Chinese e-commerce retailer Alibaba Group Holding Ltd. and the Airport Authority Hong Kong announced their partnership to build a global smart logistics hub in Kwo Lo Wan at the Hong Kong International Airport.
The hub will serve as a digital logistics center in Asia that will aid global cross-border e-commerce trade and bolster Hong Kong's international competitiveness, according to a Dec.12 news release.
Earlier this year, Alibaba's logistics arm, Cainiao Smart Logistics Network Ltd., was awarded the license to develop and manage the hub, which will occupy 5.3 hectares of the Hong Kong International Airport. The airport has been named the world's busiest cargo airport for eight consecutive years.
The hub, which will be equipped with cutting-edge robotics and automation as well as temperature-controlled features, is expected to begin operations in 2023.
Alibaba also recently formed a partnership with the Belgian government to build its first trade hub in Europe, under the Electronic World Trade Platform, an initiative created by Alibaba Group founder and Executive Chairman Jack Ma in 2016, to lower trade barriers and regulations in an effort to promote cross-border trade for small and medium-sized businesses.
The Airport Authority Hong Kong is the government body responsible for the operations of the Hong Kong International Airport.