By Yifan Wang

Cainiao Network Technology Co., the logistics arm of Alibaba Group Holding Ltd., will partner with New York-listed logistics-solutions provider BEST Inc. to launch a delivery service connecting China and Malaysia.

The action comes as Chinese tech giants face increasing hurdles to expand in the American market amid U.S.-China tensions.

The partnership, covering customs clearance, sea freight forwarding, overseas warehousing and last-mile delivery, will shorten delivery time for cross-border parcels between China and Malaysia, the companies said in a joint statement Wednesday.

"The establishment of a direct Malaysia-China e-commerce logistics service is continued affirmation of our investment into the region," Cainiao general manager James Zhao said.

Write to Yifan Wang at yifan.wang@wsj.com