USPS handed financial lifeline after reaching new deal with Amazon to deliver 1 billion packages [View all]

Source: The Independent

Tuesday 07 April 2026 13:18 EDT


Amazon and the U.S. Postal Service have reportedly come to a tentative agreement regarding package handling, backing away from a potential standoff that could have seen the online retailer cut its shipping volumes by two-thirds. The new arrangement involves a more gradual 20 percent reduction in volume, sources familiar with the matter told The Wall Street Journal.

This deal follows a period of friction between the two entities, during which Amazon had weighed a significant scale-back of its partnership with the national mail carrier.

The agreement is currently pending review and approval by the Postal Regulatory Commission, the federal agency that oversees USPS operations. Even with the planned reduction, the Postal Service is still on track to deliver more than 1 billion packages for Amazon each year.

The financial stakes are high for the USPS, which has come to rely on the consistent revenue provided by Amazon’s massive shipping scale. As the agency’s biggest customer, Amazon was responsible for nearly 15 percent of all USPS deliveries last year, representing approximately $6 billion in revenue for the service.

Read more: https://www.the-independent.com/news/world/americas/amazon-us-postal-service-deal-b2953183.html