In recent years, as Southeast Asia has become a key destination for the relocation of Chinese industries and local online shopping habits have accelerated due to the pandemic, more and more domestic express logistics giants have begun choosing Southeast Asia as their primary destination for international expansion. As the starting point for many express delivery companies venturing abroad, those who can dominate the Southeast Asian market will gain an early advantage in the global express logistics competition.

“Southeast Asia, with its proximity and rapidly developing market, has become the first choice for Chinese companies going overseas. In particular, Vietnam, the Philippines, and Indonesia offer significant growth potential due to their relatively underdeveloped infrastructure and commercial facilities. Compared to China, the situation varies across Southeast Asian countries. In Vietnam, 99% of express deliveries need to be made directly to the customer’s doorstep. Unlike Chinese consumers, Vietnamese customers require that they see the goods on the spot; if they are satisfied, they will accept the delivery, but if not, they will immediately reject it.”

In terms of delivery methods and labor costs, players in the express delivery market face a battlefield in Southeast Asia that is distinct from that in China. The Southeast Asian market comprises a mix of developed and developing countries, with large differences between nations in terms of population and economic development. The region’s many islands and diverse cultures and work habits further increase the level of difficulty.

In recent years, the surge in online shopping in Southeast Asia has driven a significant increase in parcel delivery demand, which has been the main source of initial order volume for courier service providers. E-commerce platforms have become indispensable players in the story of express delivery expansion, with many logistics companies in Southeast Asia growing by leveraging the expansion of these platforms.

In China, logistics companies adhere to strict management standards for delivery timeliness and user experience. For instance, delivering to shopping malls can only be done through designated entrances at specific times, and additional services such as placing goods in different rooms within the mall and cleaning shelves are part of the standard logistics process. In contrast, return services in China are typically integrated with forward deliveries, but in Malaysia, local logistics providers consider forward and return deliveries as separate operations, which can significantly impact costs and efficiency.

For China’s express logistics industry, the Southeast Asian market with its enormous potential is still in the exploratory phase, and the journey toward cultural integration and adaptation continues.