Amazon's SIPP Program: Updated Fulfillment Fee Discounts and New Packaging Fees for 2026
Amazon's SIPP program is changing in 2026 with updated per-unit discounts for standard-size items and new packaging fees averaging $2.07 for non-enrolled large and extra-large products. Sellers should enroll eligible products before January 15, 2026.
Overview
Amazon's Ships in Product Packaging (SIPP) program rewards sellers whose products can ship in their original packaging without additional Amazon boxes. Starting January 15, 2026, the program is undergoing significant changes that affect how discounts and fees are applied across different product size tiers. Sellers who participate in SIPP can save money on fulfillment fees, while those who don't enroll may face new packaging charges.
Key Points / What Sellers Need to Know
- Standard-size SIPP discounts continue — Products classified as standard-size will keep receiving per-unit fulfillment fee discounts when certified under the SIPP program, ranging from $0.04 to $0.23 depending on weight.
- Large bulky and extra-large changes — For larger items, Amazon is replacing the flat SIPP discount with lower base fulfillment fees for enrolled products, rather than applying a separate per-unit discount.
- New packaging fee for non-enrolled products — Starting January 15, 2026, products that require Amazon to provide packaging but aren't enrolled in SIPP will be charged a packaging fee averaging $2.07 per unit.
- Enrollment is available through Seller Central — Sellers can enroll products through the SIPP enrollment portal, and some products may be auto-enrolled by Amazon.
- Weight limit applies — Only products weighing 20 pounds or less are eligible for SIPP certification discounts on standard-size items.
How the SIPP Enrollment Process Works
Sellers who want to enroll products in SIPP can do so through the dedicated enrollment portal in Seller Central. When submitting products that aren't currently certified, Amazon requires sellers to provide a "first arrival date" — the date when SIPP-compliant inventory will first arrive at Amazon's fulfillment centers. This date is important because discounts only apply to units received after that date, not to existing inventory already in warehouses. For example, if a seller completes enrollment on March 1 but won't ship compliant packaging until April 1, the first arrival date should be set to April 1. If the product's current packaging already meets SIPP standards, sellers can enter the current date. Once enrollment is approved, all future units must maintain SIPP compliance or risk losing certification.
Analysis & Recommendations
Why This Matters
These changes directly affect fulfillment costs for every FBA seller. Non-enrolled products will face new packaging fees up to $4.04 per unit, while enrolled sellers can save through SIPP discounts or lower base rates.
Key Takeaways
- Standard-size SIPP discounts of $0.04–$0.23 per unit continue in 2026
- Non-enrolled large/extra-large products face new packaging fees averaging $2.07 per unit starting January 15, 2026
- SIPP enrollment requires a first arrival date — discounts only apply to inventory received after that date
- Large bulky SIPP-enrolled items get lower base fulfillment rates instead of a separate discount
Recommended Actions
- →Audit your product catalog to identify all items eligible for SIPP enrollment and submit them through the Seller Central portal before January 15, 2026
- →Recalculate margins on non-enrolled large and extra-large products to account for the new packaging fees of $1.51–$4.04 per unit
- →Review product packaging to determine which items can realistically ship without additional Amazon packaging to qualify for SIPP certification
Comments
Join the discussion
Log in or create an account to share your thoughts on this update.
No comments yet. Be the first to share your thoughts!