Cainiao Network (Cainiao), the logistics arm of Alibaba Group Holding Limited, has announced that it has partnered with South Korea’s CJ Logistics, a subsidiary of CJ Group whose business spans four major industries, namely food and beverage, biotechnology, logistics, and entertainment and media, to streamline and optimize cross-border logistics services between China and South Korea. In addition, both parties are amid discussions with AliExpress to establish fulfilment centres in South Korea to further safeguard logistics services for local consumers.
This partnership aims to enhance customer experience and quality of services by accelerating deliveries between China and South Korea to as fast as three days, with deliveries even on Sundays. This will be achieved by combining CJ Logistics’ expertise and range of logistics offerings in South Korea with Cainiao’s cross-border logistics capabilities in areas such as domestic warehousing, line haul transportation and first-mile network.
CJ Logistics has an extensive infrastructure with strong logistics capabilities in South Korea and owns and operates a mega logistics hub in Gonjiam since 2018, with a total area of over 300,000 square meters and a daily parcel handling capacity of up to 1.7 million. It also has more than 274 distribution centres covering major cities across South Korea.
Shin Young Soo, CEO of Parcel E-Commerce Business Unit at CJ Logistics, said at AliExpress’ South Korea press conference in March, “Establishing partnerships with global leading e-Commerce partners such as AliExpress and Cainiao create opportunities for us to deliver greater value and better customer experience. In the future, we will continue to optimize cross-border fulfilment services and partnership framework to achieve mutual growth and to offer new overseas shopping services for consumers.”
Wang Ke, Asia Pacific regional manager of Cainiao International Express, commented, “The partnership with CJ Logistics marks a step forward in enhancing the China-Korea cross-border logistics experience for merchants and consumers. Here, Cainiao can further optimize the logistics efficiency of the entire supply chain, especially when safeguarding delivery timeliness during major shopping festivals. Furthermore, this will enable us to deliver a customer experience and shipping guarantee on par with local eCommerce.”
Last year, China launched various initiatives to strengthen cross-border logistics between the two countries, such as launching a distribution centre and trucking line haul service in South Korea to expedite AliExpress deliveries from China. These helped to reduce operating costs by 10 per cent and save more than 12 hours in processing and handling time for South Korean-bound deliveries.
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