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Amazon is building a massive new warehouse in Sydney

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First Amazon fulfilment centre to open in Australia, in Melbourne.

  • Amazon launched in Australia late last year offering tens of millions of items.
  • The company is growing its network of fulfilment centres as it expands to meet customer demand in Australia.
  • It's now opening a fulfilment centre in Sydney, its second in Australia.

Amazon is opening a fulfilment centre in Sydney, its second for Australia as the US-based retailer pushes into the local market.

The company says it is growing its Australian fulfilment centre network as it expands to meet customer demand, increases its product selection and supports more third-party Marketplace sellers with Fulfilment by Amazon

The US-based online retailer says it will begin recruiting immediately for a range of roles including operations, support and technical specialists.

The 43,000 square metre facility is in the Goodman Centenary Distribution Centre in Moorebank with easy access to the M5 and M7 motorways.

Amazon opened its first fulfilment centre in Australia at Dandenong South in December 2017.

The online retailer in December launched a local website, increasing digital competition for consumer dollars among brick-and-mortar retailers.

In January, Alexa, Amazon's digital voice assistant, arrived in Australia with a local accent. And in February, Amazon launched delivery for third-party sellers via Marketplace, Fulfilment by Amazon.

The latest research from Morgan Stanley shows prices at Amazon are significantly cheaper than at major Australian retailers for many goods.

Workers sort arriving products at an Amazon Fulfilment Center in Tracy, California August 3, 2015.  REUTERS/Robert Galbraith

The next step in Australia for Amazon will be to launch its Prime, a membership offering free delivery, locally later this year.

This week consumer electronics retailer JB Hi-Fi downgraded its full-year earnings forecast, citing "challenging conditions in the home appliance market."

"This new facility builds on the capabilities of our first centre in Dandenong South, allowing us to continue to fulfil our commitment to fast and reliable deliveries for Australian customers," says Robert Bruce, Amazon Australia Operations Director.

"This investment will benefit both customers and the local economy by generating new jobs and providing small and medium-sized Australian businesses who sell on amazon.com.au and use our Fulfilment by Amazon program, with an opportunity to more easily access millions of customers across the country."

The new Sydney fulfilment centre, along with the existing building in Melbourne, will allow Amazon to handle current and future customer demand and speed up delivery to customers across the country, and is planned to start operations in the second half of 2018.

Amazon launched in Australia late last year offering tens of millions of items from 23 different categories, including consumer electronics, books, sporting goods, fashion and Amazon devices.

SEE ALSO: Jeff Bezos, world's richest person, on how he views spending money

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