Amazon.com is considering a $15 billion warehouse expansion plan for about 80 new logistics facilities in U.S. cities and rural areas, Bloomberg News reported Wednesday, citing people familiar with the matter.
The company is asking potential capital partners to submit proposals, according to the report, which said the facilities are expected to be mostly delivery hubs, but some of the properties would also include large fulfillment centers packed with robots.
Separately, the e-commerce company has canceled orders for multiple products made in China and other Asian countries, Bloomberg reported, citing a document it reviewed and people familiar with the matter.
The orders for beach chairs, scooters, air conditioners and other merchandise from multiple Amazon vendors were halted after the Trump administration's April 2 sweeping tariff announcements, Bloomberg said, adding that timing of the cancellations, which had no warning, led the vendors to suspect it was a response to tariffs.
Amazon did not immediately respond to Reuters requests for comment.
China and the European Union announced new trade barriers on U.S. goods on Wednesday in response to steep duties imposed by U.S. President Donald Trump, escalating a global trade war that has hammered markets and raised the likelihood of recession.
China announced a tariff hike on U.S. imports to 84% from 34%, shortly after Trump's punitive 104% tariffs on Chinese imports kicked in on Wednesday, as a standoff between the world's two largest economies showed no signs of resolution.
Amazon spent heavily on its retail infrastructure during the pandemic, even incurring $2 billion in quarterly expenses for excess warehouse and transportation capacity. The company has since reined in those investments, focusing instead on its cloud and AI business.
The e-commerce company is willing to lease the new logistics facilities in the U.S. for 15 to 25 years, and some of the sites could be funded directly by Amazon, Bloomberg said. The company has more than 600 U.S. fulfillment centers, delivery stations and same-day facilities.