Who Is the Biggest Logistics Company in the US?

The biggest logistics company in the US isn’t just one name you hear on TV ads-it’s a system that moves over 20 billion packages every year. And while many people assume it’s FedEx or UPS, the real leader has quietly reshaped the entire industry over the last decade. The answer? Amazon Logistics.

Why Amazon Logistics Is the Largest

Amazon Logistics isn’t a single trucking fleet. It’s a hybrid network of owned delivery vans, third-party carriers, warehouse robots, and proprietary software that handles over 5 billion deliveries annually in the US alone. In 2025, Amazon moved more packages domestically than FedEx, UPS, and the US Postal Service combined. That’s not a close race-it’s a landslide.

Amazon doesn’t just ship its own products. It now offers delivery services to third-party sellers through Amazon Shipping, and even competes directly with FedEx and UPS for enterprise contracts. Its fulfillment centers, which now number over 1,100 across the country, are the backbone of this operation. Each center can process 100,000 orders per hour during peak season. No other company comes close to that scale.

FedEx and UPS Still Dominate Traditional Shipping

If you’re thinking about overnight express shipments or business-to-business freight, FedEx and UPS are still the giants you know. FedEx reported 4.8 billion shipments in 2025, while UPS handled 5.1 billion. Those numbers sound huge-and they are-but they’re mostly B2B, international, and premium services. Amazon’s volume includes everything: single-item orders from households, same-day grocery deliveries, and returns from millions of customers.

FedEx’s strength is its global air network and reliable time-definite delivery. UPS built its reputation on ground freight and package tracking that works across industries. But both companies are now reacting to Amazon’s speed. FedEx launched FedEx SameDay City in 2023. UPS introduced UPS My Choice Premium in 2024. Neither has matched Amazon’s ability to deliver a $12 phone case to your door in under two hours.

How Amazon Logistics Works Behind the Scenes

Amazon doesn’t own every delivery truck. Instead, it uses a mix of owned vehicles, independent contractors, and partnerships with regional carriers like Roadie and OnTrac. Its secret weapon is its software: the same system that predicts what you’ll buy next also tells drivers the most efficient route to deliver 47 packages in 90 minutes.

Each Amazon delivery van is equipped with sensors and AI-driven routing software that cuts fuel use by 18% compared to traditional logistics routes. The system updates in real time-if a package is delayed, the algorithm reroutes the entire day’s deliveries without human input. That kind of automation is why Amazon can offer free two-day shipping to 90% of the US population, even during holidays.

They also use machine learning to decide where to place warehouses. In 2024, Amazon opened 47 new fulfillment centers based on data showing where returns were highest and delivery times were slowest. They don’t guess-they calculate.

What About the US Postal Service?

The USPS delivered 6.9 billion packages in 2025, the highest volume of any single carrier. But here’s the catch: most of those are low-margin, government-mandated mail and rural deliveries. The USPS doesn’t compete with Amazon on speed, technology, or customer experience. It’s the fallback for areas no one else wants to serve.

Amazon actually pays the USPS for last-mile delivery in over 2,000 rural ZIP codes. That’s right-Amazon outsources part of its own network to the government. It’s not a partnership. It’s a cost-saving hack.

The Real Battle Is in Technology, Not Trucks

The biggest logistics company isn’t the one with the most trucks-it’s the one with the best brain. Amazon’s logistics software can predict demand down to the neighborhood level. It knows when a family in suburban Ohio will run out of laundry detergent and ships it before they search for it. That’s not logistics. That’s anticipation.

FedEx and UPS still rely on legacy systems built in the 1990s. Their software updates take months. Amazon deploys new code multiple times a day. Their warehouse robots move 10 times faster than human workers. Their drones are already delivering medical supplies in parts of California and Texas.

When you think of logistics, you picture trucks. But the real competition is in algorithms, sensors, and data. Amazon doesn’t just move packages. It moves information-and that’s what gives it the edge.

Who’s Next? The Rising Challengers

Amazon leads, but others are catching up. Walmart’s logistics network now handles over 1.2 billion deliveries a year, mostly from its 4,700 stores. They use store shelves as mini-fulfillment centers, cutting delivery time to under an hour in 1,500 cities.

Target and Kroger are doing the same. Even UPS has started using AI to optimize routes in real time, though they’re still years behind Amazon. The next five years will see more retailers build their own delivery arms-not because they want to, but because customers now expect delivery faster than they can order coffee.

What This Means for Small Businesses

If you run an online store, you’re not just choosing a carrier-you’re choosing a system. Amazon Logistics gives sellers access to its network, but at a cost: you lose control over branding, customer data, and pricing. FedEx and UPS offer more transparency but slower speeds and higher fees.

Many small businesses now use a mix: ship high-margin items via UPS for tracking, use Amazon Logistics for low-cost bulk orders, and rely on local couriers for same-day urban deliveries. There’s no one-size-fits-all anymore. The market is fragmented, and the biggest player doesn’t always win every job.

Final Reality Check

Yes, FedEx and UPS are massive. Yes, the USPS moves more packages overall. But when you measure the biggest logistics company by volume, speed, technology, and customer reach, Amazon Logistics is the clear leader. It’s not just bigger-it’s fundamentally different.

Amazon doesn’t want to be the best delivery company. It wants to make delivery so fast and seamless that you forget you’re even ordering something. That’s not logistics. That’s invisibility. And that’s why it’s won.