Asean logistics sector could get tech boost as Alibaba unit looks to region for growth

Fast-growing South-east Asia is natural port of call for Cainiao, as growth slows amid gradual e-commerce saturation in its home market of China, say observers

Annabeth Leow

Published Mon, Apr 18, 2022 · 05:50 AM

Alibaba

Singapore

CHINESE tech giant Alibaba is eyeing growth in South-east Asia's third-party logistics market, with its Cainiao Network arm recently unveiling a spate of plans for regional smart warehouse projects.

Citing both Asean's strategic location and an e-commerce boom in countries such as Vietnam, Singapore, Malaysia, and Indonesia, Ding Hongwei, general manager of Cainiao Technology, called South-east Asia a key region and one of "our focus markets" outside China.

Stock watchers told The Business Times that Cainiao is a small part of Alibaba's business and not a main profit driver. Yet, others said the investments can benefit both Cainiao and the wider logistics sector by raisi…