China-based Logistics Group Chooses a European Hub

China-based Logistics Group Chooses a European Hub

Alibaba’s logistics group, Cainiao, has chosen Liège Airport (LGG) as one of its key European hubs, as it moves forward with the international expansion of its “delivery in 5 days” service.

Alibaba took control of the China-based logistics network in 2017, when its increased its stake from 47 to 51 percent in a deal that cost about US$508 million.

Cainiao has changed the face of logistics in China over the past decade. Now, Cainiao intends to expand from 30 to 100 international cities in the next three years, banking on an e-commerce dominated future.

According to LGG, Cainiao’s presence will help it become the cargo airport of the future, anticipating an increase in flights between Liège and various cities in Asia.

With the volume of e-commerce that Cainiao will funnel through the hub, it’s safe to say that Liège may be an increasingly popular stop for cargo carriers especially as Amsterdam Schiphol Airport (AMS), a favorite of freight forwarders for its convenient location between Europe and Asia struggles to meet strong demand for slot capacity from airlines due to high traffic and government restrictions.