Amazon's logistics offensive escalates! Morgan Stanley: Traditional express delivery giants face more intense competition

Zhitong
2026.07.09 22:29

Morgan Stanley's report pointed out that Amazon continues to expand its logistics business, providing low-cost and fast services to third parties, and is expected to launch overnight delivery in the future, intensifying competition with UPS and FedEx. Affected by this news, the stock prices of both companies slightly rose after giving back intraday gains. Analysts believe that Amazon is shifting from internal infrastructure to independent external business, which may encroach on traditional express delivery market share and enter the high-profit specialized logistics sector

According to Zhitong Finance APP, as Amazon (AMZN.US) continues to expand its logistics business, the competitive pressure on traditional express giants is further intensifying. Morgan Stanley's latest research report indicates that Amazon is currently offering low-cost logistics services with improving delivery speeds to third-party customers, and it is expected to launch overnight delivery in the future, posing a greater threat to United Parcel Service (UPS.US) and FedEx (FDX.US).

Affected by this news, the stock prices of UPS and FedEx briefly retraced their early gains during Thursday's trading session. By the close, the stock prices of both companies saw a slight increase.

Morgan Stanley analyst Ravi Shanker stated in the report that although Amazon has not yet provided the overnight delivery service that UPS and FedEx rely on for competition, the launch of this service is expected to be just a matter of time.

In recent years, Amazon has been continuously improving its logistics network, meeting its own e-commerce delivery needs while also opening logistics services to third-party merchants, engaging in direct competition with traditional express companies. Analysts believe that Amazon's expansion may not only eat into UPS and FedEx's market share in the e-commerce parcel delivery market but may also further enter the specialized logistics field, such as healthcare, which has higher profit margins.

Industry media Supply Chain Dive previously reported that, leveraging its vast logistics network and scale advantages, Amazon's parcel delivery service pricing has become comparable to that of UPS and FedEx, with some routes even lower than those of the two companies. Additionally, some of Amazon's logistics service quotes are reportedly already below the pricing levels of the United States Postal Service, which has long been regarded as the "price floor" in the U.S. parcel delivery industry.

Analysts pointed out that as the logistics network continues to improve, Amazon is gradually transforming its logistics system from infrastructure serving its own e-commerce business into an independent business aimed at external customers. If it further launches high-value-added services such as overnight delivery in the future, the competitive pressure on the traditional express industry may further increase

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