Amazon Singapore Shuts Down Fresh Delivery and Local Marketplace in July 2026
Amazon Singapore announced on May 7, 2026 that it will discontinue its local grocery delivery service, Amazon Fresh, and wind down its third-party seller marketplace by July 6, 2026. The move affects less than 10 percent of the company's Singapore workforce and marks a clear shift in strategy toward cross-border retail from its US, Japan, and Germany stores.
What Is Changing and When
Amazon Singapore said it would phase out its local fulfilment services, including its Amazon Fresh grocery delivery service, and stop working with third-party sellers on Amazon.sg. The decision will result in layoffs affecting “less than 10 per cent” of the company's total workforce in Singapore.
The wind-down follows a structured timeline. Amazon stopped accepting new FBA shipments on May 7, 2026. The SIN8 fulfilment centre stops accepting inbound shipments on June 6, 2026. July 6, 2026 marks the last day for selling via both FBA and Fulfilled by Merchant arrangements, after which all offers will be deactivated on July 7.
For sellers still holding inventory in Amazon's Singapore warehouses, the company is offering free removal orders on all FBA stock until July 6. Payments and existing disbursement schedules will continue through the wind-down period without disruption.
What Stays and What Goes
Partner stores such as Watsons and Little Farms will also be discontinued with the shutdown. Amazon Prime subscribers, who pay S$4.99 a month, will continue to enjoy the Prime Video streaming service and offers such as free shipping and discounts for selected goods.
Starting July 7, 2026, Amazon Singapore will prioritize investment in high-demand selection from Amazon US, Amazon Germany, and Amazon Japan. The platform will continue to offer a wide selection of everyday essentials, including products across health and personal care, apparel, home, kitchen, and more.
Amazon's Prime Day in Singapore will still take place in June 2026, with no changes to that event's plans. AWS operations, corporate functions, and technology roles in Singapore are also unaffected by this decision.
Why Amazon Is Making This Move
Amazon Singapore country manager Peter Li said the company was seeing strong demand for products from international stores, and is responding by increasing investment in what customers tell them they want most: selection from around the world with fast, reliable delivery. The company noted that nearly 80 per cent of local customers shopped for international products on Amazon.sg in 2025, and that demand has been growing consistently since launch.
Building groceries in a city where supermarkets sit ninety seconds from most front doors meant either subsidising delivery indefinitely or competing on a catalogue Amazon could not differentiate. Closing it now lets Amazon redirect investment toward what its data shows actually moves: cross-border parcels of products customers cannot easily buy from local retailers.
The decision fits Amazon's broader global pattern. Amazon shut its Try Before You Buy clothing service globally in 2023, sold Amazon Care in 2022, and earlier this year announced it was winding down its physical Amazon Go and Amazon Fresh stores in the US, narrowing the grocery footprint to Whole Foods. The Singapore decision lines up with that pattern: keep retail surfaces where they have either scale or differentiation; exit where they have neither.
Impact on Workers and the Competitive Landscape
Amazon employs 2,500 people across its cloud, corporate, retail, and technology functions in Singapore, and the “vast majority” of roles are unaffected. For those unable to find a new internal role or who choose not to pursue one, Amazon is offering transition support including severance payments and career transition services. The Economic Development Board said it is working with Amazon, Workforce Singapore, and NTUC's Employment and Employability Institute to support affected employees, including facilitating job placements.
The closure of Amazon Fresh leaves the market open to rival Lazada and its RedMart online grocery store. Other players such as FairPrice Online and Grab's GrabMart also stand to absorb displaced grocery shoppers who relied on Amazon Fresh's two-hour delivery window.
What Sellers Should Do Now
For third-party sellers currently operating on Amazon.sg, the 60-day wind-down period offers a narrow window to act. Sellers need to plan inventory clearance, create removal orders for FBA stock, and evaluate whether to continue through other Amazon stores via Amazon Global Selling. Amazon has confirmed that seller accounts and performance records in other Amazon stores will not be affected by the Singapore closure.
If you run a business that was relying on Amazon.sg for local fulfilment, now is the time to review your logistics partners and explore whether platforms like Shopee, Lazada, or direct-to-consumer channels fit your customer base in the region.
