Hong Kong-based US online retailer iHerb has announced a partnership with Cainiao Smart Logistics Network, the logistics arm of Alibaba Group Holding, to establish a new warehouse in Hong Kong. The facility, which will be operated by Cainiao, is strategically located 500 meters from the Hong Kong International Airport Cargo Terminal and 2 kilometers from the Hong Kong-Zhuhai-Macau Bridge. With the capacity to process up to 15,000 orders per day, the warehouse aims to enhance iHerb's order fulfillment capabilities in Asia and enable faster delivery in the region. This move comes as Cainiao expands its operations in Hong Kong to meet the growing demand for cross-border e-commerce. It is worth noting that Alibaba withdrew Cainiao's planned IPO in September 2023 to focus on integrating Cainiao's operations with its e-commerce businesses [fe48d804].
This partnership between iHerb and Cainiao demonstrates the increasing importance of efficient logistics and order fulfillment in the e-commerce industry. By leveraging Cainiao's expertise and infrastructure, iHerb aims to strengthen its presence in Asia and provide a seamless shopping experience for its customers. The strategic location of the warehouse near major transportation hubs will enable iHerb to streamline its supply chain and reduce delivery times. With the rising demand for cross-border e-commerce, this collaboration positions iHerb to capitalize on the growing market in the region [fe48d804].