How to Set Up Automatic Inventory Removals in Amazon FBA
Amazon's automatic inventory removal settings help FBA sellers manage unfulfillable, aged, and stranded inventory to avoid costly long-term storage surcharges. Unfulfillable removal is now mandatory, and sellers should understand the fee thresholds at 181 and 365 days.
Overview
Amazon offers sellers the ability to configure automatic removal settings for inventory stored at its fulfillment centers. This feature helps sellers proactively manage aging, unsellable, and stranded stock — avoiding costly long-term storage surcharges and keeping their FBA operations lean. Understanding how automatic removals work is essential for any seller looking to control storage costs and maintain healthy inventory levels.
Key Points / What Sellers Need to Know
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Unfulfillable inventory is automatically removed — Amazon has enabled automated unfulfillable settings by default, and sellers cannot opt out. Inventory deemed unsellable (damaged, expired, or otherwise defective) will be automatically removed from fulfillment centers.
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Aged inventory surcharges apply at key thresholds — Inventory stored for 181 to 365 days is subject to the aged inventory surcharge for that tier, while inventory exceeding 365 days triggers a higher surcharge. Automatic removals can help sellers avoid the steeper 365+ day surcharge.
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Stranded inventory requires attention — ASINs that have not sold in six or more consecutive months and have been in fulfillment centers for more than 180 days may be flagged for required removal. Sellers should regularly check their stranded inventory dashboard.
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Removal and disposal fees apply — When inventory is removed or disposed of, standard FBA removal order fees and FBA disposal order fees are charged. Sellers should weigh these costs against ongoing storage surcharges.
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Fulfillment is not FIFO — Amazon fulfills orders based on inventory location to optimize delivery speed, not based on when inventory was received. This means older units may remain in storage longer than expected.
How Automatic Removals Work
Sellers can configure automatic removal settings through their Seller Central account to handle different categories of inventory. For unfulfillable inventory, Amazon has made the automated setting mandatory — the option is grayed out and cannot be disabled. This means any inventory that becomes unfulfillable due to damage, customer returns in unsellable condition, or expiration will be automatically removed without requiring the seller to create individual removal orders. For inventory approaching aged surcharge thresholds, sellers can opt into automatic removals to prevent stock from crossing the 365-day mark and incurring the highest tier of storage surcharges.
Analysis & Recommendations
Why This Matters
Aged inventory surcharges can significantly erode margins for FBA sellers. Understanding automatic removal settings and storage fee thresholds helps sellers proactively manage costs and avoid unexpected charges on slow-moving stock.
Key Takeaways
- Unfulfillable inventory removal is now mandatory and cannot be opted out of
- Inventory aged 365+ days triggers the highest surcharge tier — automatic removals can prevent this
- Stranded ASINs unsold for 6+ months and stored 180+ days may face required removal
- Removal fees are typically far less costly than ongoing aged inventory surcharges
Recommended Actions
- →Review your automatic removal settings in Seller Central and enable them for aged inventory approaching the 365-day threshold
- →Set calendar reminders at 90, 150, and 330 days to review slow-moving inventory and consider repricing or promotions before surcharges apply
- →Regularly check the stranded inventory dashboard and required removals page to address flagged ASINs before fees accumulate
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