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E-com Logistics weekly

The E-com Logistics Weekly • Feb 12 – Feb 19, 2026

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Post-LNY Freight Market: Rates crash, Blank Sailings rise

The “freight recession” fears are back. A market update released on Tuesday (Feb 17) shows that spot rates on the Transpacific lane have fallen near or below carrier break-even levels following the Lunar New Year. In response, carriers have announced aggressive “blank sailings” (cancellations), cutting more than 100 voyages across Asia-to-US lanes for late February and March. This is a desperate attempt to artificially reduce capacity and stop the rate freefall.

Bottom line: It is definitively a buyer’s market right now. If you are negotiating your annual ocean freight contracts, do not lock in high fixed rates. Use the current spot market weakness as leverage.

Amazon found guilty of labor violations in Canada

Amazon’s “union avoidance” tactics hit a legal wall this week. On Tuesday (Feb 17), the British Columbia Labour Relations Board ruled that Amazon violated labor codes by giving pay raises to workers at its non-union facilities while excluding unionized workers at its Delta, B.C. warehouse. The board has ordered Amazon to retroactively pay the wage increase to the unionized staff. This ruling sets a precedent that Amazon cannot financially penalize workers for organizing.

Bottom line: Labor volatility is not going away in 2026. As unions gain legal ground, expect Amazon’s labor costs to rise. Costs that will eventually be passed down to FBA sellers in the form of higher fulfillment fees.

Amazon “Project Kuiper” opens to maritime shipping

Supply chain visibility at sea is about to get a major upgrade. On Monday (Feb 16), Amazon filed an application with the FCC to allow third-party antennas to connect to its “Project Kuiper” satellite network (their rival to Starlink). This move allows maritime vessels to use Amazon’s low-earth orbit satellites for high-speed internet without needing proprietary Amazon hardware.

Bottom line: Real-time container tracking is the holy grail of logistics. As high-speed satellite internet becomes standard on cargo ships, the “black hole” of ocean transit (where you lose visibility for 2 weeks) will finally disappear.

The FedEx & UPS “Invoice Shock” is here

The new 2026 rates have been active for a month, and the first full set of invoices is landing on desks this week. The damage is worse than the “5.9%” headline suggested. Analysis of February invoices shows that the effective rate increase for D2C brands is hovering between 5-8%.The primary culprit is the new “Delivery Area Surcharge” (DAS), which UPS raised to $16.50 for certain remote zones, and the “Residential Surcharge” which jumped to $6.50. Basically, carriers have reclassified huge swaths of suburban zip codes as “Remote,” triggering higher fees for deliveries that used to be standard.

Bottom line: Audit your February invoice immediately. If your shipping costs spiked, it’s likely due to these hidden surcharges. You may need to adjust your “Free Shipping” threshold to absorb the extra $0.40-$0.60 per package.

Temu’s Super Bowl gamble: Big spend, low retention?

Temu bought multiple Super Bowl slots again this year, but the data suggests the “sugar rush” is wearing off. Despite spending millions on ads during the big game last week, data from Morgan Stanley and Second Measure shows that Temu’s U.S. sales actually declined 12.5% in December and 4.8% in January. The “Shop Like a Billionaire” novelty is fading. High churn rates indicate that while Americans love the cheap prices, they hate the inconsistent quality and slow shipping.

Bottom line: The threat from Chinese marketplaces is looking to stabilize. If you sell high-quality goods with fast shipping, your customers are coming back. The “race to the bottom” on price seems to be a losing game that even Temu is struggling to win.

Note: This information is intended to inform Hermeslines clients and partners about industry developments, including decisions of courts and administrative bodies. Nothing in this update should be construed as legal advice, a legal opinion, or customs consulting. Readers should not act upon the information contained in this alert without seeking the advice of a licensed customs broker or legal counsel. Views expressed are those of the author(s) and do not necessarily reflect the official policy of Hermeslines or its clients. Prior results do not guarantee a similar outcome. Hermeslines does not claim ownership of the original reporting; please refer to the linked sources for full articles and original attribution. This content is intended for commentary, news reporting, and educational purposes under the Fair Use provisions of Section 107 of the Copyright Act 1976. This article is for informational purposes and does not constitute legal or customs advice.

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