Overview

Amazon is rolling out updated storage fees for its Warehousing and Distribution (AWD) program across European marketplaces in 2026. While the increases are described as modest, they have real implications for sellers who use AWD as a bulk storage buffer to manage costs and maintain healthy Inventory Performance Index scores. Here's what EU sellers need to know to plan ahead.

What Is AWD and Why Sellers Use It

Amazon Warehousing and Distribution is an upstream bulk storage service that sits between a seller's supply chain and Amazon's fulfillment centers. Instead of shipping all inventory directly to FBA warehouses — where storage fees can escalate rapidly, especially during Q4 — sellers send large quantities to AWD facilities at lower per-unit rates. Amazon then automatically replenishes FBA inventory based on demand signals, helping sellers avoid both stockouts and punishing long-term storage fees.

The program has gained traction among EU sellers managing inventory across multiple European marketplaces. By centralizing bulk stock in AWD, sellers can distribute products to fulfillment centers in Germany, France, Italy, Spain, and other markets on demand, reducing the complexity of cross-border inventory planning.

Key Changes Coming in 2026

• Incremental fee adjustments — AWD storage fees for EU sellers will see modest increases in 2026, varying by product size tier and time of year. Amazon has not signaled dramatic rate hikes.
• Still cheaper than FBA storage — Even after the update, AWD rates are expected to remain well below standard FBA warehousing charges, particularly during peak season when aged inventory surcharges and peak storage fees can multiply costs significantly.
• IPI score benefits preserved — Storing excess inventory in AWD rather than FBA continues to help sellers maintain healthier IPI scores, avoiding the restock limits Amazon imposes on accounts with low IPI performance.
• Automatic replenishment unchanged — The core feature of AWD — automatic FBA replenishment based on demand — remains the same in the 2026 update.

Cross-Border Strategy for EU Sellers

One of the strongest selling points of AWD in Europe is how it simplifies multi-marketplace fulfillment. The Pan-European FBA program already distributes inventory across EU fulfillment centers, but AWD adds an upstream buffer layer. Sellers shipping from manufacturers in Asia or elsewhere can route large shipments to AWD, which then feeds the Pan-European network based on marketplace-level demand.