PR92765

TOYKO, Nov. 4, 2021 /PRNewswire=KYODO JBN/ --

*Japanese businesses have pre-stocked close to ten million goods in China ahead

of Double 11 Global Shopping Festival

*Pre-stocking is part of Cainiao's first-mile logistics service to help

Japanese businesses improve logistics management, shipping efficiency, and

supply chain management

Cainiao Network, ("Cainiao"), the logistics arm of Alibaba Group, today

announces that Japanese merchants have pre-stocked close to ten million goods

in bonded warehouses in China. This is in anticipation of a surge in consumer

demand during the upcoming 11.11 Global Shopping Festival. From September to

October, Cainiao saw a 286-percent growth in the volume of products stocked in

China, where 198 flights and 68 ships were deployed to facilitate pre-stocking

of goods from various key cities in Japan through its first-mile logistics

services. Popular categories from Japan include beauty and cosmetics,

healthcare, food, parenting and baby products.

This year, Cainiao has pre-secured double the cargo space compared to the

actual cargo volume shipped from Japan to China during 11.11 last year. These

goods are shipped to and pre-stocked in bonded warehouses in China,

specifically Shanghai, Ningbo, Hangzhou and Yiwu.

The establishment of a seamless logistics channel that facilitates B2C trade,

in this case, cross-border e-Commerce, will be instrumental in supporting

Japan's export industry, where data from World Bank showed that China is

Japan's largest export country at US$144 billion (19.51 percent)[1].

As more Chinese consumers opt for same day or next day delivery options, they

will be able to receive their orders as fast as the same day for selected

products, or an average of three days, where the Japanese goods are delivered

directly from bonded warehouses in China. In contrast, the traditional mode of

e-Commerce logistics i.e. direct shipping method, will take an average of six

days for the Japanese merchants to ship out the items from Japan after the

purchase is made online.

This is a significant improvement in delivery speed and customer experience,

where Japanese merchants are able to provide the same delivery timeliness for

Chinese consumers that is on par with Chinese merchants. Rising consumer

expectations have also illuminated the need for smoother first-mile logistics

which would lay the foundation for the growth of cross-border trade and

e-Commerce.

"Cainiao has ramped up our support for the export, cross-border e-Commerce and

internationalization needs of Japanese businesses since our official launch

last year. The first-mile logistics services through pre-stocking will enable

Japanese businesses to achieve faster delivery times during the 11.11 Global

Shopping Festival and we believe this will be a huge competitive advantage that

will allow them to tap on the growing demand from Chinese consumers," said

James Zhao, General Manager of Cainiao Global Supply Chain.

This latest development comes after Cainiao's official launch into Japan last

November to provide diversified end-to-end logistics and supply chain services

to local businesses, spanning first and last mile, warehouse management,

international shipping, trucking and customs clearance. As a smart logistics

company, Cainiao is able to digitalize the entire value chain of Japanese

merchants to deliver greater visibility and transparency while aggregating

industry leaders to provide a comprehensive service for businesses' logistics

needs.

About Cainiao Network

Founded in 2013, Cainiao Network ("Cainiao") is a global industrial internet

company and the logistics arm of Alibaba Group. As part of its commitment to

create customer value, it adopts a collaborative approach to logistics that

aims to improve efficiency and customer experience for all players along the

supply chain. It carries forward Alibaba's mission of making it easy to do

business anywhere by aiming to deliver anywhere in China within 24 hours, and

across the globe within 72 hours.

[1]https://wits.worldbank.org/countrysnapshot/en/JPN/textview#:~:text=Japan%20to

p%205%20Export%20and%20Import%20partners%202018&text=Japan%20exports%20to%20Chin

a%20worth,partner%20share%20of%2019.05%20percent

SOURCE: Cainiao