Amazon Opens Caribbean Distribution Hub in Dominican Republic

Amazon has launched its first Caribbean distribution hub in the Dominican Republic, marked by the arrival of its inaugural cargo flight, positioning the country as a critical e-commerce and logistics center in the region. Utilizing major ports like Caucedo and Haina alongside Las Américas International Airport, Amazon aims to streamline trade routes, reduce shipping costs, and significantly shorten delivery times, potentially transforming consumer purchasing behaviors. The hub is expected to stimulate the local economy through job creation and advancements in logistics, transportation, and technology sectors. Amazon Air Cargo, a wholesale business unit launched in late 2024, operates cargo flights between Miami and Santo Domingo, with partnerships such as ALK Global Logistics and Aerodom to fill and manage the flights. While the expansion promises increased efficiency and faster deliveries, it raises concerns among local courier services and small businesses about competition with Amazon's pricing and delivery speed. Early indications suggest Amazon may adopt a hybrid delivery model, collaborating with local logistics providers to extend its reach throughout the Caribbean.