Amazon to grow its air fleet

Amazon has announced plans to add up to 10 new cargo jets to its fleet in a move which could save the retail giant up to $2bn in delivery costs


Online retail giant Amazon has announced its plans to lease 10 new Boeing 767 cargo jets in order to help in its ever-growing delivery challenges and reduce its dependency on other delivery companies.

Amazon currently operates 40 cargo jets which it uses for deliveries around the world. However, as of September 2018, it had already spent $18.6bn on shipping costs in 2018 to other firms to assist it with delivery efforts. The firm is now taking significant steps to lower its dependency on companies such as UPS and FedEx by increasing its own delivery capacity.

Alongside its announcement of the 10 new cargo jets it is leasing, five of which it plans to begin using next year and the others by 2020, the firm also announced the possible lease of a further 17 cargo jets by 2025.

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Amazon also appears to be readying itself to buy a bigger stake in the Air Transport Service Group (ATSG), from which it currently leases half of its cargo jets.

Amazon took heat from US President Donald Trump in early 2018, after Trump claimed the US Postal Service was "losing billions of dollars" to the tech giant. The President's accusations were contested by Amazon and a number of leading experts. However, these developments, along with other plans such as the utilization of drones to deliver packages, Amazon could soon rely little on other companies when it comes to package delivery. 

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