Amazon’s 2025 FBA Storage Limits: What Sellers Need to Know and How to Adapt

Amazon recently introduced major changes to its Fulfillment by Amazon (FBA) program that are already impacting ecommerce sellers. If you've noticed reduced capacity or restock restrictions, you're not alone.

Here’s what’s changed—and what you can do about it.

What Changed in FBA Policy?

1. Reduced Storage Capacity
As of May 2025, Amazon decreased FBA storage limits from six months of projected sales volume to approximately five. Some sellers report cuts as high as 75%.

2. ASIN-Level Restock Limits Are Back
Restock limits now apply to individual SKUs (ASINs), based on 90 days of recent sales velocity. That means even top-selling products can get capped.

3. Storage Linked to Performance
Your Inventory Performance Index (IPI), sell-through rate, and inventory health now directly impact your storage capacity.

4. Limited Advance Notice
Sellers received little warning about these updates, making inventory planning more difficult.

What This Means for Your Business

  • Stockouts on High-Demand SKUs
    Reduced restock limits can prevent you from keeping your top products in stock.

  • More Complex Inventory Planning
    You'll need to forecast demand and plan inbound shipments with more precision.

  • Higher Risk of Extra Fees
    Excess inventory or overages can result in storage and removal penalties.

What You Can Do About It

✅ Monitor Capacity Regularly
Use Amazon’s Capacity Manager in Seller Central to stay on top of your limits and make requests for additional space if needed.

✅ Optimize Inventory Health
Focus on aged inventory reduction, sell-through improvements, and resolving stranded inventory to boost your IPI.

✅ Prepare for Seasonal Demand Early
Plan your Q4 and promotional periods well in advance—Amazon recommends starting 6–8 weeks ahead.

✅ Consider Diversifying Fulfillment
Explore FBM (Fulfilled by Merchant) or third-party logistics (3PL) partners to take pressure off your FBA account and maintain sales velocity.

Final Thoughts

Amazon’s FBA updates for 2025 are forcing sellers to become leaner and more strategic with their inventory. By adapting now—before peak season—you can avoid stockouts, minimize fees, and protect your revenue.

Whether you continue with FBA or explore FBM, the key is staying informed and agile.

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