Amazon AWD Europe: Free Q4 Storage for Sellers

Amazon sellers heading into the year-end sales season now have another option for managing inventory across Europe.

 

Starting August 20, Amazon Warehousing and Distribution (AWD) officially became available in multiple EU marketplaces and the UK. For eligible sellers, Amazon AWD Europe adds an upstream storage layer before FBA, allowing businesses to hold larger quantities of inventory and replenish fulfillment centers as demand changes.

 

Combined with Pan-EU, the program can give sellers greater flexibility over where inventory is stored and when it moves into FBA. More importantly, Amazon is offering a limited-time storage promotion during Q4, making AWD worth considering as part of a broader peak season inventory strategy.

 

1. Amazon AWD Europe Is Officially Open

Amazon AWD facilities in Europe are located in:

• South Yorkshire, United Kingdom
• North Rhine-Westphalia, Germany

 

The service currently supports sellers operating in:

• United Kingdom
• Germany
• France
• Italy
• Spain

For EU sellers, inventory stored at the German AWD facility can support distribution through the Pan-EU network to other eligible European marketplaces.

The UK AWD facility, meanwhile, supports domestic replenishment into UK FBA fulfillment centers.

 

Why AWD Matters for European Sellers

Amazon AWD Europe offers three major advantages for sellers preparing for periods of heavy demand.

1. More Room for Peak-Season Inventory

AWD provides sellers with significantly more flexibility for upstream inventory storage, reducing the pressure created by limited FBA capacity during busy sales periods.

By keeping reserve inventory closer to Amazon's fulfillment network, sellers can also reduce the risk of running out of stock. Amazon indicates that AWD can help reduce stockout rates by up to 15%.

 

2. Predictable Storage Costs

Unlike FBA storage, which can become considerably more expensive during the holiday season, AWD uses more consistent year-round storage pricing.

Sellers can also benefit from several fee reductions without committing to long-term warehouse contracts, making it easier to scale storage according to actual inventory needs.

 

3. Automated FBA Replenishment

One of the most important features of AWD is automated replenishment.

Instead of sending all available inventory directly into FBA, sellers can store reserve stock in AWD. Amazon can then transfer inventory to the appropriate FBA fulfillment centers based on demand.

This creates a more flexible inventory structure and can help sellers avoid sending too much stock into FBA too early.

 

Limited-Time Free AWD Storage in Europe

Amazon is also introducing a significant Q4 incentive.

From October 1 through December 31, 2026, AWD storage fees in Europe will be waived.

 

However, sellers should note that the promotion applies specifically to storage fees.

The following charges will still apply:

• Inbound processing fees
• Outbound processing fees
• Transportation fees

Standard AWD storage charges will resume on January 1, 2027.

For sellers expecting higher Q4 sales volumes, this creates an opportunity to move more peak season inventory into Amazon's upstream network without paying AWD storage fees during the promotional period.

 

2. Sellers Now Have Three Ways to Feed Inventory Into FBA

With Amazon AWD Europe now available, sellers generally have three upstream inventory strategies.

Option 1: Ship Directly to FBA

Products can be shipped directly from the origin to local Amazon FBA fulfillment centers.

This is the simplest route, but it may provide less flexibility when FBA capacity becomes tight or when sellers need to hold large amounts of seasonal inventory.

 

Option 2: Ship to AWD First, Then Replenish FBA

The second option is:

Origin → AWD → FBA → Customer

Inventory is first stored at an AWD facility. Amazon then transfers stock into local FBA fulfillment centers when replenishment is required.

For eligible sellers, this approach is particularly attractive because it can address three common challenges at once:

• Limited FBA storage capacity
• Higher peak-season storage costs
• Limited flexibility when reallocating inventory

For many sellers, AWD may therefore be worth prioritizing when planning Q4 inventory.

 

Option 3: Use a Third-Party Overseas Warehouse

Sellers can also send inventory to a third-party warehouse in Europe before transferring smaller quantities into FBA.

This option may provide more control over inventory and additional services, but the seller or logistics provider must manage the replenishment process separately.

 

Regardless of which upstream route is used, inventory ultimately enters Amazon's FBA fulfillment network.

For final delivery, EU orders can be fulfilled through Pan-EU, while UK inventory is fulfilled through local UK FBA facilities.

 

Important: EU and UK Inventory Networks Are Separate

Sellers should not treat Europe as a single inventory pool.

The EU and UK operate as separate inventory networks, and stock cannot automatically move between them.

 

That means sellers need to calculate and allocate inventory for the EU and UK independently when building their peak season inventory plan.

 

3. How to Get Ready for AWD Before Peak Season

Sellers interested in using Amazon AWD Europe should review three areas before sending inventory.

 

Step 1: Review Your FBA Inventory Plan

Start by reviewing your current FBA cost and inventory strategy in Seller Central.

Use the Profit Analytics dashboard and ASIN fee-category lookup tools to identify products that qualify for Amazon's latest fee optimizations.

Then recalculate the expected cost of storing and replenishing those ASINs during the peak season.

Instead of simply sending the maximum possible quantity into FBA, consider whether part of your reserve inventory would be better positioned in AWD.

 

Step 2: Confirm Your Pan-EU Status

Amazon's Pan-EU program allows qualifying inventory to be stored and distributed across participating EU countries while orders are fulfilled at local rates.

Sellers who already have active Pan-EU enrollment can connect AWD more easily with their existing European fulfillment network.

Sellers should check their status through the Amazon Pan-EU portal:

https://sellercentral.amazon.com/pan/eu/benefits?initialSessionID=000-8510433-3343763&ld=ASCNAGSDirect&pageName=CN%3AAS%3AGS-EU%3Aintro

 

Before moving forward, confirm the following:

• Your German VAT registration is active.
• You have VAT registration in at least one additional eligible EU country, such as France, Italy, Poland, Spain, or Ireland.
• Listings are properly synchronized across Germany, France, Italy, Spain, and the Netherlands.
• Required packaging registration information has been uploaded for applicable marketplaces following the PPWR-related requirements effective August 12.

Keeping listings compliant and active across these marketplaces is essential for maintaining eligibility.

 

Step 3: Start Using AWD

Before creating an AWD shipment:

• Confirm that your ASIN category is eligible for AWD.
• Make sure carton preparation meets AWD requirements.
• Use AGL/PCP shipping options where applicable to access eligible AMS discounted rates.
• Plan EU and UK inventory quantities separately because the two inventory pools are not interchangeable.

Once these steps are completed, eligible inventory can be shipped directly to Amazon's EU or UK AWD facilities and positioned ahead of the year-end sales rush.

 

4. Amazon AWD Europe FAQs

1. If Products Stored in AWD Can Be Purchased, Do I Still Need FBA?

Yes. FBA is still required.

AWD is an upstream storage solution for FBA, not a replacement for FBA.

The standard inventory flow is:

AWD → Automated Replenishment → FBA → Customer

When automated replenishment is enabled, customers may still be able to find and purchase products when FBA inventory runs out.

Amazon can use available AWD or inbound inventory when calculating availability, although customers may see an extended delivery promise.

If automated replenishment is not enabled, only eligible inbound inventory may remain available for purchase. Inventory sitting inside AWD itself is not treated the same way.

 

2. I Have German and French VAT Numbers but Have Not Enabled Pan-EU. Can I Use AWD?

Not yet.

At the current stage, Amazon's German AWD facility only accepts shipment creation for SKUs with an active Pan-EU status.

If you already have German and French VAT registrations, you may have satisfied an important part of the VAT requirement.

You would still need to activate Pan-EU and make sure the relevant SKUs show an active status before using the service.

 

3. How Much Does AWD Storage Cost Compared With FBA?

AWD storage fees are normally billed monthly and appear on the following month's statement.

One of the key advantages is that AWD storage pricing is generally lower and more predictable than FBA storage pricing.

Key benefits include:

• No peak-season storage surcharge
• Unlike FBA, AWD does not apply the same Q4 peak-season storage surcharge structure.
• No unhealthy inventory surcharge for qualifying inventory

This benefit applies when automated replenishment requirements are met, including the applicable threshold for ASIN participation during the previous 90 days.

AMS discounted storage rates

Current promotional rates include:

• EU: €11.09 per m³ per month
• UK: £0.32 per ft³ per month

Sellers should still review the latest Seller Central fee schedules before creating shipments, as fees and eligibility requirements may change.

 

4. Can Lithium Battery or Lithium Polymer Products Be Sent to European AWD Facilities?

No. Lithium polymer batteries and other qualifying products are classified as dangerous goods or hazardous materials.

At this stage, Amazon AWD Europe and UK facilities do not accept dangerous goods.

Sellers shipping battery-powered products should therefore confirm dangerous-goods classifications and Amazon eligibility before building an AWD inventory plan.

 

Final Thoughts: AWD Changes How Sellers Can Approach Q4 Inventory

The biggest value of Amazon AWD Europe is not simply cheaper warehouse space.

It gives sellers another way to separate long-term reserve inventory from inventory that needs to be immediately available inside FBA.

 

Instead of sending a large amount of stock into fulfillment centers at once, sellers can hold inventory upstream and replenish FBA according to actual demand. For products with unpredictable Q4 sales patterns, that flexibility can make peak season inventory easier to manage while reducing pressure on FBA capacity.

 

The free-storage period from October through December makes the program even more relevant for sellers preparing for Black Friday, Cyber Monday, Christmas, and other year-end sales events.

However, AWD is not a universal solution. Sellers still need to consider Pan-EU eligibility, VAT registrations, marketplace compliance, product restrictions, and the separation between EU and UK inventory.

 

A successful peak-season strategy therefore starts well before inventory reaches an Amazon warehouse.

For Amazon sellers sourcing products in China, international transportation is another critical part of that planning. Forest Shipping is an international freight forwarder providing shipping solutions from China to the United States, including support for Amazon sellers moving inventory into FBA and other fulfillment networks.

 

From ocean and air freight to customs clearance and final delivery coordination, Forest Shipping can help sellers build a more reliable supply chain from China and plan shipments around inventory levels, sales forecasts, and Amazon replenishment schedules.

 

Whether you are preparing inventory for Europe or expanding your Amazon business in the U.S., the goal remains the same: move the right amount of inventory at the right time without tying up unnecessary capital or risking a stockout during your most important selling season.