Alibaba halts further expansion at Liège Airport

Cainiao, the logistics subsidiary of Chinese e-commerce giant Alibaba, will not pursue further expansion at Liège Airport. The company has decided to forgo the second and third phases of its development plans at the site, Walloon Economy minister Pierre-Yves Jeholet confirmed on Wednesday.

According to Jeholet, Cainiao has recently adjusted its global strategy and now intends to focus on optimising its existing facilities, which were inaugurated in 2021. As a result, the additional construction phases initially planned will not go ahead.

The minister acknowledged that the project’s scope remains “below expectations” but stressed that “Cainiao remains a strategic partner of the airport”.

Under the agreement between the Chinese firm and the airport, Cainiao is bound by certain expansion deadlines. The contract includes provisions for financial compensation in case of delays, and stipulates that the land will revert to Liège Airport if the contract is terminated.

Job promises unmet

The first phase of the project included a 30,000 sqm logistics hub and created 276 jobs. The cancelled second and third phases would have added two more buildings of 24,000 and 20,000 sqm respectively.

Cainiao's decision is a blow for Liège, which has one of Belgium's highest unemployment rates. In 2019, Alibaba said the complete project would create at least 900 direct jobs and an additional 2,100 indirect jobs in the region.

 

© BELGA PHOTO ERIC LALMAND


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