An amazon worker unloads packages on November 29, 2024 in New York City.
David Dee Delgado | Getty Images
Amazon on Wednesday addressed its business relationship with the U.S. Postal Service, saying in a blog post that recent contract renewal negotiations with the carrier fell apart in December when it “abruptly walked away at the eleventh hour.”
The comments came after several outlets reported on Tuesday that Amazon plans to sharply reduce the number of packages it sends through the Postal Service after failing to come to an agreement.
The company, which has long been the mail service’s largest customer, reportedly aimed to cut USPS volumes by at least two-thirds when its contract expires at the end of September.
“Our goal was to increase our volumes with USPS, not reduce them — until USPS abruptly walked away at the eleventh hour in December,” Amazon said.
Amazon said it had been negotiating with the Postal Service for more than a year to reach a new, long term agreement before talks fell apart. It said it has since submitted a bid as part of the carrier’s new auction process with the “hope to continue our partnership, even at a reduced level.”
“We’ve repeatedly requested engagement with Postmaster General Steiner to work toward a solution,” Amazon said. “We want to find a path forward, but that window is rapidly closing.”
Representatives from the USPS didn’t immediately respond to a request for comment.
Over the past decade, Amazon has built a sprawling logistics and fulfillment operation that’s enabled it to handle more of its own deliveries and shrink its reliance on outside carriers like the USPS, FedEx or UPS.
It oversees thousands of last-mile delivery companies that deliver packages exclusively for Amazon, as well as a budding network of planes, trucks and ships. It has also dotted the country with warehouses and air hubs that can speed along packages.