As the year draws to a close, the logistics sector is experiencing a wave of transformative developments marked by significant investments, technological innovations, and service enhancements that signal profound changes in the industry landscape.
Capital Influx: Deepening Integration of Logistics Tech and Finance
December witnessed a series of notable funding rounds in logistics technology, with Ant Group leading two major investments that highlight growing confidence in the sector's digital transformation.
Kaijing Technology: $140 Million Series C for Market Expansion
Kaijing Technology recently secured 1 billion yuan ($140 million) in Series C funding led by Ant Group and CDH Investments, with participation from Sequoia Capital China, Deppon Securities, and Tenglan Industrial. The company specializes in financial technology solutions for logistics firms, aiming to improve efficiency and reduce operational costs through innovation.
Zhongjiao Xinglu: $100 Million Series A for Data Applications
Commercial vehicle telematics platform Zhongjiao Xinglu completed a 700 million yuan ($100 million) Series A round also led by Ant Group, with Beijing Connected Vehicle Industry Development Fund participating. The company plans to deepen its financial services and data application capabilities, leveraging its vast repository of vehicle operation data.
These consecutive investments by Ant Group reflect strong market confidence in logistics digitalization and financial services, which can address chronic industry challenges like financing difficulties and high costs.
Service Revolution: Free Home Delivery Becomes Standard
E-commerce growth has intensified competition in last-mile delivery, with major logistics providers now offering free door-to-door services as a baseline offering:
- Yunda Express guarantees 100% free upstairs delivery for 10-30kg e-commerce parcels
- Deppon promises free delivery for items up to 40kg
- UC Express expanded its large parcel service to 500kg with free collection and delivery
- Best Express and ANE Logistics have introduced similar programs for mid-weight parcels
Innovation Frontiers: Cold Chain, Blockchain, and Instant Delivery
JD.com Launches Cold Chain LTL Service
JD Logistics introduced its cold chain less-than-truckload service on December 20, serving ten major Chinese cities with scheduled routes for small-batch shipments. This addresses a critical gap in flexible, cost-effective temperature-controlled transport for fresh food and pharmaceutical shippers.
SF Express Debuts Blockchain-Enabled Cross-Border Shopping
SF Express's "Fengsu GO" program, approved by Shenzhen Customs, places bonded imported goods in neighborhood stores using blockchain for real-time clearance. This reduces delivery times from days to minutes while maintaining full product traceability.
Cainiao Tests Same-Day Fresh Food Delivery
Alibaba's logistics arm Cainiao launched same-day delivery for fresh food merchants during the December 12 shopping festival across eight Chinese cities, significantly elevating e-commerce fulfillment standards for perishables.
Regional Connectivity: Chongqing-Singapore Highway Link
A new 4,500km cross-border freight route connecting Chongqing to Singapore via four Southeast Asian nations entered testing. The seven-day transit corridor strengthens regional economic ties and provides an alternative to maritime shipping.
Industry Developments
- HNA Logistics offered $1.1 billion in assets including commercial properties
- Zhijiu Robotics secured $14 million Series A funding for automation solutions
- Best Inc. announced plans to build its own Southeast Asian warehouse network
Policy and Technology Trends
Shaanxi province implemented a subsidy program to phase out high-emission commercial vehicles, while DHL unveiled a $300 million global digitalization strategy focusing on robotics, augmented reality, and IoT solutions to enhance supply chain visibility.