J&T Express takes 40% stake in US logistics startup SwiftX
What's the deal? Chinese logistics giant J&T Express has acquired a 40% stake in SwiftXDealroom has a profile for this one. Try Dealroom →, a US-based last-mile delivery startup founded in May 2025 by former Meituan senior vice president Zhang Chuan. J&T has also deployed operations teams to begin upgrading SwiftX's delivery network. The investment marks J&T's latest attempt to crack the American market, where it still lacks the local delivery infrastructure it needs to serve cross-border e-commerce platforms like Temu, SHEIN, and TikTok Shop.
SwiftX focuses on the last mile — moving packages from local warehouses to American consumers' doors. It currently covers about 4,000 zip codes.
This isn't J&T's first bet on US delivery. It previously invested roughly $20M in SpeedX, another American logistics firm, but that effort yielded limited results. SwiftX is designed to be a closer cultural and operational fit for Chinese e-commerce platforms.
Why now? The US eliminated its de minimis duty-free exemption for low-value packages from mainland China and Hong Kong in May 2025, then expanded the suspension globally in August. The policy shift has raised direct-from-China shipping costs by an estimated 15%–25%, while US customs inspection rates jumped from under 5% to over 40%, stretching clearance times from three days to seven to ten.
Platforms like Temu and SHEIN are pivoting from shipping directly from China to a "US warehouse plus local delivery" model. That creates sudden, massive demand for American last-mile networks — and leaves J&T scrambling to catch up.
What could go wrong? Almost everything about the US market works against J&T's proven playbook. American couriers earn eight to ten times more per hour than their Southeast Asian counterparts, with labour costs exceeding 60% of last-mile delivery expenses at UPS and FedEx. SwiftX is reportedly paying $3 per delivery to attract drivers — more than double the rate offered by rivals UniUni and GOFO.
Competition is fierce. UPS, FedEx, and USPS together hold over 85% of the market. GOFO already covers about 9,000 zip codes and handles roughly two million parcels daily. Regulatory compliance spans federal, state, and local layers, and a single lost package can trigger claims worth hundreds of dollars.
J&T also faces a pricing power problem. Cross-border platforms demand low costs and fast delivery, but they control the order flow. J&T risks becoming a low-margin fulfilment contractor rather than a market-shaping force.
The signal: J&T Global ExpressDealroom has a profile for this one. Try Dealroom →, classified by Dealroom as a late-growth company, is effectively subsidising an early-growth startup to patch a gap its own network cannot fill — a dynamic more typical of defensive catch-up than strategic expansion. With cross-border platforms rapidly shifting fulfilment into US warehouses, the window for building last-mile capacity is narrow, and the incumbents controlling over 85% of American parcel delivery have no incentive to make room. J&T's willingness to pay $3 per delivery — more than double rival rates — suggests it is buying market access with margin, a costly bet if the platform clients it depends on continue to dictate pricing.
Read more: 36kr.com
