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Amazon closes warehouses and suspends deliveries across Abu Dhabi
Business Insider· 2026-03-02 19:39
Group 1 - Amazon has closed its fulfillment center operations in Abu Dhabi and suspended deliveries across the region due to escalating instability affecting its Middle East network [1][4] - Employees in Saudi Arabia and Jordan have been instructed to remain indoors, with many transitioning to work from home, while business travel to Israel and Lebanon has been blocked [2] - The disruption highlights the vulnerability of global supply chains to geopolitical tensions, particularly after Amazon's significant investment in the region, including the acquisition of Souq.com for approximately $600 million in 2017 [3] Group 2 - The shutdown in Abu Dhabi is expected to reduce network capacity across Amazon's Middle Eastern operations, with additional operational support on standby to manage disruptions [4] - Nearly 300,000 third-party sellers in the region are facing shipment delays and potential order cancellations due to tightened logistics channels, as many rely on Amazon's fulfillment infrastructure [5] - A power outage at one of Amazon's data centers has occurred due to the US-Iran conflict, with repairs expected to take at least a day [6]