The world's largest retail giant, Walmart, recently announced the launch of Walmart Cross Border Logistics Services to optimize its supply chain, improve logistics efficiency, and reduce operating costs.

Walmart's introduction of Walmart Cross Border aims to provide shipping solutions for merchants on its Walmart.com platform. This move reflects Walmart's ambition to expand in the logistics sector and its focus on cost control.

Reportedly, this service is operated by Walmart's wholly-owned subsidiary, WMSC Logistics Services, which is certified as a Non-Vessel Operating Common Carrier (NVOCC) by the U.S. Federal Maritime Commission (FMC).

This initiative marks the official entry of the world's largest shipper into the freight forwarding industry and the commencement of its ocean container shipping services.

 The largest shipper enters the freight forwarding industry 

Recently, Scott Humanek, a Walmart representative, revealed on social media that about two weeks ago, Walmart made some key improvements to its WCB B2B ocean freight solution. These enhancements now allow sellers on the Walmart Marketplace to ship China-made products directly to Walmart's distribution center network in the U.S. through Walmart's cross-border ocean freight solution.

Scott Humanek stated, "Our pilot has exceeded our expectations in terms of feedback and volume. We are excited to let the world know that WCB is now ready to help all WFS e-commerce sellers grow their business on the Walmart platform."

It is reported that to manage its new international freight forwarding business, Walmart has established a wholly-owned subsidiary—WMSC Logistics Services, LLC (WMSC Logistics). According to official information, WMSC Logistics is a Non-Vessel Operating Common Carrier (NVOCC) and international freight forwarding company, approved by the U.S. Federal Maritime Commission (FMC), with the freight forwarding FMC OTI license number 032243NF.

WMSC Logistics claims to help Walmart unlock international transportation solutions for global suppliers, marketplace sellers, and other businesses, with a continued focus on saving customers money and shipping costs.

According to Walmart's official website, Walmart Cross Border (WCB) offers a full-container ocean freight service from China to the U.S., covering port-to-door delivery. Currently, the receiving ports in China that have been opened include Shanghai, Ningbo, and Shenzhen Yantian, three of the largest container ports in China.

Walmart Cross Border offers Full Container Load (FCL) transportation services for merchants, from container yard to destination warehouse. Sellers only need to deliver their goods to the designated yard, while Walmart will handle the subsequent warehousing, distribution, and other processes.

To import goods through Walmart's Walmart Cross Border (WCB), the following four conditions must be met:

1、Become a Walmart Fulfillment Services (WFS) seller.

2、Source or manufacture products in China.

3、Ship goods from the ports of Shanghai, Ningbo, or Shenzhen Yantian.

4、Initially, only Full Container Load (FCL) services are provided.

Walmart estimates that, under normal market conditions, it typically takes 27 to 38 days for goods to be prepared for shipment and reach the U.S. for listing and sale. This estimate includes 14 days for booking in advance, 19 days for port-to-port transport, 5 days at the dock, 2 days for warehouse unloading, and an additional 5 days for transferring to WFS’s shipping warehouse.

By launching its own freight forwarding service, Walmart has improved the speed of product transportation on its platform and reduced shipping costs, offering sellers on the Walmart platform a more convenient, efficient, and cost-effective ocean shipping solution.

It is noteworthy that Walmart’s freight forwarding service, WMSC Logistics, not only provides full container load shipping services but also offers a range of additional logistics services.

[Walmart Logistics Special Services]

1、Premium U.S. Customs Clearance Services: Provided by Walmart's preferred customs brokers.

2、Full Container Load (FCL) Shipping: Covers both standard and oversized items.

3、Container Sizes: Services for 20-foot, 40-foot, and 45-foot high-cube containers, with freight rates arranged through Walmart Cross Border Negotiated Rate Arrangements (NRA)*

4、Seller Center: Offers registration, quoting, booking, and tracking features.

5、Language Support: English and Mandarin support with dedicated time zones.

 Benchmarking against Amazon, increasing investment in logistics 

As the world's largest retailer and the largest cargo owner in the eyes of all shipping companies, Walmart has recently increased its efforts to enter online retail, with the goal of surpassing Amazon as the world's largest cross-border e-commerce platform.

For its cross-border e-commerce logistics services, Walmart has recruited Scott Humanek, former Vice President of Amazon Logistics and former Head of Customs and Ocean Freight Booking at Flexport. This move indicates a clear and precise strategy: to replicate Amazon Logistics and Flexport's expertise in freight forwarding and delivery fulfillment, and quickly establish its own Walmart Logistics and Services.

Walmart initially launched Walmart Fulfillment Services (WFS) in 2022 for sellers, aiming to increase revenue through its existing e-commerce infrastructure. Since then, the platform has expanded to include inventory-focused products. WFS provides warehousing, picking, packing, two-day delivery, returns, and customer service, with plans to eventually extend to next-day delivery.

The seller marketplace is part of Walmart's broader strategy to expand its service range and surpass traditional retailers. For instance, earlier this year, Walmart began offering its AI-optimized technology designed to reduce logistics costs. Walmart is already using this technology to lower its own transportation costs and emissions.

Additionally, the global retail giant has been developing its local delivery service platform, gollocal, which now handles large and bulky items and fulfills orders.

As Walmart's cross-border services continue to evolve and expand, more sellers may opt for the logistics solutions provided by Walmart, reducing their reliance on traditional freight forwarding companies and leading to a decrease in the market share of these traditional firms.

However, industry experts believe that despite the strong brand endorsement and significant attention garnered by Walmart's freight forwarding services, its market acceptance and scale still need further development. Compared to some established freight forwarding companies, Walmart's recognition and influence in the freight forwarding sector still have room for growth.