Alibaba to set up logistics hub in Malaysia's new digital free trade zone

Alibaba Group is setting up a trade and logistics hub in Malaysia's new Digital Free Trade Zone (DFTZ), Alibaba's first e-hub outside its home base in China. Executive chairman Jack Ma said he wants to build an Electronic World Trade Platform (eWTP) - a more inclusive, free and innovative global trading platform for SMEs, the young and consumers.

The hub, expected to be launched end-2019, "will function as a centralized customs clearance, warehousing and fulfilment facility for Malaysia and the region, to deliver faster clearance for imports and exports," Alibaba said in a statement. The first phase of the Digital Free Trade Zone involves developing a regional e-commerce and logistics hub near the Kuala Lumpur International Airport.

Catcha Group is also involved. It is the master developer of Kuala Lumpur Internet City - a 5-million-square-feet digital hub to be built in Bandar Malaysia. That is estimated to have a gross development value of US$1.13 billion.

(Channel News Asia)