Canada Reviews Amazon Cloud Contracts After Quebec Warehouse Closures

Canada’s government threatened to review its cloud computing contracts with Amazon.com Inc (Nasdaq: AMZN) after the e-commerce giant announced plans to close its Quebec warehouses, prompting concerns about the company’s commitment to the Canadian market.

Industry Minister Francois-Philippe Champagne sent a strongly worded letter to Amazon CEO Andy Jassy on Tuesday, warning that the closure decision would trigger a review of Ottawa’s business relationship with Amazon Web Services, which has secured more than $50 million in federal contracts since 2020.

“Yesterday’s decision is inconsistent with your expressed interest in being a leader and strategic partner within Canada’s industrial economy,” Champagne wrote to Jassy, noting the move would affect thousands of Quebec workers and undermine Amazon’s stated goal of being “Earth’s best employer.”

Selkirk Copper Mines — sponsored Sponsored · Selkirk Copper Mines

Amazon plans to shut down its Quebec-based distribution centers over the next two months, shifting to a third-party delivery model in the province. While local labor organizations suggested the closures were linked to unionization efforts, Amazon denied these claims, stating the decision followed an operational review.

The minister emphasized Quebec’s strategic importance, pointing out that Amazon’s distribution centers there serve as crucial hubs for the company’s Canadian supply chain. The facilities currently employ thousands and have required significant infrastructure investment.

AWS, Amazon’s cloud computing division, maintains extensive relationships with Canadian public institutions, serving 6,500 public-sector organizations according to company data. This relationship now faces scrutiny as Champagne invited Jassy to “discuss this matter further.”

“You will undoubtedly understand that such action calls for a review of the business relationship that exists between Amazon and the Government of Canada,” Champagne wrote, suggesting Amazon has benefited significantly from its Canadian operations.


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Red Cloud Fall Mining Showcase 2026 | Day 2

More Gold Without a Bigger Upfront Bill? | Keith Boyle – New Found Gold

The Red Cloud Fall Mining Showcase 2026 | Day 1

Recommended

First Majestic Lifts Q3 Revenue 38% to US$394.1 Million on Higher Silver Prices

Meghan Markle’s Half-Brother Submitted Evidence Against Their Father, But Now Faces Philippine Police Scrutiny

Related News

Quebec Makes History As First Province in Canada to Cover Psilocybin-Assisted Psychotherapy

Last week, Quebec became the first governing medical body in Canada to publicly fund medical...

Wednesday, December 21, 2022, 12:48:00 PM

California AG Releases Unredacted Evidence of Amazon Price-Fixing Scheme Involving Levi’s, Walmart, Chewy

California Attorney General Rob Bonta released unredacted court evidence on Monday showing that Amazon (Nasdaq:...

Tuesday, April 21, 2026, 02:59:51 AM

Quebec Scraps Full 2035 Gas Vehicle Ban

Quebec recently lifted its planned 2035 ban on new gas-powered vehicle sales and reset the...

Wednesday, October 1, 2025, 07:39:00 AM

Amazon’s Confusing Q1 2023: Shares Rally On Earnings Beat But “Optimizations” Spooked Investors

Amazon.com, Inc. (Nasdaq: AMZN) reported on Thursday its financial results for Q1 2023. The company recorded...

Friday, April 28, 2023, 09:34:39 AM

Peloton: Wall Street Journal Reports That Amazon And Others Mulling Takeover Bids

After the regular stock market close on February 4, The Wall Street Journal reported that...

Sunday, February 6, 2022, 01:06:00 PM