Online retailer eBay has launched a joint venture with a unit of Citic Private Equity Funds Management Co. Ltd., eyeing a boost to cross-border logistics and, of course, speeding delivery to far-flung end consumers.
As reported by Caixin Global on Thursday (March 8), eBay signed an agreement with the Citic unit, Orange Connex Holding, with the joint venture to be called Orange Connex Ltd. (or OCL).
OCL has, in turn, debuted SpeedPAK for the region, which is being billed as a new shipping program through eBay, geared toward cross-border activity and eCommerce sellers based in China.
As noted by Caixin Global, SpeedPAK is an upgrade to eBay’s other shipping initiatives and, per a statement by the firms, dovetails with “eBay’s 2018 corporate goal of driving a better buying experience and bringing in more active buyers.”
The total transit time offered by SpeedPAK now is eight to 12 business days and spans the United States. Rollouts next quarter will enable service in the United Kingdom, Australia, Italy, France, Spain and Germany.
John Lin, eBay global VP of international cross-border trade, said, as quoted by Caixin, “Our investment in OCL and the launch of SpeedPAK are of great significance … as (the latter) enables end-to-end management of shipping processes and greatly enhances the buyer experience. In the future, more buyers around the world can enjoy high-quality products with great prices from China in a more convenient and faster way.”
The eBay announcement comes on the heels of the Sept. 2017 news that Alibaba Group Holding is investing just under $16 billion to build out its own global logistics network.