Amazon, under the trade name of Beijing Century Joyo Courier Service Company Limited, got its Chinese shipping license.
Last month, the U.S. Federal Maritime Commission granted amazon the license to act as a wholesaler for ocean container shipping.
Having licenses on both ends means Amazon can now buy space on shipping containers at wholesale rates and resell it at retail rates. A spokesperson for Amazon would not comment for this report.
Reports say that Amazon’s project dubbed as “Dragon Boat,” may be ready to sail.
“It sounds to me like they’re going to make it dramatically easier for merchants in China to reach customers in the United States. Even the name ‘Dragon Boat’ is clearly targeted at Chinese merchants,” said Ryan Petersen, CEO of Flexport, a San Francisco-based freight forwarder for consumer product makers.
- Connects the Chinese producers and the American consumers, while cutting out American resellers.
- Streamlining logistics helps more Chinese sellers use it as their retail platform.
- Can embark upon global transportation, known as ‘multimodal’ in the industry.