CMA CGM Group has announced it is teaming up with Cainiao Smart Logistics, the logistics arm of Alibaba Group, to provide cleaner LNG-fuelled smart container services.
Some 20 smart containers, transported on board a CMA CGM LNG-powered containership for the first time, set off from China’s Yantian port and will arrive at Los Angles port in early July.
Cainiao will take care of customs clearance and land transportation to its warehouses, and is reducing the carbon footprint of transported goods with CMA CGM by choosing LNG as a fuel.
Cainiao will benefit from end-to-end visibility through CMA CGM’s smart containers, providing operational excellence for their supply chain during the entire transport of the cargo.
READ: CMA CGM, MPA sign decarbonisation and digitalisation deal
Since last year, Cainiao worked with CMA CGM, selecting cleaner energy LNG on China to Europe routes and commiting to investing in renewable energy with CMA CGM in the next few years.
In the first quarter of 2022, Cainiao was able to cut 156 tonnes of CO2 through CMA CGM’s cleaner energy LNG, the equivalent of 25 per cent of the carbon footprint of 561 TEU.
Currently, CMA CGM runs an e-methane ready fleet of 29 vessels and will have a total of 77 by 2026.
“CMA CGM is breaking new ground by partnering with Cainiao on our digitalization and decarbonisation journey. Both companies share the same vision in leveraging the very best of available digital technology as a powerful driving force in transforming the future of goods transportation,” said Ludovic Renou, CEO of CMA CGM China.
“Amid rising demand for cross-border goods in European and American markets, our initiative is a big lead towards the building of an eco-friendly and digitalized global freight network, servicing middle and small size Chinese companies,” commented James Zhao, General Manager of Cainiao’s global supply chain.
“Together with CMA CGM, we strive to support our overseas markets with efficient and seamless supply chain and logistics solutions.”
Earlier this week CMA CGM Group and ENGIE announced they will co-invest in the Salamander project to produce up to 200,000 tons of renewable gas annually worldwide by 2028.