Malaysia marks first e-hub for Alibaba outside of China
KUCHING: Alibaba Group yesterday announced the establishment of an e-hub under the Electronic World Trade Platform (eWTP) initiative together with the Malaysia Digital Economy Corporation ( MDEC), the country’s digital economy development agency, and other parties. the younger generation.
“With innovation throughout the supply chain, support from governments and important private sector collaborations, we will achieve our aim of enabling SMEs and young people to thrive and enjoy in the fruits of the next phase of globalization.”
Ma previously proposed the establishment of digital free trade zones for small businesses while attending the St. Petersburg International Economic Forum in Russia last June, suggesting that such special trading areas can act as ecommerce hubs linking up markets around the world.
As part of Malaysia’s DFTZ initiative, the e-hub will provide new commercial opportunities on the established trade route with the country. As more trading routes are covered with new hubs that reflect the needs of the firms participating in the modern economy, a digital global e-road will be created. Alibaba has already played a key role in the establishment of the China (Hangzhou) Cross-Border E-Commerce Comprehensive Pilot Free Trade Area which will be connected to the DFTZ in Kuala Lumpur.
As part of its stated national agenda, the Malaysian Government wishes to create a fulfilment and logistics centre for global marketplaces, increase internet economy-related innovation and boost inward investment. This aligns closely with the commitment of the eWTP and given the strong historical trade ties between China and Malaysia, makes it a natural match for a DFTZ powered by Alibaba Group.
The MOUs signed yesterday respectively between Alibaba Group and MDEC; Alibaba’s logistic affiliate Cainiao Network and Malaysia Airports Holdings Berhad (MAHB); and Ant Financial and two of Malaysia’s largest banks CIMB and Maybank, show the power of public-private partnerships that can provide effective end-to-end solutions. Taken together, these agreements offer a blueprint for expansion of the hub connections as part of the eWTP in the future.
Among the proposed co-operations, Cainiao and Lazada will lead other Alibaba’s subsidiaries and affiliates to work with MAHB for the development of a regional e-commerce and logistics hub in the KLIA Aeropolis as part of the DFTZ. The initial phase is currently expected to roll out before the end of 2017 by Alibaba, Cainiao, Lazada and Pos Malaysia, leading to the planned formal launch by the end of 2019.
Alibaba Cloud, the cloud computing arm of Alibaba Group, will also build a cloud platform in Malaysia to help local SMEs to succeed in the digital age through technology such as big data and Internet of Things (IoT). In order to provide support for startups, Alibaba Cloud will provide the Alibaba Cloud Certified Professional (ACP) certification program to train the local talents and support internet-related ecosystem in Malaysia.
Ant Financial and CIMB and Maybank will explore collaboration opportunities in e-payment and financing services in Malaysia, with an initial focus on inbound Chinese tourism and promoting trade by Malaysian SMEs.