Kerry Logistics will join forces with Spain’s national postal service to establish a joint venture providing end-to-end cross-border e-commerce services from China.
Using Kerry Logistics’ experience in origin sortation, line haul and customs clearance, and Sociedad Estatal de Correos y Telégrafos’ expertise in postal and commercial services, the joint venture aims to improve customer service for marketplaces and e-tailers.
Cross-border e-commerce exports from China increased 67% year-on-year in 2018, amounting to 56.12 billion yuan (£6.4 billion), according to China’s General Administration of Customs.
To fulfil e-commerce parcel security and compliance, a sortation centre will be set up in Southern China, equipped with an automated sorting system and stringent parcel screening and security controls to ensure quick handling and full compliance.
The facility, due to open in the fourth quarter of 2019, will cover 200,000 square feet and initially have the capacity to sort 500,000 parcels per day.
William Ma, group managing director of Kerry Logistics says: “As China’s cross-border e-commerce exports grow, we are determined to prepare ourselves for seizing emerging opportunities. Utilising our deep understanding of customers’ needs both in China and abroad, Kerry Logistics is confident in meeting the rapidly growing international demands through working closely with Correos.”
Juan Manuel Serrano Quintana, president of the board of directors of Correos says: “The new partnership with Kerry Logistics presents a unique opportunity for Correos to capture the outbound e-commerce parcel deliveries from China, which is the largest trade and economic partner for Spain in Asia. It also offers a way forward for Correos to create a sustainable business model to meet the growing demand in the booming e-commerce business and the ever-changing customer needs.”