Amazon partners with Japanese company Nippon Express

Catherine Rowell
- Leadership - May 30, 2017

Amazon has recently partnered with Nippon Express to provide a new logistics service to support SME’s and companies who wish to expand within the US market. The global logistics company operates in over 30 countries worldwide, with 60,000 employees within its operations in the US, Europe, the Middle East, Africa and Asia.

Established back in 1937, Nippon Express has a rich history in logistics and distribution, acquiring nearly 70 percent of Panasonic Logistics back in 2013. With revenues exceeding $15 billion, the company’s partnership with Amazon will further their reach and expansion worldwide, and provide economic growth.

Once in the US, products will be housed in either Nippon or Amazon’s facilities, where sellers will be able to market these goods on Amazon’s website. Such a move will reduce shipping and delivery costs, which would have otherwise been fairly substantial and support Nippon Express’ efforts to diversify into new markets. However, with the new partnership, the duo will not buy the products like traditional operating models, but will ensure all unsold goods remain with the seller.

Both companies are heavily focused on sustainable practises, with Amazon placing significant investment in technologies, such as drone delivery, and green initiatives. With a focus on sustainable packaging, Amazon and Nippon Express fully promote the 3Rs throughout their operations (reuse, reduce, recycle). Amazon’s containers harness a sustainable design, where four of 11 Amazon buildings in the US have been LEED Gold certified. Nippon Express, additionally, utilise steel-frame containers, reducing CO2 emissions, and undertake significant efforts within green energy and water conservation efforts.

Additionally, Nippon Express utilise environmentally-friendly vehicles in order to lower emissions throughout their logistics and distribution services. The company was also the first Authorised Bonded Warehouse Operator in Japan, and the first Japanese company to receive a Class A certification from the Transported Asset Protection Association (TAPA) back in 2003.

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