Singapore Post Limited (SingPost) and Cainiao have signed a memorandum of understanding (MoU) to collaborate on growing the cargo and logistics sectors in Singapore. The partnership will also strengthen the organizations’ logistics networks to capture the expanding e-commerce market in Southeast Asia.
The MoU will focus on optimizing delivery costs and boosting volumes by using Cainiao’s advanced technology solutions and SingPost’s extensive logistics network.
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.
“Singapore’s strategic location and world-class infrastructure make it an ideal transshipment hub for the growing e-commerce sector in Asia. This collaboration with Cainiao aligns with our path of digitalization and our focus on e-commerce logistics,” said Li Yu, CEO, International at SingPost. “By combining our strengths, we aim to enhance service quality for our customers.”
The collaboration will begin with a pilot project in the coming months, with both parties working closely to assess the feasibility of the different workstreams.
William Xiong, senior vice president of Cainiao Group, added, “We look forward to collaborating with partners like SingPost to contribute to a robust e-commerce 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.”