Cainiao Network, the logistics arm of Alibaba Group, has expanded its partnership with airline operator Atlas Air to cater for the increase in cross-border trade between China and Latin America (LatAm).
Under the expanded agreement, Atlas will now run daily chartered LatAm flights and has added an additional B747-400F to fly between Hong Kong, China and Santiago, Chile. This brings the total dedicated fleet that Atlas operates for Cainiao to five aircraft.
The daily flights have increased Cainiao’s weekly cargo volume from China to LatAm by 144% compared with October 2021, when there were only three chartered flights per week.
According to Cainiao, the number of parcels shipped to Brazil in September 2021 increased by 200% compared with the same month last year. In response to the robust growth, Cainiao rolled out its ‘12-day delivery service’ in Brazil’s core metropolitan areas. In addition, Cainiao also plans to establish a distribution center in Brazil to offer next-day or even same-day delivery in partnership with local delivery firms.
William Xiong, chief strategist and general manager of export logistics at Cainiao, said, “Our partnership with Atlas Air continues to strengthen our network between South America and other destinations around the globe as we further enhance Cainiao’s capabilities to support merchants worldwide efficiently and reliably.”
John W Dietrich, president and CEO of Atlas Air Worldwide, added, “We are very pleased that Cainiao and Alibaba have selected Atlas as a strategic growth partner. Through our successful relationship over the last year, Atlas’s global operating capabilities have enabled Cainiao to continue offering its customers faster deliveries throughout the world. We are excited to add incremental capacity in support of this growing partnership.”