Comprehensive analysis and advantages of Amazon’s overseas warehouse project STAR

Amazon’s overseas warehouse project STAR is an important part of its global logistics layout and is designed to provide one-stop logistics services for cross-border e-commerce. This article will explain in detail the functions and advantages of this project so that relevant sellers can effectively utilize this resource.

STAR warehouse introduction

STAR (Supply Chain, Transportation and Warehousing Solutions) warehouse is the abbreviation of Amazon’s global logistics overseas warehouse project, covering a number of services such as cross-border transportation, storage and automatic replenishment. This warehouse form can be regarded as a “satellite warehouse” of Amazon’s FBA (Fulfillment by Amazon) warehouse. It is mainly close to the FBA warehouse and facilitates quick replenishment.

Cargo flow and transportation time

When using the STAR warehouse, the transportation process of goods is as follows:

  1. Receipt and transportation: After the goods are collected by Amazon AGL on the first leg in China, they are transported by sea full container transport (FCL) to the destination country.
  2. Distribute to overseas warehouses: After arriving in the destination country, AGL will distribute the goods to Amazon’s overseas warehouses.
  3. Automatic replenishment: Once the system detects insufficient goods in the FBA warehouse, Amazon’s overseas warehouses will automatically replenish the goods in batches free of charge.

The overall shipping time is 40-55 days, followed by 1-7 days of restocking processing time.

Advantages of using STAR warehouse

1. Worry-free warehouse management

Through the automatic replenishment mechanism of FBA satellite warehouse, stored goods are not subject to warehousing and storage restrictions, which provides sellers with a convenient inventory management method.

2. Cost-effectiveness

Compared with direct delivery to Amazon fulfillment centers, using STAR warehouses can reduce transportation costs by an average of 47-63%, and there are no additional costs during transfer to the fulfillment center.

3. Easy to operate

Amazon promises to process replenishment requests from the FBA satellite warehouse to the Amazon fulfillment center within 1-7 days, greatly simplifying the seller’s operation process.

4. Advance sales opportunities

When there is a shortage in the operation center, sellers can choose to search or purchase inventory in the FBA satellite warehouse to ensure that sales are not affected.

Storage fees

In the STAR warehouse, Amazon will charge monthly storage fees for storing goods. The specific fee standards are:

  • $0.4/cubic foot per month (January to September each year)
  • $0.9/cubic foot per month (October to December each year).

Current usage

As of now, the STAR warehouse program is only open to U.S. sellers and can only be accessed and used through the Amazon Global Logistics Reservation Platform portal.

Through an in-depth understanding of the STAR project, sellers can make more targeted use of this resource to optimize logistics management and cost control of cross-border e-commerce business.