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Amazon has temporarily shut down its Abu Dhabi warehouses and halted delivery services due to rising Middle East instability. The decision, shared in an internal memo this week, has led to delays in customer orders and returns. Employees in Saudi Arabia and Jordan have been asked to stay indoors, while many are working remotely. Travel to Israel and Lebanon is restricted. Nearly 300,000 third-party sellers face shipment challenges, and a regional data center experienced a power outage. Amazon's regional logistics network, built since the 2017 Souq.com acquisition, remains under close monitoring.
Amazon has closed its fulfillment centers in Abu Dhabi and suspended deliveries across the region as it responds to escalating geopolitical instability affecting its Middle East operations. The company communicated the developments through an internal memo earlier this week, which revealed that customers are experiencing delays in deliveries and returns.
Employees in Saudi Arabia and Jordan have been instructed to remain indoors, while many across the region are transitioning to remote work. Business travel to Israel and Lebanon has also been restricted. No safety incidents involving employees have been reported so far. An Amazon spokesperson emphasized that the company is prioritizing employee and partner safety and providing necessary support to its regional teams.
The disruption highlights the vulnerability of global supply chains to regional conflicts. Amazon's Middle Eastern presence, anchored in the UAE, was significantly expanded after its 2017 acquisition of Souq.com for roughly USD 600 million. The suspension in Abu Dhabi is expected to reduce network capacity across its regional operations. Nearly 300,000 third-party sellers relying on Amazon's logistics infrastructure are facing shipment delays and potential cancellations.
Additionally, the US-Iran conflict has caused a power outage at one of Amazon's regional data centers, with repairs expected to take at least a day. Amazon has activated standby operational support to manage ongoing disruptions and monitor the situation closely. The company has not specified when normal delivery services in Abu Dhabi will resume.
Source Reuters
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