Cainiao Network, the logistics arm of Alibaba Group, has announced it will lead a joint venture to invest approximately $1.5bn to build a digital logistics centre at Hong Kong International Airport.
Cainiao will lead the project through its controlling joint venture with China National Aviation Corporation and YTO Express. The companies hold a 51%, 35% and 14% stake in the joint venture respectively.
The centre will be put into operation in 2023 with an estimated gross floor area of 380,000 sq m. It will include an air cargo processing centre, sorting centre and order fulfilment centre, with automated warehousing and temperature-controlled solutions. The centre is expected to handle tens of millions of parcels every year to meet the surging cross-border e-commerce needs of global SMEs, bringing an incremental cargo volume of approximately 1.7 million tonnes per annum to the Hong Kong International Airport.
“The Hong Kong hub will be yet another milestone on our way to achieving our goal of 72-hour global delivery and will further empower SMEs locally and globally to more readily tap the benefits of more inclusive globalization through cross-border e-commerce,” said Wan Lin, President of Cainiao Network. “The Hong Kong International Airport has been the world’s busiest cargo airport for many years. As an important gateway for global goods to enter the mainland China market and vice versa, Hong Kong is of strategic importance to Cainiao and we have a strong commitment to help the city address the surging needs of the future.”
Cainiao already has three Global Fulfilment Centres in Hong Kong which are operated by its partners. Cainiao opened an air freight route between Hong Kong and Belgium last month. This is its second such international air freight route especially for e-commerce parcels following the opening of its Hangzhou-Moscow route earlier this year.
Source: Alibaba
