Alibaba's logistics arm launches group delivery within 5 days

In a move aimed at reducing costs and delivery times, Cainiao Group, the logistics powerhouse under Alibaba, has introduced its group delivery service from China to the United States. This approach is set to streamline cross-border ecommerce, offering a new delivery time of just 5 days by air or at a lower cost of $1.7 by sea.

How this works is orders from different ecommerce platforms and stores are put into a single package at a warehouse, which is then sent to the US. The goal is to improve convenience for Chinese customers living in the US who continue to buy online from their home country.

Cainiao's move is part of a broader strategy to expand its influence globally, building on its already established services in Singapore, Hong Kong, and Australia.

The company also made headlines after it’s $57 million bid to acquire Best, a company with a large courier presence in Southeast Asia. South China Morning Post reported that Cainiao recorded 1.5 billion cross-border ecommerce parcel deliveries abroad.