1. Jia Cheng International: Wins bid for warehousing and distribution services with SHEIN.

On May 10th, Jia Cheng International announced that it has received two "Bid Notification" letters from a wholly-owned subsidiary of SHEIN (the first party), to provide warehousing and distribution services for logistics centers in Foshan, Zhaoqing, and Heshan, Guangdong Province, among others. The contract duration is 2 years from the signing date (initially 1 year + automatic renewal for 1 year without objection). Calculated for the complete fiscal year, the expected annual revenue from this contract is approximately 300 million yuan, exceeding 10% of the total audited revenue of the company in 2023. This marks another collaboration between the company and SHEIN, providing third-party logistics services to the latter.

Jia Cheng International released its first-quarter report for 2024, reporting a business revenue of 291 million yuan, a year-on-year increase of 0.17%. The net profit attributable to shareholders of the listed company was 65.3912 million yuan, a year-on-year increase of 52.06%. Basic earnings per share were 0.28 yuan.

Source: Shanghai Securities News"

2.Gu Cang becomes the first batch of semi-managed cooperative warehouses with TEMU

On May 10th, Gu Cang officially became a semi-managed cooperative warehouse in cooperation with TEMU. Starting immediately, sellers can directly authorize Gu Cang's overseas warehousing fulfillment by selecting "Settle in Cooperative Docking Warehouse" in the TEMU backend. Gu Cang and the TEMU backend system have completed bidirectional integration, enabling synchronization of information such as products, orders, inventory, and logistics after sellers link their products in the backend.

TEMU platform provides cooperative docking warehouse service providers, where "cooperative docking warehouses" offer local storage and order fulfillment services for merchants. Through online cooperation and docking, TEMU platform forwards orders to the docking warehouses where semi-managed merchants are settled. After receiving orders, the docking warehouses process the orders, and shipping details can also be returned to the TEMU platform through online docking.

Source: GoodCang"

3. Federal Express (FedEx) to Close 7 Service Centers This Year

On May 10th, FedEx announced that it will close 7 service centers in the United States this year due to adjustments in its freight network to meet anticipated demand. These 7 facilities represent approximately 1% of FedEx Freight's total storefronts. The specific locations are: Cedar Rapids, Illinois; London, Kentucky; Kenova, West Virginia; Vernon Hills, Illinois; Wilmar, Minnesota; Yuma, Arizona; and Zanesville, Ohio.

A spokesperson for FedEx stated that such decisions are never made lightly but are carefully considered in light of business needs. The company remains committed to expanding in areas of sales volume and anticipated sales growth.

Source: Cross-border e-commerce logistics Bai Xiaosheng

4.The First National Bonded Logistics Center Officially Commences Operation and Closure this Yea

"The First National Bonded Logistics Center Officially Commences Operation and Closure this Year"

On May 10th, with the joint unveiling by Wuhan Customs and the leadership of Ezhou City, the first nationally approved bonded logistics center, Ezhou Airport Bonded Logistics Center (Type B), officially commenced operation and closure. This marks a crucial step in Ezhou's external opening. The Ezhou Airport Bonded Logistics Center (Type B) covers a planned area of approximately 0.1 square kilometers with a built-up area of about 46,000 square meters, including three bonded supervision warehouses, a bonded inspection area, checkpoints, customs fences, and other facilities.

The official commencement of operation and closure of the Ezhou Airport Bonded Logistics Center (Type B) will effectively integrate elements such as bonded logistics, bonded warehousing, and international distribution, significantly enhancing the hub capacity of the Huahu Airport and the level of industrial and supply chain services, bringing new growth momentum to the development of Ezhou.

Source: Lin Kong Xin Ezhou

5.Amazon Announces New Return Processing Fee Standards

On May 10th, Amazon stated that starting from June 1st, 2024, it will implement return processing fees for high return-rate items across all categories (excluding clothing and shoes) to address operational costs and reduce waste. This fee will apply to items with return rates exceeding specific thresholds for each category.

Beginning in June, sellers will be required to pay processing fees ranging from $1.78 to $2.21 for small standard size return items exceeding the threshold. For large standard size return items exceeding the threshold, prices will range from $2.36 to $5.00 and above. Prices for large oversized and extra-large items will increase further

Source: Amazon

6.Lazada Upgrades Logistics Pricing System with Global Plus

Lazada Upgrades Logistics Pricing System with Global Plus

On May 10th, Alibaba's Southeast Asian e-commerce platform, Lazada, officially launched its new logistics pricing system, Global Plus, open for application to cross-border merchants. With Global Plus, merchants only need to submit the "price excluding postage" for their products. The Global Plus system will automatically calculate the final selling price of the product after subsidies based on the subsidy price card. Global Plus enhances the market competitiveness of products through subsidies, effectively helping merchants increase sales in overseas markets.

According to publicly available data from Lazada, through optimization of various logistics routes, merchants joining Global Plus can reduce their logistics costs by up to 78%, enhancing the competitiveness of their products in the Southeast Asian market without affecting merchant profit margins.

Source: Logistics Intelligence

7.Mercado Libre Opens First Distribution Center in the United States

On May 10th, Mercado Libre (MercadoLibre) took a significant step in its global expansion by opening its first distribution center (Cedis) in the United States. The Cedis is located in Texas, strategically positioning Mercado Libre to connect American sellers and brands with buyers in Latin America, especially Mexico. With the ability to identify products labeled "Shipped from the United States," Mexican users can find products from the United States and receive their packages within two working days after purchase.

Source: LA NACION

8.Shopify Reports Net Loss of $273 Million in Q1

On May 10th, Canadian e-commerce platform Shopify released its financial report for the first quarter of 2024, ending on March 31st. The revenue was $19 billion, a 23% year-on-year increase. The net loss was $273 million, while in the same period last year, there was a net profit of $68 million. Gross Merchandise Volume (GMV) was $609 billion, a 23% year-on-year increase, surpassing analysts' expectations of $596.7 billion. Shopify expects that revenue in the second quarter will increase by more than ten percentage points year-on-year, with an additional impact of 300 to 400 basis points due to the sale of the logistics business, resulting in a year-on-year increase of over 20%.

Source: Shopify

9.China's Goods Trade Imports and Exports Grow by 5.7% in January-April

On May 10th, according to customs statistics, in the first four months of this year, China's total value of goods trade imports and exports reached 13.81 trillion yuan, an increase of 5.7% compared to the same period last year. Specifically, exports amounted to 7.81 trillion yuan, representing a 4.9% increase, while imports totaled 6 trillion yuan, marking a growth of 6.8%.

Source: General Administration of Customs

10.Maersk Line: Imposes New Peak Season Surcharge on China to Africa Routes

On May 10th, Maersk Line announced a new Peak Season Surcharge policy covering multiple routes from mainland China, Hong Kong, and Taiwan to Africa and Myanmar. Effective from May 6th, additional charges will be applied to shipments to destinations such as Senegal and Guinea. For mainland China and Hong Kong, the surcharge will be $1000 per 20-foot container and $2000 per 40-foot and 45-foot container.

"In addition, Maersk will also impose similar charges on shipments to Nigeria and other countries starting May 13th, and implement a new surcharge policy for shipments to Myanmar starting May 15th. These policies are aimed at improving Maersk's service quality and efficiency during the peak season.

Source: Yienet

11.Asian Container Shipments to the U.S. Mark Seventh Consecutive Increase

On May 10th, data released by the U.S. Descartes-Datamine company revealed that in March, the number of maritime container shipments from Asia to the United States reached 1,455,586 (measured in 20-foot equivalent units), representing a 20% increase compared to the same period last year, marking the seventh consecutive month of growth. In terms of shipment origin, China's shipments, accounting for over 50% of the total volume, increased by 18%.

South Korea followed with a 35% increase, while Vietnam ranked third with a 25% increase, showing significant growth in regions with higher shipment volumes. Shipments from Japan increased by 9%, while those from Taiwan decreased by 1%.

Source: Nikkei Asian Review

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Cross-border E-commerce Logistics Bai Xiaosheng