1.Huamao Logistics and Wuchan Logistics are establishing a joint venture.

On January 4th, Huamao Logistics announced that the company plans to establish a joint venture with Wuchan Logistics, named "Wuchan Huachang (Zhejiang) International Logistics Co., Ltd." The registered capital of the joint venture is 40 million yuan, with Wuchan Logistics contributing 18.8 million yuan, holding a 47% stake; Huamao Logistics contributing 18.4 million yuan, holding a 46% stake; and an employee shareholding platform contributing 2.8 million yuan, holding a 7% stake. All parties are making contributions in Chinese currency.

Wuchan Huachang (Zhejiang) International Logistics Co., Ltd. was established on December 26, 2023, with Li Yan as the legal representative. The permitted business activities include road freight transportation (excluding dangerous goods), road freight transportation (network freight), waterway general cargo transportation, and international road freight transportation. General services include domestic and international freight transportation agency, loading and unloading, packaging services, customs clearance, and import and export of goods.

Source: Huamao Logistics

2.JiaYou International Increases Frequency of Qingdao-Canada All-Cargo Flights.

On January 4th, following the signing of a strategic cooperation agreement with China Southern Airlines Logistics in 2023 and the launch of the first-ever scheduled all-cargo flight between China and Canada, JiaYou International is once again increasing the frequency of all-cargo flights. Starting from January 2nd, the new route Qingdao-Vancouver-Toronto (TAO-YVR-YYZ) will be operated by China Southern Airlines four times a week (Monday, Wednesday, Friday, and Sunday), with a stopover in Vancouver where cargo can be unloaded. The dual-port coverage spans across Canada, providing more extensive and flexible choices for customers. Priority is given to the strongest cargo stations in Canada, offering more convenient and efficient services for goods exported to Canada!

Established in 2016, JiaYou International is an integrated supply chain logistics service provider with end-to-end capabilities for shipping from China to Canada and vice versa. The company is committed to providing customers with one-stop solutions including collection, warehousing, customs clearance, cross-border transportation, customs clearance warehousing, distribution, and e-commerce after-sales services.

Source: JiaYou International

3.TikTok Shop Introduces "Fully Managed Deposit Policy."

On January 4th, TikTok Shop Cross-Border E-commerce will launch the "Fully Managed Deposit Policy" for businesses operating in a fully managed model starting from January 18, 2024.

According to the introduction, the full-service business deposit is a sum charged by TikTok Shop Cross-Border E-commerce from fully managed businesses. It is intended to encourage and ensure that businesses and platforms actively collaborate to create a high-quality, reliable, and guaranteed consumer experience, thereby fostering a favorable business environment. The policy applies to businesses operating in a fully managed model, including all existing and new businesses that have joined. Currently, TikTok Shop platform uniformly charges 1,000 RMB in Chinese currency for businesses operating in a fully managed model. For other special operation models (such as JIT), the platform may additionally charge special model deposits. For businesses with repeated violations, the platform may increase their deposit amount. The specific details are subject to the official notice from the platform.

Source: TikTok Shop Cross-Border E-commerce

4.Amazon to Charge Return Fees at UPS Stores.

On January 4th, according to a new policy by Amazon, in cases where customers choose free returns, if they return Amazon platform products at UPS stores, Amazon will charge customers a fee of 1 US dollar. For many years, UPS stores have been accepting Amazon platform returns for free. Customers only incur charges when couriers come to collect return parcels, or when parcels are delivered to UPS Access Points set up by third-party businesses.

According to Amazon, the new fee is intended to reduce return costs and decrease reliance on UPS. However, customers still have ways to avoid paying this fee, as free return services are still available at other delivery locations, including Whole Foods, Kohl's, and Amazon stores.

Source: Transport Topics

5.Lega Plans to Raise 500 Million for Expansion of US Overseas Warehouses - Approved.

On January 4th, the overseas home furnishing brand Lega plans to raise 500 million for the construction of a US overseas warehouse. The project has been approved by the Shenzhen Stock Exchange. According to Lega, to meet the business development needs in 2024, they plan to lease a new overseas warehouse with an area of 100,000 to 150,000 square meters. They also plan to build warehouses in the eastern and western United States, expected to be operational in 2025. In the future, the company will gradually use the reserved land of over 800 acres to build its own warehouses, replacing leased warehouses, and improving the gross profit margin and net profit level of overseas warehouses.

Source: Ebrun

6.China Logistics Group Releases Annual Social Responsibility Report.

On January 4th, China Logistics Group released its 2022 annual social responsibility report, marking the second time the company has published such a report.

The report shows that in 2022, China Logistics Group organized the deployment of approximately 18.13 million units (vehicles/containers/ships/aircraft) for transportation, transporting 280 million tons of goods, and operating about 37,000 standard containers in the international railway business. In 2022, China Logistics Group waived a total of 183 million yuan in rent for over 6,000 small and medium-sized enterprises. They also pre-paid freight for individual drivers for more than 1 million orders, with a total amount of 3.9 billion yuan.

Source: China Logistics Group

7.Amazon Invests 77.5 Billion Rupees in its Indian Subsidiary in the 2023 Fiscal Year.

On January 4th, Amazon's logistics department in India, Amazon Transportation Services (ATS), announced its performance for the 2023 fiscal year. The financial report shows that in the past year ending on March 31, 2023, the operating income of Amazon's Indian logistics department reached 4.543 billion rupees, slightly lower than the 4.571 billion rupees in the 2022 fiscal year. The net loss narrowed from 9.5 billion rupees in the 2022 fiscal year to 8.6 billion rupees in the 2023 fiscal year.

In the 2023 fiscal year, the total expenditure of Amazon's Indian logistics department was 4.66 billion rupees, slightly lower than the 4.678 billion rupees in the 2022 fiscal year.

In 2023, ATS received a total capital injection of 77.5 billion rupees from the parent company, with 40 billion rupees in January and 37.5 billion rupees in June 2022. In comparison, in the 2022 fiscal year, ATS received a capital injection of 36.5 billion rupees from the parent company.

Source: AMZ123

8.European E-commerce Market Reaches $800 Billion in 2023.

On January 4th, according to a report released by ecommerceDB, the active user base of European e-commerce in 2022 was massive

at 523 million, with approximately 62% of consumers across various European countries preferring online shopping.

In terms of e-commerce market size, Europe demonstrates remarkable growth potential, reaching over $800 billion in 2023. With a robust upward trend, this figure is expected to surpass the trillion-dollar mark by 2026, reaching $1.1 trillion.

Source: ecommerceDB

9.CMA-CGM Increases Asia to Mediterranean Route Freight Rates, Up to 100%.

On January 4th, French shipping company CMA-CGM notified that starting from January 15th, container freight rates from Asia to the Mediterranean region will be increased by up to 100%, compared to rates on January 1st. The freight rate for a 40-foot container will be raised from $3,000 on January 1st to $6,000. Since some ships have been attacked by Houthi rebels in the Red Sea near Yemen, shipping company stocks have been rising as people expect extended routes to lead to increased freight rates. A spokesperson for CMA-CGM stated that there is currently no additional information to provide, and they are ready to reassess and adjust their plans as needed.

Source: Caixin