Amazon Announces $ 100 Million Logistics Investment in Mexico

Amazon said Thursday it had invested $ 100 million (about 736 million rupees) in opening new warehouses in Mexico, including its first shipping centers outside of the populous capital, to offer faster deliveries.

The new locations include two fulfillment centers, one near the northern city of Monterrey and one near downtown Guadalajara, as well as a support building in the state of Mexico, just outside of Mexico City.

Amazon also opened 12 delivery locations, bringing the number to 27 across the country.

“Building a solid infrastructure network enables the company to stay closer to customers than ever before, and thanks to this, it is possible to offer fast deliveries,” Amazon said in a statement.

Monterrey and Guadalajara are the two largest metropolitan areas in the country after the extensive area of ​​Mexico City.

The new facilities are a total of 69,000 square meters and create 1,500 direct and indirect jobs, according to Amazon.

In total, Amazon now operates five fulfillment centers, two support buildings and two classification centers in Mexico, where it launched its marketplace in 2015.

Enrique Alfaro, the governor of Jalisco state, which is home to Guadalajara, said the new local warehouse would help more small and medium-sized businesses ship their products faster and at lower costs.

Amazon is also aiming to gain a foothold in Brazil, where it recently opened its fifth and largest fulfillment center in the country at 100,000 square feet.

In both countries, Latin America’s largest economies, Amazon vies with local rivals for customer loyalty despite being ranked the world’s largest online retailer.

© Thomson Reuters 2020

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