Amazon Accelerates Its EU Expansion 

In 2025, Amazon accelerated its European growth strategy—ramping up investments in cloud infrastructure, fulfillment, same-day delivery, and marketplace logistics. These moves reinforce the company’s dominance in the EU retail and logistics ecosystem.

Amazon Massive Investments Driving European Expansion

Amazon invested over €38 billion in the EU in 2024, part of more than €225 billion committed since 2010. In 2025 alone, it is investing over €55 billion across Europe, creating more than 230,000 direct jobs and supporting over 450,000 indirect positions.

In Germany, Amazon has allocated €17.8 billion to expand its operations, including the construction of fulfillment centers and a new AWS sovereign cloud region in Brandenburg, which is expected to go live by the end of 2025.

In Spain, Amazon Web Services (AWS) announced a €15.7 billion investment over ten years in data centers located in Aragon. This will support approximately 17,500 jobs annually through 2033 and contribute more than €21 billion to GDP.

In Italy, AWS plans to invest €1.2 billion by 2029 to expand its cloud infrastructure around Milan, with projections of over 5,500 new jobs across the digital supply chain.

Logistics Overhaul: Same-Day Delivery and Fulfillment Expansion

Amazon is aggressively expanding its Same-Day Delivery service across Europe. In 2025, 20 more cities will be added, including Augsburg, Metz, and Bergamo. The total footprint now covers over 135 locations.

New urban fulfillment models support this expansion. For instance, Amazon’s fast delivery zones in Madrid enable cut-off times as late as 6:15 pm, made possible by AI-driven inventory allocation and highly automated warehousing.

Policy and Seller Strategy: Pan-EU Logistics Update

Starting June 25, 2025, Amazon’s Pan-European Fulfillment Network will require sellers to include the Netherlands (Amazon.nl) in their country list to retain eligibility. Sellers must now list products in Germany, France, Italy, Spain, and the Netherlands to qualify for streamlined logistics and inventory pooling.

This update aims to standardize cross-border fulfillment and improve shipping speeds in Northern and Western Europe.

Market Dynamics and Platform Reach

Amazon continues to dominate EU e-commerce. In Germany alone, Amazon.de receives over 390 million monthly visits, significantly ahead of local competitors such as Otto and Zalando.

Across 21 EU countries, Amazon employs more than 150,000 people, with thousands more working indirectly in third-party logistics, warehouse operations, technology, and customer service.

Sustainability and Second-Hand Commerce Momentum

Amazon is also contributing to the circular economy. The European second-hand product market is now valued at €21.6 billion and is expected to grow by an additional €2 billion by 2025.

Over 740 million items were resold, refurbished, or returned via Amazon Europe in 2024–2025. Consumer demand for eco-conscious alternatives is prompting the company to expand its re-commerce offerings and introduce lower-carbon delivery options.

Strategic Implications for Brands and Sellers

Leverage Pan-EU Logistics

Retailers must align with Amazon’s Pan-EU strategy, including compliance with VAT, packaging laws, and the new Dutch marketplace requirement. Unified logistics planning is critical.

Adopt Same-Day and Local Fulfillment

To compete on convenience, sellers should explore local fulfillment models, late cut-off support, and inventory optimization using Amazon’s AI tools.

Integrate AWS Infrastructure

With AWS expanding across Germany, Spain, and Italy, brands with regulated data needs—like those in healthcare or fintech—can benefit from sovereign cloud setups and secure EU hosting.

Offer Sustainable and Circular Products

Amazon’s resale initiatives are experiencing rapid growth. Sellers can participate by launching certified refurbished lines, using minimal packaging, and promoting eco-friendly delivery options.

Amazon’s EU Expansion at a Glance

Amazon’s 2025 expansion in the EU reflects a deliberate and well-funded push to consolidate its leadership in logistics, cloud services, and digital retail infrastructure. By deepening its presence in key markets such as Germany, Spain, and Italy, while optimizing delivery speed and expanding its marketplace policies, Amazon is shaping the next chapter of European e-commerce.