Amazon is letting sellers use FedEx Ground again

The e-commerce giant blocked sellers from using the delivery service for Prime orders during the holiday season.

Abrar Al-Heeti Technology Reporter

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Abrar Al-Heeti

Jan. 14, 2020 2:29 p.m. PT

2 min read

Amazon will once again allow third-party sellers to use FedEx Ground and Home delivery services for Prime orders, the e-tailer said Tuesday. It temporarily blocked sellers from doing so last month, reportedly saying it made the move because of a decline in performance.

Amazon sent an email to sellers saying that FedEx Ground and Home would become available for seller-fulfilled Prime orders starting Tuesday at 2 p.m. PT. An Amazon representative confirmed the details. CNBC earlier reported the news.

Last month, Amazon said it had blocked sellers from using FedEx Ground and Home for Prime shipments to ensure customers got their packages in time for Christmas. Those delivery options were still available for standard shipments, and sellers were still allowed to use FedEx Express for Prime orders.

The company reportedly said it would reinstate Ground and Home options for Prime orders when "the delivery performance of these ship methods improves." Amazon now says these delivery options are consistently meeting the company's on-time delivery requirements.

In a statement, FedEx said the move is "good news for our mutual customers who have come to rely on the FedEx Ground offering."

FedEx and Amazon's relationship has been a rocky one. Earlier this year, FedEx ended its contract with Amazon for Express shipping. It then stopped ground deliveries for the online retail giant.

This comes as Amazon ramps up its own delivery network. In April, the company said it was spending $800 million that quarter to bolster its shipping infrastructure, and in June it expanded its air fleet. In May, the company held a ground-breaking ceremony for its new $1.5 billion air transportation hub in Kentucky.

Originally published Jan. 14 at 1:39 p.m. PT.
Updates, 1:48 p.m.: Adds more details about Amazon's delivery network and its relationship with FedEx; 2:29 p.m.: Includes statement from FedEx.