Alibaba Turns eWTP Into Reality With Creation of First Overseas E-hub
March 22 2017 - 2:16AM
Business Wire
The e-hub as part of Malaysia’s Digital Free
Trade Zone will be established via public-private partnership
Alibaba Group announced today 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.
This marks a key milestone in the realization of the eWTP’s vision
to lower trade barriers and provide more equitable access to global
markets for small and medium enterprises and young people around
the world.
The Prime Minister of Malaysia Dato’ Sri Mohd Najib Tun Abdul
Razak, and Alibaba Group’s Executive Chairman, Jack Ma, attended
the launch ceremony in Kuala Lumpur and witnessed the exchange of
four Memoranda of Understanding covering a host of areas. These
include the establishment of an e-fulfilment hub near the Kuala
Lumpur International Airport, a one-stop online cross-border
trading services platform, cooperation in e-payment and financing,
and development of e-talent training that will fit into Malaysia’s
roadmap of transformation into a digital economy.
Dato’ Sri Mohd Najib Tun Abdul Razak, the Prime Minister of
Malaysia, said, “We have set out plans to progress Malaysia’s
economy and place it firmly at the centre of the global
marketplace. To do this we need to harness the assets that we have
and provide the support for individuals and businesses to be
competitive in the new digital landscape. Alibaba Group is at the
forefront of private sector development of e-commerce solutions and
their ambitions to enable trade, particularly for SMEs, make them
the perfect partner in this new initiative. This is an exciting
development for the country, and to be an early participant in eWTP
will provide a plethora of opportunities for Malaysian
organizations.”
Alibaba Group Executive Chairman, Jack Ma said, “I laid out the
vision for eWTP last year, and we as a company have taken on the
responsibility to make this a reality. The first e-hub under the
eWTP outside of China will go a long way towards making global
trade more inclusive and provide much needed support to a hugely
important constituent: SMEs and 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.”
Jack Ma 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.
The eWTP’s e-hub concept has been incorporated into Malaysia’s
DFTZ which will see the involvement of Alibaba, its subsidiaries
and affiliates such as Lazada and Cainiao Network primarily in four
areas:
- E-fulfilment hub: A logistics
hub situated in close proximity to Kuala Lumpur International
Airport that will function as a centralized customs clearance,
warehousing and fulfilment facility for Malaysia and the region, to
deliver faster clearance for imports and exports;
- E-service platform: Connected to
Alibaba’s OneTouch platform, it will link Malaysia directly to the
e-commerce pilot area in Hangzhou, China to enable SMEs and
businesses to trade conveniently and efficiently between the two
countries;
- E-payment and financing:
Relevant parties from both sides will explore e-payment and
financing opportunities with a particular focus on facilitating B2B
trade for Malaysian SMEs;
- E-talent development: The
parties will establish training programs to help incubate startups
and develop skillsets in individuals in support of Malaysia’s
digital economy development.
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 today 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.
The eWTP initiative was proposed by Jack Ma and accepted as a
major policy recommendation of the Business 20 (B20) and officially
included in the 2016 G20 Leaders’ Communique. It seeks to remove
barriers to trade for smaller firms and emerging nations,
supporting them in realizing their full economic potential and
ensuring that they can also enjoy the benefits of global commerce.
eWTP seeks to fundamentally change international trade through cost
reductions, shortened supply chains and increased efficiencies,
complementing the work of the WTO.
About Alibaba Group
Alibaba Group's mission is to make it easy to do business
anywhere. The company aims to build the future infrastructure of
commerce. It envisions that its customers will meet, work and live
at Alibaba, and that it will be a company that lasts at least 102
years.
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Alibaba GroupRachel Chan+852 9400
0979rachelchan@alibaba-inc.comorRico Ngai+852 9725
9600rico.ngai@alibaba-inc.com
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