(Yicai Global) June 29 -- Cainiao Group, the logistics arm of Alibaba Group Holding, said it will partner with its parent company's international retail platform AliExpress to launch an industry-first five-day global delivery service offering.

Cainiao will set a new industry benchmark in the global express business with the service to deliver cross-border parcels within five working days, the Hangzhou-based firm said at its 2023 Global Smart Logistics Summit held yesterday.

The 5-Day Global Delivery service will be achieved through full-chain operational optimization and workflow streamlining across first-mile pick-up, line haul, overseas distribution, and last-mile delivery, Cainiao added. The new service will bring about an average of 30 percent uplift in delivery speed compared to the industry standard, it noted.

Cainiao will focus on key logistics nodes in Europe, North America, and Southeast Asia to deepen its capabilities in key overseas markets as part of its globalization push, according to the firm. The target is to establish one to two local warehousing and distribution centers each year.

The company is also upgrading its domestic business by launching the self-operated premium express service Cainiao Express, featuring key offerings, including half-day delivery, doorstep delivery, and night-time pick-up to cater to demand for a high-quality and differentiated express service, said Chief Executive Officer Wan Lin.

During the summit, Joseph Tsai, Alibaba’s executive vice chairman, delivered a speech for the first time as chairman of Cainiao Smart Logistics, one of the internet giant’s six new business groups. 

He said China's logistics technology, which has been trained in large-scale parcels, has global competitiveness. Cainiao will further consolidate its leadership in digitization and intelligentization and will go on investing in building up its logistics capabilities, Tsai added.

“The precondition of business globalization is globalized logistics, which excites us and makes us strive for it,” he said. “Cainiao will focus on the global market based on its Chinese roots to continuously construct a global logistics network.”

In an earlier announcement, Alibaba said its CEO and chairman, Daniel Zhang, will step down from his posts on Sept. 10 and serve as the CEO and chair of the firm's Cloud Intelligence Group, while Tsai will succeed Zhang as Alibaba's chairman.

Editor: Martin Kadiev