Pandora has opened a distribution centre in Mississauga, Ontario, as the Danish jewellery group adjusts its logistics network to support growth in Canada and reduce exposure to United States tariffs.
The 10,600 sq ft facility will handle online orders for the Canadian market and is operated by GXO Logistics. It marks a change in how Pandora fulfils e-commerce demand in the country, reducing reliance on US-based distribution hubs.
Shift in Distribution Strategy
Previously, online orders for Canadian customers were processed through distribution centres in the United States, requiring goods to pass through US customs before entering Canada. The new facility allows Pandora to ship directly into Canada, removing an additional cross-border step.
This change is intended to reduce exposure to tariffs on imports from Thailand, where much of Pandora’s jewellery is manufactured. The company indicated that such tariffs could affect its 2026 operating margin by approximately 1.5 percentage points.
By routing goods directly into Canada, Pandora also simplifies inventory flows and avoids re-export procedures previously required when goods moved via the US.
Capacity and Delivery Improvements
The Mississauga site has capacity to process up to 12,500 online orders per day, with delivery times expected to reduce from five to seven days to between two and four days.
Pandora said the local fulfilment model will also simplify returns for Canadian customers and support more consistent service levels.
“The new distribution center is an important step forward for Pandora in Canada. It means faster deliveries, more reliable service, and a better overall experience for our Canadian customers,” said Tania Brosseau, vice president, Canada.
Technology and Operations
The facility is the first to implement Pandora’s updated logistics system, designed to improve stock availability and order accuracy.
It incorporates a ‘pick-to-light’ system, which uses illuminated indicators to guide staff in assembling orders, with the aim of improving efficiency and reducing errors.
Operations at the site are managed by GXO Logistics, a US-based logistics provider.
Canada as a Growth Market
Pandora identified Canada as one of its fastest-growing markets, with revenue increasing by more than 50 per cent since 2019. The company operates 96 stores in the country and employs over 1,400 staff.
E-commerce represents more than 20 per cent of Pandora’s Canadian sales, highlighting the importance of direct-to-consumer fulfilment.
The Canadian retail network continues to be supplied by Pandora’s central distribution hub in Thailand.
Implications for the Jewellery Sector
Pandora’s investment reflects a wider shift among international jewellery brands towards regional distribution networks, particularly in response to trade policy changes and tariff exposure.
For jewellers, this highlights the growing importance of logistics infrastructure in supporting e-commerce and meeting delivery expectations.
It also indicates how supply chain design is becoming a more prominent consideration, as brands balance cost, service levels and regulatory requirements across markets.
“The new center also reflects how we continually optimize our global distribution network to support long-term growth and strengthen our global supply chain,” Brosseau said.
