Amazon Inc.’s (AMZN) is moving into the ocean freight market. According to the U.S. Federal Maritime Commission, the e-tailer giant’s China division has recently registered as an ocean freight forwarder . The move will give the company more control over its shipment of product in Chinese factories to the United States.
Amazon’s decision to enter the ocean freight market is yet another indication that the company is expanding its logistics reach in an effort to cut back on costs. There is also the possibility that Amazon may offer third-party logistics services.
The company’s new status as a freight forwarder gives it a major foothold in the $350 billion ocean freight market. Amazon will not actually operate ships, but will subcontract the work.
Amazon is already making similar changes on land. The company recently negotiated a deal to lease 20 Jets to start its own air delivery service in the U.S. Amazon also purchased truck trailers to improve its shipping capacity and launched its own delivery service last year.
According to the Federal Maritime Commission, a business with the trade names Amazon China was registered in its database to offer ocean freight services. Amazon’s China division submitted its registration application on November 9, and the request was registered and reviewed on November 13.

