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Hong Kong economy
Hong KongHong Kong Economy

Cainiao surcharge waiver may enhance Hong Kong supply chain management, experts say

  • But city must still address lack of expertise in global sourcing and trading compliance, chairman of shipping council and academics say

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Logistics company Cainiao operates a 12-storey warehouse at Hong Kong’s airport. Photo: Sam Tsang
William Yiu

The recent waiver of a residential surcharge by logistics company Cainiao might enhance Hong Kong’s supply chain management and boost global e-commerce by helping mainland Chinese companies to push their products across borders more easily, economists have said.

But a Hong Kong industry leader and head of a shipping council said the city needed more people skilled in global sourcing and trading compliance if it wanted to become a multinational supply chain management centre, as suggested to Chinese President Xi Jinping by city tycoon Victor Fung Kwok-king.

Willy Lin Sun-mo, chairman of the Hong Kong Shippers’ Council, said the move by the logistics arm of Alibaba Group, owner of the South China Morning Post, was a “radical” one, helped by the operator’s launch of a large warehouse at the city’s airport last year.
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“Cainiao is now aggressively seeking more business opportunities to promote Hong Kong as its e-commerce base,” Lin said.

He added the company wanted more people to use its system and “that is why it has offered such a surcharge waiver”.

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Cainiao announced last month that residential surcharges would be waived for deliveries in the city with immediate effect – which means users will not be charged extra if they require a door-to-door delivery.

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