Dubai, UAE – Apparel Group, a leading fashion and lifestyle retail conglomerate in the region, proudly announces the opening of Koton’s renovated concept store at Dubai Mall, marking a strategic milestone in the brand’s growth journey across the region. Located on the first floor of one of the world’s most iconic shopping destinations, the store showcases an evolved retail identity with a curated focus on women’s and teen fashion.
This elevated store design reflects both Koton’s global brand direction and Apparel Group’s regional expansion strategy, combining trend-led collections with a modern shopping environment tailored to the UAE’s dynamic fashion consumer. The store offers a refined layout, immersive visual merchandising, and collections that reflect the brand’s signature blend of elegance, accessibility, and seasonality.
Neeraj Teckchandani, CEO of Apparel Group, commented: “The opening of Koton’s reimagined concept at Dubai Mall underscores Apparel Group’s long-term vision to strengthen our global brand partnerships through focused regional expansion. The GCC retail landscape is evolving rapidly, and with this milestone, we reaffirm our commitment to delivering exceptional brand experiences that resonate deeply with our customers in the UAE and beyond. Koton is well-positioned to lead in the value-driven fashion space, and we are proud to support its next chapter of growth in the region.”
Speaking at the opening, Chairman Yılmaz Yılmaz stated: “The Gulf region is of strategic importance for Koton’s international expansion. We are proud to launch our new store concept in such a prestigious location as Dubai Mall, in collaboration with Apparel Group. This partnership sets a strong foundation for future growth. We will soon launch Koton.com in the region as well and aim to expand our store network with nine new openings by the end of 2025.”
Currently operating 18 stores across the UAE, Saudi Arabia, and Bahrain, Koton, in partnership with Apparel Group, is charting a regional growth strategy that includes upcoming market entries into Kuwait, Oman, and Qatar. This expansion reflects a joint ambition to accelerate performance, elevate customer experience, and establish Koton as a regional fashion mainstay.
Globally, Koton operates 449 stores in over 70 countries, offering accessible, trend-driven collections with a strong commitment to sustainability and women’s empowerment in the workforce. The opening at Dubai Mall not only strengthens Koton’s global momentum but also reflects Apparel Group’s pivotal role in accelerating the brand’s presence across the high-growth Gulf retail sector. This partnership brings together Koton’s international appeal and Apparel Group’s regional expertise to deliver a retail experience tailored to the evolving needs of GCC consumers.
About Koton:
Koton, a pioneer in fashion and retail in Türkiye, stepped into the ready-to-wear retail market with its first store opened in Istanbul in 1988. Today Koton trends and fashion reaches over 70 countries worldwide through 449 stores and online channels.
Creative and innovative, with a customer and technology focus, Koton merges seasonal trends with unique designs and follows a policy of offering them at suitable locations. Koton has demonstrated its commitment to sustainability with its “Respect Life” manifesto, and in 2022, 30% of its revenues came from sustainable products. With a 72% female employee rate and a 54% female managerial rate, Koton has proven its dedication to women’s participation in the workforce and their presence in professional life.
About Apparel Group LLC
Apparel Group is a global retail powerhouse based in Dubai, UAE, strategically positioned at the crossroads of the modern economy. With a network of over 2,300 retail stores and more than 85 brands, the company serves countless shoppers worldwide, supported by a multicultural workforce exceeding 27,000 employees.
The company has established a significant footprint in the GCC, including Bahrain, Qatar, Oman, Saudi Arabia, and Kuwait, while expanding into markets such as India, South Africa, Singapore, Indonesia, Thailand, Malaysia, and Egypt. Apparel Group is also preparing to enter emerging markets like Hungary and the Philippines, reflecting its forward-looking vision.
With a diverse brand portfolio spanning the USA, Canada, Europe, Australia, and Asia, Apparel Group offers an omni-channel experience featuring renowned names like Tommy Hilfiger, Charles & Keith, Skechers, ALDO, Crocs, Nine West, Calvin Klein, Aéropostale, Jamie’s Italian, Tim Hortons, Cold Stone Creamery, Inglot, and Rituals. This versatility underscores the company’s adaptability and broad appeal.
Guided by the vision of its dynamic Founder and Chairwoman, Mrs. Sima Ganwani Ved, Apparel Group has experienced remarkable growth over the past two decades, evolving into a global leader in retail. For more information, visit www.apparelgroup.com.
About AppCorp Holding:
AppCorp Holding, led by Founder and Chairman Nilesh Ved, is a multi-billion-dollar transnational holding that, through its flagship company Apparel Group, operates across 14 countries, managing 2,300+ stores and representing 85+ international and homegrown brands with a workforce of 27,000+ employees. The holding has built a diverse portfolio spanning retail, food and beverage, real estate, logistics, healthcare, education, and investment.
U.S. President Donald Trump said on Saturday that Walmart should “eat the tariffs” instead of blaming duties imposed by his administration on imported goods for the retailer’s increased prices.
His comments were in response to the world’s largest retailer saying this week it would have to start raising prices later this month due to high tariffs.
“Walmart should STOP trying to blame Tariffs as the reason for raising prices throughout the chain. Walmart made BILLIONS OF DOLLARS last year, far more than expected,” Trump said in a social media post.
“Between Walmart and China they should, as is said, ‘EAT THE TARIFFS,’ and not charge valued customers ANYTHING.”
Walmart said it has always worked to keep its prices as low as possible, adding that this practice will not stop.
“We’ll keep prices as low as we can for as long as we can given the reality of small retail margins,” the company said in a statement to Reuters.
Walmart CEO Doug McMillon said on Thursday the retailer could not absorb all the tariff costs because of narrow retail margins. Even so, he said, the company was committed to ensuring that tariff-related costs on general merchandise, which primarily comes from China, would not drive food prices higher.
Many U.S. companies have either slashed or pulled their full-year expectations amid friction between the U.S. and its trading partners, particularly China, as consumers curtail spending.
As a bellwether of U.S. consumer health, Walmart’s explicit statement about the impact of tariffs is a signpost for how the trade war is affecting the retail sector. Walmart is noted for its ability to manage costs more aggressively than other companies to keep prices low.
Every week, 255 million people shop in its stores or place orders online around the world, and 90% of the U.S. population lives within 10 miles (16 km) of a Walmart.
Walmart’s disclosure comes about three weeks after a published report that Amazon, opens new tab planned to disclose how much Trump-imposed tariffs were adding to the costs of its products. The White House blasted Amazon over the report, which the company promptly denied.
According to founder and managing director Samir Modi, India’s Colorbar Cosmetics plans to go public in early 2027, after doubling its revenue this financial year through design upgrades, new product launches and store expansions.
Brands that cater to affluent Indian consumers have largely withstood the cost-of-living-driven slowdown in spending, as wealthier shoppers continue to invest in luxuries and personal care.
Colorbar expects to reach revenue exceeding 10 billion rupees (approximately $117 million) in the financial year beginning April 1. Growth strategies include updated packaging and continued investment in store enhancements, Modi told Reuters.
The company, currently valued between 25 billion and 35 billion rupees, intends to use proceeds from the IPO to strengthen its skincare and fragrance segments and pursue acquisitions, including international beauty brands.
Shares of comparable listed beauty players like Nykaa and Honasa Consumer have struggled since debuting, as analysts question their profitability amid rising market competition.
Colorbar, which roughly broke even last year, also faces intense competition. Its rivals include local independent labels such as Sugar Cosmetics and MyGlamm, as well as global heavyweights like Estée Lauder’s Bobbi Brown and MAC.
Established two decades ago, Colorbar offers a wide range of cosmetics—from lipsticks and foundations to skincare products such as serums and moisturizers.
The brand operates over 100 exclusive outlets and distributes through over 1,200 multibrand retailers, including major chains like Shoppers Stop and Lifestyle. It also plans to open an additional 15 to 20 stores this fiscal year.
Looking ahead, Modi said the company aims to generate up to 25% of its revenue from exports within the next five years by expanding in markets such as the United States and the Middle East.
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The sports company Puma has appointed Dominique Gathier as vice president of its Teamsport business unit, effective May 15. He succeeds Matthias Bäumer, who assumed the position of chief commercial officer earlier this year, and will report directly to chief product officer Maria Valdes.
The 45-year-old executive, who holds both French and German citizenship, has been with the Herzogenaurach-based company for 19 years.
Over nearly two decades, Gathier has held several key roles in marketing and product development. Most recently, he served as senior director of product line management for Teamsport footwear and equipment. In this role, he oversaw the development of Puma’s top-performing football boot models, including the Future, Ultra and King lines. He earned a degree in management from Kedge Business School in Bordeaux, France.
“With Dominique, an experienced leader will take over our Teamsport business unit, as he played a key role in developing some of our most successful performance products,” said chief product officer Maria Valdes. “I’m confident that Dominique will continue to build on Puma’s strong momentum in the Teamsport segment and bring exciting new products to market—products that will inspire athletes, whether professional or amateur, as well as teams and fans around the world.”
Gathier will lead the entire product team within the business unit in his new role. “He will be responsible for ensuring the successful development and execution of product strategies, working closely with Puma’s many external partners, including clubs and associations,” the company stated.
Puma’s Teamsport unit produces footwear, apparel and accessories for football, as well as other regionally significant sports, such as handball, rugby and cricket.
German footwear maker Birkenstock raised its annual forecasts on Thursday, as second-quarter sales grew more than expected and the company sees strong demand for its pricier range of sandals and clogs.
Shares of the company were up about 5% in premarket trading.
Newer iterations of Birkenstock products such as Arizona Essentials and Madrid Big Buckle have been helping in attracting more shoppers, in turn lifting sales momentum even amid lingering tariff uncertainty.
Stronger demand for its comfort-driven designs, especially from younger customers, at retail stores such as Nordstrom and Foot Locker, have also been strengthening Birkenstock’s partnership and new store opening plans.
“We expect the tariff situation may create a unique shift in consumer behavior in the footwear category with a split between the few brands, like Birkenstock,” said Birkenstock’s CEO Oliver Reichert.
Birkenstock said it invested about 21 million euros ($23.53 million) in capital expenditure in the second quarter as it looks to expand its production capacity to cater to growing demand in regions such as the Americas.
Net revenue in the Americas, its biggest market, was up 23% in the quarter ended March 31, compared with 19% a year earlier.
The company now expects its fiscal 2025 revenue to be at the high end of its previous forecast range of 15% to 17% in constant currency basis.
It also said its annual earnings before interest, taxes, depreciation and amortization (EBITDA) margin would be between 31.3% and 31.8%, up from the 30.8% to 31.3% previously forecast.
The company posted quarterly revenue of 574.3 million euros, compared with analysts’ estimates of 567.7 million euros as per data compiled by LSEG.
On an adjusted basis, the company posted quarterly profit of 0.55 euros per share, compared with analysts’ estimates of 0.54 euros as per data compiled by LSEG.
In April, Flour Mills of Nigeria (FMN), a 64-year-old manufacturing titan, transitioned from customer to shareholder in OmniRetail, a B2B e-commerce startup that has been ranked the fastest-growing business in Africa twice. FMN, one of the 145 manufacturers that use the platform to sell to retailers, co-invested $20 million in the startup. That was an uncommon step for traditional Nigerian companies, most of whom prefer to collaborate with rather than buy equity in local startups.
Globally, this kind of investment, corporate venture capital (CVC), where large companies fund startups, has been on the rise. It has tripled between 2014 and 2024, accounting for over 46% of venture capital deal value. Some foreign CVC firms, like Axa Venture Partners, Mobility54, and Coinbase Ventures, and some non-Nigerian ones like South Africa’s Absa Bank, have extended their interest to Nigerian startups. However, CVC activity from Nigerian traditional businesses continues to lag, despite exits delivering as much as 29x returns.
Flour Mills’ recent investment adds to a small but growing number of traditional firms embracing startup investments, driven by financial returns and the need for strategic leverage. As technology reshapes commerce—from mobile point-of-sale systems overtaking ATMs to innovations in last-mile logistics—such investments may become lifelines for legacy companies seeking to stay competitive.
“Traditional companies don’t always have the flexibility to build these capabilities internally,” said Akwugo Onuekwusi, an expert in fundraising and financial advisory. “Investing in startups offers them optionality and a moat, especially when the technology touches a core operational pain point.”
OmniRetail is solving a big problem for Flour Mills
Africa’s retail market is a sprawling headache: 90% of Nigerians shop at informal kiosks, market stalls, and mom-and-pop stores. In Nairobi, the number is 87%. Manufacturers like Flour Mills go through a cascade of wholesalers and distributors to reach these traders. The cost of the items increases at every handoff, while inflation, currently at 23.71%, erodes consumer purchasing power.
OmniRetail is one of several startups trying to solve this problem. The platform currently connects 145 manufacturers, including Flour Mills, to 150,000 retailers through an asset-light “network of networks.” With 85 partner warehouses and 1,100 third-party trucks, OmniRetail delivers goods directly to retailers’ doorsteps. Its collateral-free financing model allows cash-strapped vendors to stock up, ensuring consistent demand for manufacturers’ products. Beyond logistics, the startup’s real-time data on demand trends, stock levels, and retailer preferences enable manufacturers to find and meet demand.
Flour Mills has had first-hand experience of the impact of this system on its business.
“Distribution is key in the fast-moving consumer goods (FMCG) sector, and OmniRetail seems well on its way to building the engine that powers distribution of the future,” Oo Nwoye, an angel investor, told TechCabal. Nwoye notes that this will deepen its alliance with the startup and give the company better insight into the distribution value chain, across pricing, demand, and logistics. It could also give Flour Mills a foothold in the future of the FMCG industry.
OmniRetail told TechCabal that the investment was a vote of confidence from Flour Mills and a sign of shared long-term interest.
“It came after years of partnership where we demonstrated measurable value—improved sell-through, real-time data insights, and reduced logistics costs,” the company said in an email to TechCabal. “[The investment] reflects FMN’s broader strategy to deepen its distribution footprint, digitise its route-to-market channels, and strengthen retail intelligence, particularly in segments where traditional systems lack transparency and speed. This [investment] deepens our alignment beyond supply chain support—it’s now a strategic partnership for growth.”
A key partner in a new era for Flour Mills
Flour Mills’ investment comes at a pivotal moment in its 64-year history. In 2024, the company, majority-owned by a shipping conglomerate, delisted from the Nigerian Exchange Limited (NGX) and plans to restructure its 22 business units into five standalone entities and pursue a pan-African expansion under the African Continental Free Trade Area (AfCFTA).
“We aim to attract both technical and financial partners to support the growth of our sugar operations and food business,” said John Coumantaros, the company’s chairman.
OmniRetail told TechCabal it is positioned to support Flour Mills’ expansion plans. Nigeria is its biggest market, as the platform already supports cross-border operations in Ghana and Francophone West Africa for all its manufacturers. With OmniRetail’s technology, FMN can manage multi-country distribution, local demand forecasting, and view real-time product performance across regions from a single dashboard—key capabilities for any expansion.
Beyond distribution and credit, B2B platforms offer real-time market data: demand trends, stock levels, and customer preferences. This gives manufacturers a clear view of the pulse of new markets, enabling faster entry and sharper operations to compete better with other manufacturers.
Nwoye told TechCabal that this acquisition could be a proactive defensive move against their competition in the future. “Any FMCG company that acquires the platform would have access to better insight, distribution tech, and network than other competitors, even those who use the platform.”
This echoes the dynamics of Microsoft’s investment in OpenAI. Just as Microsoft understood the future significance of advanced AI and sought to embed itself within its development in the leading AI startup, Flour Mills likely sees OmniRetail’s asset-light network and data capabilities as a critical infrastructure for the future of FMCG distribution in Africa. Their investment ensures they have a strong voice in its evolution and prevents competitors from leveraging its unique advantages to gain an insurmountable lead.
However, this investment poses a question about what Four Mills’ new relationship means for competitors who also use OmniRetail. As a significant investor, Flour Mills’ influence over OmniRetail’s development and data could create an uneven playing field for other manufacturers relying on the same infrastructure.
But OmniRetail told TechCabal that it will continue to operate as a multi-manufacturer platform and that Flour Mills’ investment does not come with exclusivity around product distribution or access to competitor data.
“We’re committed to maintaining a level playing field for all manufacturers on our platform, ensuring trust, neutrality, and fair access to market intelligence across the board,” the company said.
Moreover, Flour Mills is not the first manufacturer to invest in OmniRetail. In 2022, Chandaria Industries, the largest tissue and hygiene products manufacturer in Kenya, co-invested in OmniRetail through its CVC firm, Chandaria Capital.
Is there an acquisition on the horizon?
Experts who spoke to TechCabal noted that this funding puts an acquisition on the table. “This is good and could also form a valuable exit partner for OmniRetail, especially if Flour Mills wants to build out a distribution play,” Onuekwusi told TechCabal.
Globally, it’s common for investors to acquire high-performing startups they’ve previously invested in. For instance, Stripe led Paystack’s Series A funding before acquiring the company two years later.
Considering the limited capital available in local stock markets, acquisitions way for Nigerian startups can provide returns for their investors. However, unlike cash-flush startups, which often prioritise quickly gaining a large share of the market and unique product features, traditional corporations typically evaluate a startup’s worth by focusing on how compliant they are and how well their value proposition aligns with the corporation’s overall business plans.
However, OmniRetail seems to be doing well on all fronts. The company, which reported a revenue of $120.15 million in 2023, has achieved a compound growth rate of 71,818.4% and 795.9% in compound annual growth. It also claims to be profitable; it is impressive for a growth-stage startup to do so without sacrificing momentum.
OmniRetail is an attractive target for any fast-moving consumer goods (FMCG) company looking to expand, especially one like Flour Mills, which plans to go private and relist on two stock exchanges in the future.
However, OmniRetail and Timon Capital, one of OmniRetail’s earliest investors, which also participated in this round, declined to comment on the possibility of an acquisition.
Flour Mills did not immediately respond to requests for comments on any parts of this article.
Even if a Flour Mills acquisition isn’t imminent, this equity investment remains a significant cause for celebration, especially given OmniRetail’s recognition as a top-performing, fast-growing company in Africa. This move could signal a broader awakening among local corporations to the strategic and financial potential of directly investing in startups.
Helen Norman explores how complex customs rules and regulations are affecting cross-border e-commerce, and the role technology can play in smoothing the process
Navigating the complicated world of cross-border e-commerce can be extremely challenging, especially given the fact that import fees and customs regulations change from country to country on a regular basis. The challenges, however, are not putting off retailers from expanding beyond their domestic borders.
“The global e-commerce market continues to grow, doubling from €1.7tn in 2018 to €3.6tn [US$3.7tn] in 2023, and is forecast to reach €5.5tn [US$5.7tn] by 2028, according to Euromonitor estimates,” says Luke Lloyd, head of markets at the International Post Corporation (IPC). “Across this period, cross-border has accounted for approximately 10-12% of this total figure and so cross-border parcel volumes have also rapidly increased.”
FedEx estimates that cross-border sales are expected to grow twice as quickly as the wider e-commerce sector, with international sales predicted to be worth US$5.6tn by 2030. “In recent years, we’ve seen a surge in cross-border e-commerce, with consumers and businesses increasingly shopping and selling across international borders,” comments Mark Ruddock, vice president of clearance operations at FedEx Europe.
With such growth, more and more retailers need support to figure out the different taxes, tariffs and customs duties required to ship into specific countries. “The main hurdle when it comes to cross-border e-commerce is the sheer complexity of managing different regulations across various countries,” asserts Adnan Zaheer, CEO of iCustoms, an AI-driven trade compliance management platform. “Each market has its own rules, tax structures and duty thresholds, and these are constantly changing. The lack of standardization between markets means that even a small error, such as a misclassified product or an incorrect document, can bring the whole process to a halt.”
Changing regulations
Recent regulations that have affected cross-border e-commerce include ICS2 for surface transportation (see ICS2 extends to rail and road at the end of this article); the Safety and Security declarations (also known as the Entry Summary Declarations – ENS), which were introduced on January 31, 2025; and the post-Brexit Windsor Framework. “A further challenge is that regulations can rapidly change for political reasons – as emphasized by multiple recent announcements from the US,” adds IPC’s Lloyd.
Lloyd is referencing the anticipated reduction/removal of the de minimis rule for US imports, which could have a big impact on delivery costs and parcel flows. De minimis allows shipments valued under US$800 to enter the US free of duty and taxes. In 2013, 100 million packages entered the US using this rule. Last year, this figure had grown to over 1.36 billion, or 3.8 million packages a day.
The Trump administration announced in February that it would immediately eliminate the exemption for low-value shipments arriving from China. However, within days, US ports of entry were overwhelmed with a backlog of packages as the Customs and Border Protection (CBP) service was unprepared to deal with the extra processes required. The administration has now announced it will create a process to eventually eliminate the exemption for China.
Cross-border e-commerce growth saw a 11.3% year-on-year rise in air cargo demand in 2024, according to IATA
“In August 2024, Turkey changed its de minimis regulations to protect Turkish companies from Chinese rivals such as Temu and Shein,” Lloyd says. These changes included reducing the de minimis from €150 (US$157.50) to €30 (US$31.50) and significantly increasing duties and taxes. “This had a rapid effect in instantly reducing consumer e-commerce imports,” Lloyd adds.
Other changes afoot include the European Commission’s Customs 2030 initiative, the potential removal of the €150 (US$157.50) de minimis limit in the EU, and further US-imposed tariff changes. “With the USA, we already see some changes in tax rates that are likely to propagate to other countries as reciprocity measures,” comments David Avsec, Postal Technology Centre (PTC) account relationships coordinator at the Universal Postal Union (UPU). “It is likely that 2025 will be very dynamic, and new regulations may be announced in the coming months. The postal network needs very agile IT systems to adapt quickly.”
“The increasingly changing international economic environment demands continuous adaptation of solutions,” agrees Kelly van der Weg, managing director of Spring GDS. “Retailers and sellers should be able to focus on what they do best, and shouldn’t be burdened by the ever-changing rules and regulations. As a cross-border seller, with so many suppliers to potentially work with, it is hard to find a partner that can support shipping needs on a multilateral level.”
The Customs Declaration System
One system that can help posts tackle the myriad customs challenges is the UPU’s Customs Declaration System (CDS) – a web-based solution that simplifies electronic customs data exchange to expedite international shipments, Avsec explains. “CDS is the UPU’s answer to growing demands for electronic advance data (EAD) for cross-border postal items. It helps with data collection, and the software validates the data entries then prepares and sends the declarations to the destination, according to UPU standards.”
In February, CDS was enhanced thanks to the UPU’s new partnerships with cross-border technology firms Zonos and Hurricane Commerce. The latest release of CDS, CDS 2024 SP1, includes APIs to Zonos and Hurricane Commerce software. Thanks to these new integrations, CDS has been enriched with new lookup functionalities for EAD compliance data, including HS codes (product classification numbers), information on prohibited and restricted items and denied parties verification.
According to UPU’s Avsec, the new functionalities included in CDS 2024 SP1 are important additions, but there is more to come: “We do have plans to empower a postal delivered duty paid (PDDP) solution, thanks to the same APIs and with the addition of a landed costs calculation. Specifications are currently being built, and delivery is on the roadmap for later in 2025.”
IPC’s PDDP service
The IPC is also supporting postal operators with cross-border e-commerce. Its PDDP service enables consumers to pay taxes and duties at the point of online purchase, thus meeting the needs of consumers, e-retailers and authorities.
“PDDP provides posts and e-sellers with a comprehensive solution that offers full visibility for customers when ordering online,” Lloyd explains. “All associated costs, including taxes, duties and surcharges, are displayed up front, creating a transparent and hassle-free experience for customers. Shipping times are also reduced, as PDDP items are granted ‘green lane’ status at the destination, ensuring a seamless customs experience. Moreover, PDDP is fully compliant with regulatory changes, allowing e-sellers to transform potential challenges into competitive advantages.”
Lloyd believes that solutions like this, which provide a level of automation for e-sellers and posts, are the key to successful cross-border e-commerce. “While the level of items being eligible for customs fees has increased, it is not feasible for authorities to hire customs officials at the same rate,” he says. “Therefore, automation of customs procedures is an absolute necessity. This is on the side of e-retailers and delivery providers sharing accurate information about the item from the moment it leaves the warehouse, to authorities using machines to read customs information in an automated manner rather than manually.”
Simplifying cross-border complexity
Spring GDS aims to take away the complexity of cross-border shipping with tailored solutions for e-commerce. “Our solutions seamlessly integrate with multiple platforms and marketplaces in under 24 hours,” explains van der Weg. “We have all the established integration setups such as API, EDI and self-built options.”
Van der Weg shares that as customs requirements continue to evolve, it will be vital for businesses to work with suppliers that can adapt to those changes. “Having one party to support you with a simple integration layer, which provides security on compliance and can offer you one entry to all your shipping destinations, with a mix of service levels and solutions, is scarce,” he asserts. “Spring GDS creates bespoke solutions, diving into the supply chain of sellers, understanding the optimal cutoff point and adapting accordingly with a personal approach.”
Spring GDS opened a new hub at London Heathrow in January to support cross-border operations
According to van der Weg, Spring GDS focuses on consumer transparency, shipper compliance and simplification, with tax and duties calculated upfront at the retailer’s website checkout. “Our solutions are paperless and data flows are corrected before the actual shipping takes place,” he says. “This way of working provides the smoothest distribution and faster transit times. From a seller perspective, you have visibility on quality, you can manage your tracking and label generation and, as all data flows are connected, as a seller you are legally and fiscally compliant, shipping across (EU) borders with Spring GDS.”
The company is part of the PostNL Group, offering access to global networks. “It provides choice and optimization for sellers on speed, price or visibility. It also secures contingency, as Spring GDS can always instantly provide alternative backup networks,” van der Weg adds.
The role of AI
According to iCustoms’ Zaheer, technology is really stepping up to the plate when it comes to tackling the challenges of cross-border e-commerce and meeting new regulations.
“AI can be a real game-changer for logistics operators for handling the ever-growing demands around customs and taxes,” he argues. “It takes the heavy lifting off their shoulders by automating tasks such as customs declarations, tax calculations and goods classification.”
In February, iCustoms launched its latest solution, iAgent, which uses AI agents to lighten the load for logistics companies by making decisions and handling tasks with little human input. By uploading customs documents, iAgent automates time-consuming and repetitive tasks such as declaration completion, providing businesses with a solution to efficiently navigate the complexities and high volumes of global trade.
“In addition to iAgent, we have IDP (Intelligent Declaration Processing), which uses AI to fully automate the customs declaration process; iClassification, which classifies HS codes with 99% accuracy in just three minutes; and iENS, which simplifies the process of submitting Entry Summary Declarations for shipments entering or leaving the UK and EU,” Zaheer reports. “Leveraging AI means logistics firms can stay compliant, reduce delays and focus on what really matters: delivering excellent service to their customers.”
A global presence
For FedEx’s Ruddock, digital technologies can help reduce customs bureaucracy and trade friction. “Trade relies on processes that are simple, streamlined and interoperable between different systems. This is where plans for a new EU customs data hub could change the game. Having a single, centralized data portal would strengthen customs processes, reduce fraud and give traders just one IT environment in which to register and clear goods. Everyone benefits from a system that is simpler, faster and more reliable,” he explains.
FedEx has developed a comprehensive cross-border e-commerce offering, which, according to Ruddock, includes a range of “practical tools, technologies and services” to help businesses navigate the complexities of global trade regulations and compliance. The firm’s International Connect Plus enables sellers to ship their e-commerce products to more than 190 countries and territories in as little as two days.
“It is a central part of our role to unlock the potential of cross-border e-commerce for customers by helping them navigate increasingly complex regulatory and customs processes,” continues Ruddock. “We handle 480,000 daily clearance transactions in Europe for our customers, and we serve more than 220 countries and territories where we have the local presence and shipping expertise to help companies meet the expectations of cross-border customers. We are also investing in new technologies and partnerships to support customers with customs and duties processes.”
Capitalizing on cross-border
Ruddock believes that the ever-changing cross-border landscape and the increasingly complex regulatory environment should not prevent businesses from taking advantage of international growth opportunities.
“Cross-border e-commerce growth is still expected to outpace domestic e-commerce, and in saturated domestic markets it can be a valuable growth strategy for retailers,” he asserts. “Businesses do not have to handle the challenges of cross-border e-commerce business alone. They can work with trusted partners like FedEx.”
The IPC’s Lloyd, meanwhile, highlights how logistics operators and e-retailers need to keep in mind consumer requirements when developing solutions for import fees and regulations. “Based on the IPC Cross-Border Shopper Survey 2024, we see that consumers still continue to expect cross-border delivery to be free – as the cost-of-living crisis continues to impact consumer willingness to pay,” he says. “Consumers will continue to expect free delivery to be built into the cost of the item, even if customs fees and operational costs continue to increase in the future.”
Summing up, iCustoms’ Zaheer advises that logistics operators fully embrace automation and digital tools “from the get-go” to help them improve their cross-border e-commerce offering. “Customs regulations and taxes can be tricky to keep up with, especially as new rules pop up regularly, so having the right technology in place is essential,” he concludes.
ICS2 extends to rail and road
On April 1, 2025, the European Union’s Import Control System 2 (ICS2) will be extended to rail and road, in addition to the existing air, maritime and inland waterway requirements. ICS2 aims to enhance the safety and security of goods sent to or through the EU by introducing a standardized, pre-arrival customs process for all modes of transportation.
By mandating the submission of accurate and complete Entry Summary Declaration (ENS) data prior to arrival, the ICS2 enables customs authorities to better assess the risks associated with incoming goods, thereby improving the EU’s ability to prevent and combat customs offenses and ultimately ensure a safer and more secure trade environment.
The ICS2 obligation also concerns postal and express carriers that transport goods using these modes of transportation, as well as other parties, such as logistics providers. To comply with the ICS2 requirements, affected businesses will be required to ensure they collect accurate and complete data from their clients, update their IT systems and operational processes, and provide adequate training to their staff.
Goods might be stopped at EU borders and might not be cleared by customs authorities if traders do not meet the ICS2 requirements.
CTT Portugal targets cross-border e-commerce expansion
CTT – Correios de Portugal is undergoing a major transition from a traditional mail operator to a leading logistics group for e-commerce across the Iberian Peninsula and beyond. This transition is being accelerated through innovative solutions and strategic partnerships, according to executive board member João Sousa.
Sousa highlights a recent partnership between the group’s national and international express delivery service, CTT Expresso, and DHL eCommerce, which will see the “two companies combine highly efficient parcel delivery networks for B2B and B2C e-commerce, including out-of-home deliveries, with a daily capacity of over one million shipments within the Iberian Peninsula”.
CTT is also improving its e-commerce offering through strategic acquisitions. In late 2024, for example, the group announced the acquisition of Compañia Auxiliar al Cargo Express (Cacesa), a Spanish company specializing in the international e-commerce customs sector.
“The acquisition of Cacesa makes it possible for us to strengthen our competencies in the customs area, meeting the demands of the growing cross-border e-commerce
business. Cacesa’s customs clearance platform is highly automated and based on a proprietary software process that allows for cost-effective and scalable growth. It is present in 15 countries, with Spain, Italy, Belgium and Poland as its main markets,” comments Sousa.
As these partnerships and acquisitions show, CTT is confident that there is still plenty of room for e-commerce growth in the Iberian market. “For this purpose, CTT will continue to diversify its customer base, regardless of geography, product type or company size,” adds Sousa. “We believe we have all the conditions to drive the growth of e-commerce in the Iberian Peninsula, whether through our delivery network or by supporting companies in their digitalization process, with services that help them create and strengthen their digital presence, from creating an online shop to managing their warehouses.”
Author Credits- HELEN NORMAN, Parcel and postal technology INTERNATIONAL
Meta Platforms, Inc and EssilorLuxottica have introduced the Ray-Ban Meta smart glasses to the Indian market, combining wearable technology with eyewear. The glasses offer a range of AI-enabled features, including hands-free photo and video capture, music streaming, real-time live streaming, and voice-assisted interactions.
Pre-orders for the smart glasses launched on May 13 and, from May 19, shoppers will be able to purchase the frames across Ray-Ban’s website and numerous optical outlets in India, the business announced in a press release. Available in Wayfarer, Wayfarer Large, and the newly launched Skyler frame, the collection is priced from Rs 29,900.
Equipped with an ultrawide 12 MP camera, the Ray-Ban Meta glasses enable users to take high-quality portrait videos and photos. Open-ear speakers with noise suppression enhance the audio experience, while five built-in microphones support smooth transitions between calls and media playback, designed to keep users connected to their surroundings.
The glasses also feature livestreaming capabilities, enabling creators to broadcast directly to Instagram Live or Facebook Live for up to 30 minutes. Through voice commands, users can activate Meta AI by saying “Hey Meta” to receive local recommendations, translate signs, control features, or get recipe suggestions.
Meta AI is expected to roll out live translation features later this spring, enabling offline conversations across multiple languages, including English, Spanish, French, and Italian. The glasses will also receive continuous software updates for added functionality.
As e-commerce competition continues to intensify, Chinese logistics giants JD Logistics, SF Express and Cainiao (Alibaba’s logistics arm) are steadily extending their reach into the European market. Although their presence is still emerging, these early moves hint at a broader strategic ambition: to secure a stronger role in supply chains, enhance delivery speed and gain direct access to European consumers.
This push is likely to be accelerated by geopolitical pressures, primarily the fallout from the US-China tariff war initiated under President Trump, which will accelerate Chinese efforts to diversify trade routes and reduce reliance on American logistics infrastructure.
Indeed, given the uncertainty surrounding trade with the US, it’s no surprise that Chinese courier, express and parcel (CEP) players are turning their focus toward Europe. With over 500 million consumers across the EU, UK, Switzerland and Norway, the region presents a vast and comparatively stable market – making it an increasingly attractive target for strategic expansion.
A two-way supply chain play
JD Logistics has launched a cross-border express delivery service, covering much of Europe. Originating from hubs in Shenzhen and Guangzhou, it offers one-hour pickup and full tracking via its WeChat-based JD Express platform.
The company is actively pursuing partnerships to deepen its European footprint. Collaborations with France’s GeoPost and the UK’s Evri are geared toward creating a seamless two-way logistics corridor between China and Europe.
Notably, JD is reported to have considered participating in the £2bn (US$2.6bn) acquisition of Evri by Apollo Funds, a move that would have marked one of the most significant Chinese takeovers in the European CEP space.
Infrastructure is also a priority. JD has invested in a cutting-edge logistics center in Venlo in the Netherlands, employing autonomous vehicles and robotic arms to boost operational efficiency and scalability.
In Poland, JD Logistics has been a key player with major clients such as Biedronka. The company recently opened its second warehouse in Warsaw, bringing its total to three warehouses in Poland. Additionally, JD operates an almost 30,000m2 fully automated warehouse in Poznań, reinforcing its commitment to scalable and high-tech logistics solutions in Central Europe.
As JD Logistics expands its European network, it continues to create new opportunities for Chinese businesses seeking fast, reliable and tech-driven access to European consumers, strengthening trade links and enabling smoother market entry across the continent.
“I see Europe as a strategic opportunity for smart, efficient and borderless logistics. Our investments in Poland and beyond reflect our long-term commitment to creating seamless connections between Chinese innovation and European demand,” says Veysel Isik, European local sales director at JD Logistics.
Building physical and digital bridges
SF Express, sometimes described as ‘China’s FedEx’, is using a combination of air freight and regional distribution hubs to establish a pan-European presence. It recently launched a direct B747 air cargo route between Europe and China, aiming to accelerate shipments of high-value goods such as electronics.
Crucially, SF Express possesses substantial capacity for air freight to China and the surrounding region through its subsidiary, SF Airlines, which operates a fleet of 90 dedicated cargo aircraft, making it China’s largest all-cargo airline. This gives SF a strong strategic edge in offering high-frequency and reliable air cargo services between Asia and Europe.
In Spain, the firm has opened a 30,000m2 self-operated warehouse and established robust last-mile capabilities across Iberia. SF Express has also struck a strategic partnership with GLS, integrating IT systems and delivery networks to offer a more unified customer experience throughout the EU. Moreover, there are rumors that it is currently hiring in Central and Eastern Europe, which would imply a stronger presence in what is one of the key gateways from China into the European Union.
It will be especially interesting to see what SF Express does next; there are still a few local heroes on the market, but with its own airline capacity to China and the region, it’s likely to be in high demand, both as a service provider and possibly as an acquirer.
Locking down Europe
Cainiao is pursuing a full-spectrum European strategy, from parcel lockers and sortation centers to weekend delivery. At the heart of its European operation is the Liege eHub in Belgium, which acts as a logistics nerve center linking air freight, rail and sea routes. While I have some doubts about its parcel locker joint venture with DHL, it demonstrates that Cainiao understands the need for partnerships to achieve its strategic goals.
The company’s ‘five-day delivery guarantee’ now spans multiple EU countries, with weekend deliveries operational in Spain’s major cities. In Poland, Cainiao has joined forces with DHL to invest €60m (US$67m) in one of the largest parcel locker networks in the country, bringing self-service convenience to urban and rural consumers alike.
More tellingly, Alibaba has recently moved to take full ownership of Cainiao, underscoring how central the logistics unit is to the group’s overseas growth plans, particularly as it faces rising competition from Shein and Temu. While large CEP acquisitions have not been the case to date, this may change in the face of the new competitive environment.
“Our expansion in Europe reflects Cainiao’s commitment to building a smarter, faster and more consumer-centric logistics network,” explains Dennis Li, general manager of cross border parcels at Cainiao Network Europe. “From the Liege eHub to our parcel locker investments, we’re laying the foundations for a truly integrated cross-border infrastructure – one that empowers merchants and delights customers across the region.”
Strategic implications for Europe
The Chinese dragon is no longer at the door – it’s already setting up shop. These moves signify more than just faster delivery. Chinese CEP players may well help reshape Europe’s logistics ecosystem, bringing advanced automation, high-frequency delivery models and aggressive investment strategies that could challenge established incumbents like Geopost/DPD, DHL and GLS/Royal Mail.
For European businesses and consumers, the benefits may include faster shipping, greater convenience and better cross-border options. But for regulators and local operators, the growing influence of Chinese logistics firms also raises strategic questions about data, infrastructure ownership and long-term market control.
Author Credits- MAREK ROZYCKI, parcel and postal technology INTERNATIONAL
CTT – Correios de Portugal is undergoing a major transition from a traditional mail operator to a leading logistics group for e-commerce across the Iberian Peninsula and beyond. This transition is being accelerated through innovative solutions and strategic partnerships, according to executive board member João Sousa.
