Emirates SkyCargo has entered into a memorandum of understanding (MoU) with Cainiao Smart Logistics Network to jointly work on cross-border parcel delivery services.Emirates SkyCargo is the freight division of Emirates, while Cainiao is the logistics arm of Alibaba Group.
As per terms of the deal, Emirates SkyCargo and Cainiao will work together to manage e-commerce shipments in the Middle East and other neighbouring regions, via Dubai.
The deal is part of Cainiao’s strategy to expand its global logistics infrastructure with Dubai as a hub.The deal will allow both entities to leverage their capabilities in cross-border e-commerce trade and airline cargo operation.Recently, Cainiao has announced plans to develop six global hubs in six cities, including Dubai, across the globe.
Emirates Cargo divisional senior vice president Nabil Sultan said: “The MoU that we have signed today is the first step in what will be a deep and fruitful relationship between Emirates SkyCargo and one of the biggest players in the global e-commerce supply chain.”
Cainiao Global Business general manager Xiaodong Guan said: “As a key gateway that links Asia and Europe, Dubai is well positioned to help us achieve our goal of 72-hour global delivery. The MoU with Emirates SkyCargo is another milestone to reach this goal.”Emirates SkyCargo delivers cargo to more than 155 global destinations with a fleet of 267 aircraft, including 13 Boeing 777-Fs and one B747.Emirates operates two advanced cargo terminals in Dubai, which will manage cargo from passenger as well as freighter aircraft.
In May this year, Alibaba-led consortium agreed to purchase 10% equity stake Chinese express delivery firm, ZTO Express (Cayman), for around $1.38bn.The investors led by Alibaba and its logistic arm Cainiao Network have entered into a strategic agreement with ZTO Express for the investment and acquisition of interest.
The investment will help Cainiao and ZTO to further develop first and last-mile pickup and delivery capabilities, warehouse management, cross-border logistics and technology-driven smart solutions.