Alibaba's Cainiao opens automated sorting centre to tap e-commerce sector

Alibaba's Cainiao opens automated sorting centre to tap e-commerce sector

Alibaba's logistics arm Cainiao announced on March 28 that it has handed over southern Vietnam's largest automated sorting centre to one of the country's leading courier companies.

Marking a major milestone in advancing local logistics infrastructure, the new facility is set to enhance Vietnam’s rapidly growing e-commerce sector with cutting-edge automation and efficiency.

Designed and developed in-house by Cainiao, the state-of-the-art sorting centre integrates multiple smart logistics technologies, including automated parcel separation, multi-layer cross-belt sorters, and sorting robots. By leveraging AI and digital solutions, the system efficiently handles bulk shipments, processing parcels of all shapes and sizes while ensuring real-time tracking and an accuracy rate of over 99 per cent.

Despite the project's complexity and challenges, including typhoon-related shipping delays, Cainiao's team completed the delivery and deployment in just 100 days, cutting the usual timeline by 30 per cent.

“China’s massive e-commerce ecosystem has driven some of the world’s most advanced logistics technologies. Unlike traditional automation providers, Cainiao is a global logistics leader itself. Our automation solutions are designed for real-world operations, making them highly practical and efficient for improving sorting capabilities and enhancing the customer experience,” said Jeff Lyu, Cainiao's project lead.

Vietnam’s e-commerce market is one of the fastest-growing in Southeast Asia, fuelled by increasing digital adoption and rising cross-border trade. As demand surges, logistics providers are under pressure to deliver faster, more scalable, and cost-effective fulfilment solutions.

Southeast Asia is a key market for Cainiao's logistics technology, where the company has rolled out warehouse automation, sorting solutions, and digital logistics in countries like Thailand and Singapore. To further strengthen local project delivery, Cainiao has established a dedicated Asia-Pacific logistics technology team.

“At Cainiao, we see innovation and technology as the backbone of efficient logistics and the key to sustainable e-commerce growth. We remain committed to delivering leading solutions that help global businesses scale efficiently and stay competitive,” Lyu added.

VIR