Alibaba’s logistics arm Cainiao has just announced a program to build world-class logistics hubs in several locations around the world. The first five cities being considered are Hangzhou, Kuala Lumpur, Dubai, Moscow and Liege, which will greatly speed up the logistics services in Southeast Asia, Western Europe and Russia.
At the 2018 Global Smart Logistics Summit, Jack Ma, executive chairman of Alibaba, said that Cainiao will spare no efforts to build a national smart logistics backbone network, which will consist of two parts: a network that enables 24-hour delivery in China, and the other one along The Belt and Road with 72-hour delivery globally.
Cainiao reveals that among the first five global logistics hubs, Hangzhou is a strategic city of cross-border logistics in China, also a test field of China's cross-border e-commerce policies. In March, Cainiao opened up an intercontinental airline from Hangzhou to Moscow exclusive to e-commerce, becoming the first definite intercontinental shipping line for medium and small enterprises.
Kuala Lumpur will be Cainiao's first overseas eWTP (electronic world trade platform). Cainiao will cooperate with Malaysian customs to quicken the customs clearance from 24 hours to 3 hours, and will bring warehouse robots from China to Kuala Lumpur. The logistics hub to be built in Belgium can serve a half of the European consumers. Packages distributed from Liege can arrive in France, U.K., Germany and Spain within five hours. Dubai connects Europe, Asia and Africa, being the world's most important transfer center.
Cainiao president Wan Lin says that unlike general logistics bases, the world-class logistics hub will play its geographical and technological advantages to serve the world's main markets, thus creating global end-to-end supply chain solutions. "We hope the products from all over the world will be directly sent to Cainiao after rolling off the production line, and then our cooperation partners and we deliver the products to consumers throughout the world, so that medium and small enterprises can circulate their products globally," Wan said.
Sources say Cainiao will build the logistics hubs through cooperating with partners or lease operations in the five cities. Early this year, Cainiao had realized five-day delivery in dozens of key cities in six countries including U.K., Spain and Malaysia, with delivery stability reaching over 98%.
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