Many Amazon sellers have been puzzled by a recurring phenomenon: their shipments destined for East Coast fulfillment centers mysteriously end up stuck in the notoriously congested ONT8 warehouse on the West Coast. Following a recent update to Amazon's backend shipment tracking system, this long-standing industry practice known as "far-to-near delivery" has finally come to light.
Numerous sellers report discovering through the new tracking features that shipments intended for distant warehouses were being diverted by freight forwarders to severely backlogged facilities like ONT8, including oversized items that were clearly misrouted. What drives this practice, and how can sellers protect themselves from falling victim to such schemes?
The Profit Motive Behind "Far-to-Near" Delivery
While not a new tactic, "far-to-near" delivery previously flew under the radar due to information asymmetry. The scheme capitalizes on significant transportation cost differences between Amazon's fulfillment centers. In ocean freight trucking models, forwarders who should ship goods to higher-cost distant warehouses instead divert them to low-cost nearby facilities like ONT8.
Industry insiders reveal stark cost disparities: shipping a pallet to West Coast warehouses via Matson trucking costs approximately $32, while East Coast deliveries run about $190 - a 6-8 fold difference. By rerouting shipments, forwarders pocket an extra 5-7 yuan per kilogram in profit.
Beyond pure profit motives, some forwarders employ this tactic to meet aggressive delivery guarantees like "13-day expedited" or "premium delivery" promises, avoiding penalty fees for late arrivals by redirecting shipments to closer locations.
Hidden Risks of Illicit Rerouting
While some sellers initially view "far-to-near" delivery as potentially speeding up warehouse processing, the practice carries multiple risks:
- Extended shelving delays: Overcrowded warehouses like ONT8 often deprioritize non-designated shipments, leading to indefinite processing delays.
- Performance penalties: Amazon's increasingly strict warehouse management policies may flag unauthorized destination changes, potentially resulting in warnings or fines.
- Future rejection risks: Current system vulnerabilities allow some rerouted shipments to slip through, but Amazon may implement stricter measures to block non-compliant deliveries.
How Sellers Can Detect and Prevent Fraudulent Practices
Amazon's updated backend interface enables sellers to identify questionable forwarding practices through several methods:
- Verify shipment registration addresses: Cross-check the destination warehouse in your seller account against the intended location and immediately question discrepancies with your forwarder.
- Monitor logistics tracking: Pay close attention to trucking route details, particularly for suspicious deviations from expected paths.
- Compare market rates: Excessively low quotes often signal compromised service quality or hidden schemes like unauthorized rerouting.
Selecting Reliable Forwarding Partners
Choosing trustworthy logistics providers remains critical. Sellers should evaluate forwarders based on:
- Credentials and reputation: Verify business licenses and review seller feedback before engagement.
- Specialization: Assess the provider's familiarity with Amazon's FBA policies and regional shipping cost structures.
- Service quality: Prioritize responsive communication and effective problem resolution capabilities.
- Risk management: Partner with forwarders demonstrating robust contingency planning for shipment protection.
Above all, sellers should remain wary of unusually low pricing that may indicate compromised service standards or fraudulent practices. Only through working with properly vetted, reasonably priced logistics partners can sellers ensure stable supply chain operations in Amazon's competitive marketplace.