Amazon plans to open a 1 million-square foot fulfillment center in Spartanburg, S.C., its second new fulfillment center in the Palmetto State in two years.
Amazon’s expansion in South Carolina follows the retailer’s agreement last June to add 2,000 full-time jobs in the state in exchange for an exemption on charging sales tax to state residents through 2015.
Amazon.com opened its first South Carolina fulfillment center last year in Lexington County, and the $50 million Spartanburg center is set to open later this year.
“We had a great first holiday season in Lexington County and we look forward to serving our customers from both Lexington and Spartanburg Counties by the fall,” said Dave Clark, vice president of Amazon Global Customer Fulfillment.
Amazon’s sheer scale as a distributor makes it a major force in shipping. The online retailer has 34 distribution centers in the U.S. and ships more than 2 million packages a week, according to S.J. Consulting Group.
If it was considered a light-asset parcel carrier, Amazon would rank as fourth-largest after UPS, FedEx and the U.S. Postal Service, the consulting firm said.
Like many states, South Carolina is working to attract logistics business.
“Our state has a vibrant and growing distribution and logistics sector, and having a company like Amazon continue to establish new operations here builds on that reputation,” said South Carolina Secretary of Commerce Bobby Hitt.