CFA: Alibaba planning additional charter flights to accommodate growth [VIDEO]

Last month at Cargo Facts Asia in Shanghai, Terry Xie, Head of Global Linehaul & Planning, Cainiao, told conference delegates that the smart logistics platform expects that as cross-border e-commerce volumes grow, it will rely on an increasing number of charter flights to meet demand.

“When we try to plan our network globally, there are a few things we look at. One is definitely the long-term volumes and trends,” said Xie. As Alibaba platforms continue to drive exports, both commercial and charter flights will be necessary, primarily as a means to transport shipments between Cainiao’s global hubs.

Last year, Cainiao announced plans to develop logistics centers at six cities around the world, to support its parent, the Alibaba Group, in its goal of reducing average delivery times to 24 hours across China and 72 hours to the rest of the world. While imports move into a number of gateways, Xie said that Cainiao routes exports through Hong Kong.

Check out highlights from the discussion below, which is part of a special video series sponsored by ATR.