AGL (Amazon Global Logistics) - Amazon Glossary

Amazon Global Logistics (AGL) is a comprehensive cross-border shipping service that allows Amazon sellers to ship inventory directly from international manufacturers (primarily in China and Vietnam) to Fulfillment by Amazon (FBA) centers or Amazon Warehousing and Distribution (AWD) facilities. It integrates freight booking, customs clearance, and final-mile delivery into a single portal within Seller Central.

Why Does Amazon Global Logistics Matter?

AGL is a critical lever for managing landed cost and supply chain predictability. By using Amazon’s own logistics network, sellers can achieve faster lead times, reduce administrative overhead through AI-driven customs documentation, and gain better visibility into shipment milestones. In the 2026 landscape, AGL’s integration with AWD is often the most effective way to bypass high FBA capacity limits and avoid the 3.5% fuel and logistics-related surcharge on fulfillment fees.

How is the Total Landed Cost Calculated with AGL?

While AGL is a service, sellers must calculate the total cost of goods sold (COGS) to determine if AGL is more efficient than a traditional 3PL. In 2026, this calculation must incorporate the new logistics surcharges.

$$Landed\ Cost = \frac{Factory\ Price + AGL\ Freight + Duties + Surcharges}{Total\ Units\ Shipped}$$

Where:

• AGL Freight includes the cost of Ocean FCL, Ocean LCL, or Air Freight.

• Duties are calculated based on the HTS Codes and the commercial value of the shipment.

• Surcharges include the 2026 3.5% logistics-related fee applied to domestic fulfillment once the product is received.

Why Use AGL for International Shipping?

How does AGL streamline customs?

One of the most complex parts of importing is acting as the Importer of Record (IOR). AGL provides an integrated Customs Brokerage service that pre-populates essential paperwork, such as the Bill of Lading (BOL) and commercial invoices. By 2026, Amazon’s generative AI tools have reduced paperwork errors by over 50%, significantly decreasing the likelihood of port-of-entry delays.

Can AGL help with capacity limits?

As of May 2025, a major policy change was implemented: AGL shipments do not count against your FBA capacity usage until the vessel actually reaches the destination port. This allows sellers to place larger purchase orders and ship them across the ocean without immediately clogging their storage limits, providing a significant advantage in inventory health management.

Real-World Scenario: The 2026 Q4 Launch

A seller is importing 2,000 units of a high-end kitchen appliance from Vietnam to the US for a Q4 launch. Each unit weighs 15 lbs and is packaged in a Non-Sortable box.

• Correct Approach: The seller books a 40ft Ocean FCL via AGL and directs the shipment to Amazon Warehousing and Distribution (AWD). Because they used the end-to-end "Supply Chain by Amazon" solution, they receive a 10% discount on transportation and a waiver for the low-inventory-level fees. Their products are marked "Prime-eligible" as soon as the container is received at the AWD facility, even before reaching the final fulfillment center.

• Common Mistake: A seller uses a private freight forwarder to ship the same 2,000 units to a private 3PL. They fail to account for the transit time from the 3PL to Amazon, leading to a stockout during Black Friday. Furthermore, because the private shipment didn't use AGL, they pay the full price for Inbound Placement Fees, which could have been waived or reduced through AGL's optimized routing.

FBA vs. FBM Context

Amazon Global Logistics is designed specifically for the FBA and AWD ecosystems. While it is technically possible to use AGL for multi-channel fulfillment, its primary value is "door-to-fulfillment-center" delivery. Fulfillment by Merchant (FBM) sellers typically find better flexibility with private freight forwarders, as AGL’s automated workflows are optimized to deliver goods directly into Amazon’s proprietary shelving and robotic sorting systems.

SoldScope Expert Tip

The "Honeymoon Period" for AGL shipments is the most overlooked strategy in 2026. Because AGL inventory is "buyable" while in transit to a fulfillment center from an AWD hub, you can start your Review Automation and PPC campaigns earlier than you think. However, the non-obvious tip is to always check your HTS Codes via the AGL portal before the ship sails. Amazon’s AI-generated codes are a great starting point, but a manual audit can sometimes find a more specific classification that saves you 2–4% on import duties, which adds up to thousands on a full container.

FAQ

How to lower Amazon storage fees using AGL?

The best way to lower storage fees is to ship via AGL directly into Amazon Warehousing and Distribution (AWD). AWD storage rates are significantly lower than FBA rates, and Amazon will automatically replenish your FBA stock from AWD as needed, ensuring you only pay the premium FBA storage price for inventory that is about to sell.

What is the average lead time for AGL Ocean Freight?

In 2026, standard Ocean LCL from China to the US West Coast typically takes 22–28 days, while Ocean FCL is slightly faster at 18–22 days. This includes the time for Customs Brokerage and terminal handling. Always add a 7-day "buffer" for inland transportation to the final fulfillment center.

Can I use AGL if I am not the manufacturer?

Yes. You can link your manufacturer’s address as the "Ship From" location in Seller Central. You will need to provide the manufacturer with the AGL-generated labels and ensure they understand the requirements for floor loading or palletization to avoid rejection at the dock.