UPS Reduces Amazon Deliveries
United Parcel Service (UPS) is cutting its daily package deliveries for Amazon by 2 million this year, following a reduction of 1 million in 2025. Amazon has been UPS’s largest customer but is also its least profitable, prompting UPS to shift focus to higher-margin areas such as healthcare logistics and small to medium-sized businesses.
As UPS reduces its reliance on Amazon, the company anticipates that its revenue in 2026 will be only 1.1% higher than the $88.7 billion reported in 2022. This strategic shift aims to enhance profitability despite a potential initial dip in revenue.
