Handler Worldwide Flight Services (WFS) will sublease an area in Cainiao's Liege Airport station as the two companies, along with carrier Saudia Cargo, look to speed up e-commerce shipment processing.
The three companies today announced that Saudia would extend its handling contract with WFS on flights connecting Liege and Riyadh, which covers 50,000 tonnes annually.
Meanwhile, SATS-owned WFS will sublease part of the Cainiao facility in Liege with a dedicated area where it will handle e-commerce shipments.
The hope is that handling e-commerce packages in a facility geared up for that type of shipment, rather than in a traditional cargo building, will help speed up processing.
Cainiao utilises Saudia's flights to carry cargo from Hong Kong to Liege via Riyadh.
"The latest agreement reinforces this longstanding relationship by giving precedence to specific Saudia Cargo freighter flights originating from Hong Kong and bound for Riyadh and Liege," the partners said.
John Batten, chief executive, Europe, Middle East, Africa and Asia (EMEAA), WFS, said: “E-commerce is extremely important to WFS/SATS, our customers, our industry, and, of course, consumers, but up to now, it has been processed within a traditional air cargo handling environment.
"With the growth projections for e-commerce, the industry response must be more dynamic and tailored, and this is what WFS/SATS aims to deliver in Liege working alongside Saudia Cargo and Cainiao.
"This three-party collaboration leverages operational excellence skills and requirements from the airline, cargo handler, and e-commerce logistics perspectives, and will exemplify our commitment to innovation, speed, and real-time information for the future of the e-commerce logistics ecosystem.”
The new agreement is due to start on March 1 next year.
Teddy Zebitz, chief executive of Saudia Cargo, said: "With high-frequency flights on our Hong Kong, to Liege Via Riyadh route, we have a significant capacity exclusively dedicated to Cainiao. Utilizing a meticulous process involving pre-built ULDs, we facilitate an uninterrupted supply chain, supporting Cainiao in achieving their key performance indicators."
Finally, Eric Xu, vice president of Cainiao Group, added: "Through continuously equipping our Liege eHub with cutting-edge technology solutions, we managed to boost the efficiency of logistics operations while improving customer experience through greater transparency and traceability.
"We are confident that this win-win collaboration will further reinforce Cainiao’s position as the world's leading cross-border e-commerce logistics provider by offering the valued customers of us three companies with enhanced experience."
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