SingPost and Cainiao sign MOU to strengthen logistics capabilities to capitalise on eCommerce growth in Southeast Asia

SINGAPORE,Sept. 12,2024 -- Singapore Post Limited (SingPost) a leading postal and eCommerce logistics provider in Asia Pacific,and Cainiao,a global leader in e-commerce logistics,have signed a Memorandum of Understanding (MOU) to explore strategic collaborations aimed at fostering the long-term growth of Singapore's cargo and logistics sectors. This collaboration will strengthen both organisation's logistics networks to capture the expanding eCommerce market in Southeast Asia.


Credit: Cainiao; From Left to Right: William Xiong,Senior Vice President,Cainiao Group; Li Yu,CEO,International,Singapore Post; Vincent Phang,Group CEO,Singapore Post; Lin Wan CEO,Cainiao Group; Lucas Shen VP,Cainiao Group,General Manager of Strategic Partnership and Cooperation

According to Statista,the eCommerce market is expected to be worth US$186 billion by 2025,up from approximately US$139 billion in 2023.[1]"Singapore's strategic location and world-class infrastructure make it an idealtransshipment hub for the growing eCommerce sector in Asia. This collaboration withCainiao aligns with our path of digitalisation and our focus on eCommerce logistics," said LiYu,SingPost. "By combining our strengths,we aim to enhance service quality for our customers."

As the eCommerce industry continues to grow exponentially,the MOU will focus on areas for optimising delivery costs and boosting volumes by utilising Cainiao's advanced technology solutions and SingPost's extensive logistics network,thereby leveraging capabilities to help consolidate shipments and optimise delivery routes.

Areas of cooperation include strengthening Singapore's role as an air cargo transshipment hub,developing innovative postal products for China and Southeast Asia,integrating Cainiao's technology to enhance operational efficiency,and improving last-mile delivery capabilities in Singapore and beyond.

William Xiong,Cainiao Group stated,"Given the rapid growth of e-commerce in the Southeast Asian market,there is a rising need for greater efficiency and faster delivery. We look forward to collaborating with partners like SingPost to contribute to a robust eCommerce logistics ecosystem. By integrating our technology with SingPost's network,we aim to provide reliable logistics solutions that support global connectivity,facilitate trade between Southeast Asia and the rest of the world,and strengthen Cainiao's presence in Asia Pacific."

The collaboration is set to commence with a pilot project in the coming months,with both parties working closely to assess the feasibility of the different workstreams.

About Singapore Post Limited (SingPost)

Singapore Post (SingPost) is a leading postal and eCommerce logistics provider in Asia Pacific. The portfolio of businesses spans from national and international postal services to warehousing and fulfilment,international freight forwarding and last mile delivery,serving customers in more than 220 global destinations. Headquartered in Singapore,SingPost has over 4,900 employees,with presence in 14 markets worldwide. Since its inception in 1858,the Group has evolved and innovated to bring about best-in-class integrated logistics solutions and services,making every delivery count for people and planet.www.singpost.com

About Cainiao Group

Founded in 2013,Cainiao is a global leader in eCommerce logistics with the mission to enable a seamless e-commerce experience anywhere in the world through deep eCommerce insights and technological capabilities. In the cross-border e-commerce logistics division,Cainiao is the world's No.1 service provider by parcel volume,serving over 100,000 merchants and brands.

Our extensive logistics network spans over 200 countries and regions,making us one of the world's largest logistics networks in terms of geographic reach. We are continually expanding our local express delivery and supply chain services in international markets,such as Spain,France and Poland.

For more information about Cainiao,please visit cainiao.com.

[1] https://www.statista.com/statistics/958414/southeast-asia-e-commerce-market-value/