Amazon to End Shared Inventory Rule in March 2026: A New Opportunity for Brand Sellers

Breaking News! Amazon has announced that it will officially terminate the "commingling" inventory management system, which has been in place for over a decade, on March 31, 2026. This change marks a significant shift in Amazon’s inventory management, and it brings a promising opportunity for brand sellers on the platform.

What Is the Shared Inventory System?

Under Amazon’s current "commingling" inventory model, products from different sellers with the same item are stored together in Amazon’s fulfillment centers. When an order is placed, Amazon ships the product from the closest available inventory, regardless of which seller it belongs to. While this model has helped speed up deliveries and optimize storage space, it has also raised concerns among brand sellers. The most common complaint is that their genuine products may get mixed with counterfeit goods, leading to quality issues and customer complaints.

Key Changes in the New Rule

According to Amazon's official notice, starting on March 31, 2026, Amazon will end the commingling system and adopt a new inventory management process. The major changes are as follows:

• No More FNSKU Labels for Brand Sellers: Brand sellers will no longer need to apply Amazon-specific FNSKU labels if their products already have manufacturer barcodes (such as UPC, ISBN, etc.). This change simplifies inventory management and eliminates the cost of labeling.
• Distributors Must Use FNSKU Labels: Even if a distributor’s products have a manufacturer barcode, they will still be required to use Amazon’s barcode labels. This will standardize inventory management for all sellers.
• Products Without Manufacturer Barcodes Must Use Amazon Labels: For products without a manufacturer barcode, both brand owners and distributors will be required to use Amazon barcode labels.

New Opportunities for Brand Sellers

This change is a major win for brand owners. Previously, brand sellers had to apply unique Amazon FNSKU labels to each product to prevent commingling with other sellers' items. This was a time-consuming and costly process. According to Amazon’s estimates, brand owners spent a staggering $600 million last year alone to avoid having their products mixed with others.

With the new rules, brand sellers can use their product’s existing manufacturer barcodes for inventory management and shipping. This eliminates the need for expensive labeling, improves operational efficiency, and reduces unnecessary costs.

Why Is Amazon Making This Change?

The decision to end the commingling system reflects Amazon’s growing focus on brand protection and the maturity of its logistics network. In the past, the commingling model offered advantages in terms of faster delivery and more efficient use of warehouse space. However, with Amazon's logistics infrastructure now being more advanced, the drawbacks of commingling have begun to outweigh the benefits.

Moreover, the new system better protects brand owners by ensuring that their products are not mixed with counterfeit or damaged goods. This shift also signals a broader trend in cross-border e-commerce towards brand-building and regulatory compliance, where the focus is increasingly on sustainable growth rather than short-term gains.

GoodShip56.com: Your Cross-Border E-Commerce Logistics Solution

As Amazon’s new rules take effect, brand sellers will have more opportunities to optimize their logistics and inventory management processes. At GoodShip56.com, we offer comprehensive logistics solutions to help you efficiently manage inventory and shipping while complying with Amazon’s new guidelines.

Our services include:

• Global Warehousing & Distribution: Our global warehouse network ensures fast and reliable order fulfillment.
• Custom Logistics Solutions: We provide tailored logistics services to meet the needs of different countries and markets.
• Customs & Tax Services: We handle customs clearance and tax compliance, ensuring smooth cross-border shipments.
• Inventory & Order Management: We help you streamline inventory and order processing, ensuring timely delivery to customers.

Conclusion

Amazon’s decision to end the commingling inventory model is a significant step towards brand protection and sustainable growth for e-commerce businesses. For brand sellers, this change presents a unique opportunity to reduce costs, streamline operations, and enhance brand value.

At GoodShip56.com, we are committed to helping cross-border e-commerce sellers navigate the evolving logistics landscape and comply with new platform rules. Visit GoodShip56.com for more information on our logistics services and how we can help your business thrive in the global marketplace.