Freight Forwarding partners, Walmart, the world's largest retail giant, has officially entered the freight forwarding business by launching its "Walmart Cross Border" service.

Walmart has introduced Walmart Cross Border with the aim of providing ocean freight solutions to merchants on its Walmart.com platform. This move highlights Walmart's ambitions in the logistics sector and its focus on cost control. The service is operated by Walmart's wholly-owned subsidiary, WMSC Logistics Services, which is a Non-Vessel Operating Common Carrier (NVOCC) approved by the U.S. Federal Maritime Commission (FMC).

Walmart Cross Border offers merchants Full Container Load (FCL) transportation services from container yards to destination warehouses. Sellers only need to deliver their goods to the designated container yard, and Walmart will handle subsequent stages such as storage and distribution. Sellers are required to participate in Walmart Fulfillment Services (WFS), meaning that Walmart will manage the backend fulfillment. Currently, this service operates from three major ports in China—Yantian, Shanghai, and Ningbo—loading full containers. Walmart also offers quotes in the form of Negotiated Rate Arrangements (NRA), allowing sellers to choose suitable container sizes (20ft, 40ft, and 45ft) based on their needs.

Challenging Traditional Freight Forwarders?

By launching its own freight forwarding service, Walmart is directly challenging the market position of traditional freight forwarders. This closed-loop operation model enables Walmart to better control the transportation process of products on its platform, providing merchants with more convenient, efficient, and cost-effective ocean freight solutions, thereby enhancing its market competitiveness. As Walmart Cross Border services continue to improve and expand, more merchants may opt for Walmart's logistics solutions, reducing their reliance on traditional freight forwarding companies, which could lead to a decrease in market share for traditional forwarders.

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