Alibaba’s Cainiao logistics department has installed lockers in Brazil for local customers to pick up packages.
cainiao
BEIJING – alibaba’Cainiao’s logistics arm on Monday announced the opening of its Latin American headquarters in Sao Paulo, Brazil.
The expansion comes as China’s retail growth slows – Alibaba has not released total sales for the first time for the Singles Day shopping festival that ends on Friday. Of the company international e-commerce platform AliExpress recently moved to Korea and Brazil, in addition to a years-long effort to enter Europe.
Cainiao ships most AliExpress orders from China to Brazil, the company said, and claims it operates eight charter flights per week between the countries.
The company says low-cost drones and bluetooth headsets are among the most popular among local customers.
The logistics business, which also operates in China, accounted for 6% of Alibaba’s revenue in the quarter ended June 30.
Cainiao also works with local traders in Brazil. The company on Monday officially opened a package sorting center in the country, following the opening of sorting centers in Mexico City and Santiago, Chile in October.
The company claims its local courier network covers more than 1,000 cities in Brazil, delivering one-day deliveries to customers in Sao Paulo and several other cities.
Three-year plan
Over the next three years, Cainiao said it plans to set up 1,000 more lockers in 10 cities in Brazil for food and delivery. The company also said it aims to open nine more distribution centers in seven Brazilian states.
Cainiao said the expansion will also help Brazilian businesses sell items such as coffee, nuts and propolis – a health product – to Chinese consumers through its Tmall e-commerce platform. Alibaba.
Alibaba’s logistics arm Cainiao has installed lockers in Brazil for local customers to pick up packages.
cainiao
Alibaba took over majority control of Cainiao in 2017. The logistics arm still completes shipments and does business with other companies — most of Cainiao’s revenue comes from those third parties, according to a financial disclosure. main.
In the quarter ended June 30, logistics revenue rose 5% year-on-year to 12.14 billion yuan ($1.71 billion).
In contrast, Alibaba said its international commerce retail sales revenue for that quarter fell 3% year-on-year to $1.57 billion mainly due to challenges in the European market. China commerce, the company’s largest business to date, saw revenue fall 2% to $20.45 billion.
Alibaba is set to announce quarterly earnings on Thursday.
