Lululemon has opened a new distribution center in Ontario, Canada, to strengthen the company's e-commerce fulfillment capabilities in North America, the retailer announced last week.
The 1-million-square-foot facility in Brampton broke ground in 2023 and became fully operational in June. The site will support e-commerce operations across the Eastern U.S. and Eastern Canada.
“This facility expands our fulfillment capabilities in Canada and the US, enabling us to better serve our guests and operate with greater speed and agility," said Ted Dagnese, Lululemon's chief supply chain officer, in the release.
The Brampton location features an AutoStore order fulfillment system implemented through a partnership with technology company Element Logic. The AutoStore system consists of 292,000 storage bins and 525 R5 pro robots used for storage and fulfillment. Additionally, the Brampton facility includes about 24,000 linear feet of material handling equipment and an overhead monorail transport system.
"Together, these systems help support one of North America’s largest and most advanced automated distribution operations, strengthening lululemon’s ability to move product efficiently across stores and e-commerce," according to a news release from Element Logic.
The news releases from Lululemon and Element Logic did not disclose the number of employees working at the Brampton distribution center. A Lululemon spokesperson said in an email to Supply Chain Dive that the facility "creates career pathways for current employees, rather than creating net-new roles."
Including the Brampton facility, Lululemon has eight distribution centers, according to a securities filing. Five of those facilities are located in Canada, two are in the U.S. and one is in Australia.
The majority of Lululemon's sales to U.S. e-commerce customers are fulfilled from Canada distribution centers, per the filing. This cross-border fulfillment model has faced increasing costs over the past several quarters due to tariffs levied by the Trump administration and the removal of the U.S. de minimis exemption. Lululemon reported a $275 million reduction to its 2025 gross profit stemming from increased tariffs and de minimis' elimination.
