CK Asset-backed NEXX Global turns to Middle East to hedge against rising US-China tension
NEXX Global and Tojoy are among companies seeking to establish a presence in the Middle East and explore new markets in Europe
Chinese companies are stepping up efforts to unlock business opportunities in the Middle East to hedge against worsening US-China trade ties, hoping to use the region as a springboard to expand into new markets in Africa and Europe.
NEXX, which uses generative artificial intelligence to help warehouses reduce costs and improve efficiency, will sign a memorandum of understanding with one of the largest state-owned Qatari logistics groups and Hong Kong-based KEC, a subsidiary of KLN Logistics during a trade mission this week. They aim to create market access in the six countries within the Gulf Cooperation Council (GCC).
Hong Kong Chief Executive John Lee Ka-chiu is leading a delegation of local and mainland businesses to Qatar and Kuwait from this week to strengthen ties with the region. Bilateral trade between Hong Kong and the two Gulf nations reached US$1.8 billion last year, 40 per cent more than in 2018, according to government data.
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NEXX’s Hui said Hong Kong companies could offer their expertise in technology and professional services to GCC companies as governments develop their non-oil sectors such as manufacturing, logistics and tourism.
The Middle East partner will provide solutions including warehousing, customs clearance and last-mile delivery. KEC will be responsible for business development and bringing customers to Doha, while NEXX will provide the fulfilment facility driven by its AI platform called NEXXBot.