⭐ Start off 2025 with a powerful boost to your portfolio: January’s freshest AI-picked stocksUnlock stocks

Amazon opens its biggest last-mile delivery center in Latin America

Published 09/14/2023, 06:54 PM
Updated 09/14/2023, 06:57 PM
© Reuters. A general view of Amazon's new delivery center in Mexico City, Mexico, September 14, 2023. REUTERS/Raquel Cunha
AMZN
-
WMT
-

By Daina Beth Solomon

MEXICO CITY (Reuters) - Amazon (NASDAQ:AMZN) on Thursday inaugurated its largest last-mile delivery center in Latin America, a warehouse in Mexico's capital, as it seeks to offer faster deliveries in one of the region's most populous cities.

The e-commerce giant launched in Mexico in 2015 and has since invested 52 billion pesos ($3 billion) in an effort to attract more shoppers in Latin America's second-biggest economy and get an edge on competitors such as Argentina-based Mercado Libre and retail giant Walmart (NYSE:WMT).

The new Mexico City site, measuring 30,000 square meters (more than 322,000 square feet), is the largest Latin America "delivery station" for Amazon, referring to warehouses that specialize in last-mile deliveries to consumers.

Amazon also operates larger warehouses known as "fulfillment centers," which can be over 92,900 sq meters (a million square feet).

Altogether Amazon operates about 40 warehouses throughout Mexico, employing more than 8,000 people directly and another 32,000 indirectly.

The expansion in Mexico City represents another piece of Amazon's strategy to operate distribution centers close to customers, said Diana Frances, Amazon's Mexico logistics head, in an event at the warehouse, where a large Mexican flag hung above dozens of rows of wire racks and a long conveyer belt.

Some 22 million people live in and around Mexico City, one of the biggest urban centers in Latin America.

The company did not respond to questions about the investment represented by the new facility, or its workforce size.

U.S. Ambassador Ken Salazar, speaking at the event, commended Amazon for creating jobs, including in Mexico's poorer southern regions where President Andres Manuel Lopez Obrador has tried to ramp up development.

© Reuters. A general view of Amazon's new delivery center in Mexico City, Mexico, September 14, 2023. REUTERS/Raquel Cunha

"There's no corner forgotten for Amazon ... It's wherever you look in Mexico," he said.

($1 = 17.0980 Mexican pesos)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.