Amazon is expanding its fulfillment network with the construction of a new robotics-driven facility in Wilmington, North Carolina, set to open in 2026. The 3 million-square-foot center will be built on a 650,000 square-foot lot and will span four-and-a-half floors. The company broke ground on the project last fall.

“North Carolina has proven itself to be a great place for Amazon to do business and gives us the opportunity to better serve our customers in the region,” said Holly Sullivan, Amazon's vice president of worldwide economic development, in a press release.

Amazon CEO Andy Jassy reiterated the company’s commitment to improving fulfillment efficiency during the Q4 2024 earnings call, emphasizing its ongoing shift toward a regional fulfillment model. The move aims to distribute inventory across Amazon’s network by 25% year-over-year.

Amazon is turning to robotics technology and automation as part of its strategy to lower costs and boost production. The company has already seen cost savings, productivity gains, and safety improvements after integrating robotics in fulfillment centers, including a new robotics-focused center in Shreveport, Louisiana, and the introduction of robotics in Houston in 2023.

“Since we’ve been pretty substantially integrating robotics into our fulfillment network over the last many years, we have seen cost savings and we’ve seen productivity improvements and we’ve seen safety improvements,” Jassy said.

Amazon plans to continue its investments in robotics throughout its fulfillment and transportation network, with Jassy emphasizing that there are “not many things that we can’t improve the experience with robotics.” This multi-year effort aims to continually fine-tune Amazon’s fulfillment network and improve operational efficiency.

Originally reported by Phillip Neufer in Construction Dive.