Chinese warehouses abroad solve supply woes, offer many benefits
China DailyEmployees sort packages at a warehouse of Cainiao Group in Guadalajara, Spain, in November 2020. Driven by big data solutions, the fast-growing trade volume generated by the Belt and Road Initiative, cross-border e-commerce and Chinese companies' industrial upgrades, many of them have invested directly in overseas warehouses. This move fully leverages the role of overseas warehouses in smoothing the foreign trade supply chain, allowing more products made by other export-oriented companies in Xuzhou to continuously reach the Brazilian market as well as other neighboring markets in South America. Overseas warehouses have also become a crucial solution to deal with the disruption of the global supply chain and fluctuations in international shipping costs during the peak season. Therefore, investing in overseas warehouses allows companies to control inventory storage and management, enabling them to respond quickly to changing market demands and fluctuations in customer preferences.