time freight security.
- EDI integrations: Automated order tendering, shipment tracking, and invoicing connect directly to existing supply chain systems.
- Experienced LTL drivers: Drivers trained in LTL operations handle pickup and delivery, bringing expertise in freight handling, multi-stop routing, and dock procedures.
Flexible Pickup Options
Amazon provides seamless booking and flexible pick-up options to accommodate varying shipping needs:
| Pickup Option | Description |
|---|---|
| Next-day live pickup | Available for orders placed by 5 p.m. |
| Same-day pickup | Through Amazon's drop trailer solution. |
| Standing daily pickups | For high-volume shippers. |
Customer and Executive Insights
Zech Hintz, vice president of global supply chain at Pattern, a global ecommerce accelerator, highlighted the service's efficiency. "In the past year, we've seen faster transit times and lower costs compared to traditional LTL services. It's rare to get both, and that's what makes this service stand out," Hintz said.
Jim Ruiz, director of Amazon Freight, emphasized the expanded reach. "The feedback from Amazon selling partners using our LTL service was clear: the technology, visibility, and reliability were exactly what they needed—and they wanted to use it more broadly," Ruiz stated. "Now Amazon LTL can move your freight wherever it needs to go, servicing destinations nationwide for businesses of all sizes."
Amazon Supply Chain Services provides businesses access to the freight, distribution, fulfillment, and parcel shipping capabilities Amazon has built over decades. The LTL expansion is the latest addition to this portfolio, aimed at helping businesses improve performance and reduce complexity.
How will established LTL carriers adjust their pricing and service models to compete with Amazon's entry into the broader market?
Will Amazon face antitrust scrutiny regarding the use of its retail-built infrastructure to compete against third-party logistics providers?
Could the success of Amazon Freight lead to the spin-off of Amazon's logistics division into a separate publicly traded entity?





















