May 28, 2021|
JD Logistics Lists on HKEx
by Ella Kidron
JD Logistics listed on Hong Kong Stock Exchange (HKEx) on Friday, May 28 with the ticker 2618.HK. An IPO celebration ceremony was hosted at JD.com’s headquarters in Beijing, virtually connected to the exchange in Hong Kong. The opening price was HKD 40.36, and the IPO raised an estimated HKD 24.11 billion.
Nine representatives stood on the stage in Beijing to virtually ring the gong. They included JDL’s customers, clients and frontline employees. Willie Tan, executive officer of Skechers Greater China, Southeast Asia and South Korea, and JD Logistics’ six-axis robot (a logistics robot arm used in warehouse automation) sounded the gong together.
JD Logistics CEO Rui Yu and the JD Logistics management team
Rui Yu, CEO of JD Logistics said in his remarks at the ceremony: “JD self-built its own logistics network in 2007. In the past 14 years, JD Logistics has taken the improvement of the customer experience as its responsibility. Through unrelenting investment in logistics infrastructure and technology, JD Logistics has launched services such as “211” (same- and next-day delivery) and 24-hour delivery in tens of thousands of counties and towns, redefining logistics service standards and providing JD.com customers with the best experience in the world.”
JD Logistics CEO Rui Yu
JD Logistics is the largest integrated supply chain and logistics provider in China in terms of revenue in 2020. The company operates a network of over 1,000 warehouses covering approximately 21 million square meters. It opened its first Asia No. 1 warehouse in Shanghai in 2014 and now has 32 such warehouses across China, including a fully unmanned warehouse which can process more than 1.3 million orders per day during peak seasons. JD Logistics has over 240,000 personnel, including 190,000 in-house couriers who deliver all across the nation, including the hardest to reach areas of remote villages and islands, day in and day out.
Yu added: “Following 10 years of incubation and accumulation of experience, JD Logistics opened up to the outside world in 2017, embarking on a new period of ‘integrated supply chain’ development. In 2020, JD Logistics provided supply chain solutions and logistics services to more than 190,000 enterprise customers around the world, earning their recognition and trust.” In addition to its own warehouse fleet, the company has over 1,400 cloud warehouses operated by third-party warehouse operators, enabling existing warehouses to become intelligent and digitalized thanks to JD’s technology. Today JD Logistics external client revenue has already reached 46.6% of total revenue.
Reflecting on the meaning of the IPO, Yu said: “This IPO allows JD Logistics enter a new stage of development, and also symbolizes taking on more social responsibility. In the future business scale and people organization will change, but the ‘customer first’ philosophy certainly will not. Business logic based on experience, efficiency and cost will not change. Adhering to the ‘noble principle of doing the right thing the right way’ also definitely will also not change.”
According to the company’s prospectus, JD Logistics proceeds will be used to upgrade and expand its logistics networks; to develop advanced technologies to be used in its supply chain solutions and logistics services; expanding the breadth and depth of existing solutions and for penetrating existing customers and attracting potential customers, specifically though investments in sales and marketing personnel and industry solutions development; and general corporate purchases and working capital needs.
Yu closed: “In the future, JD Logistics will take “driving superior efficiency and sustainability for the global supply chain” as its mission and use its technology-driven integrated supply chain to maximize its support of the real economy and the development of new businesses and continue to provide clients with the a high quality experience and enable them to enjoy the most trustworthy service. We will also work with our partners to reduce social logistics costs and drive efficiency improvement for business and society.
JD Logistics is the third JD entity to list on HKEx, joining JD.com (9618.HK), which completed its secondary listing on HKEx last Jun. 18, and JD Health (6618.HK), which listed last Dec. 8.
Nov 7, 2024|
CIIE 2024: JD.com to Expand Imports of Specialty Brands, Strengthen Healthcare Partnerships, and Enhance Logistics
At the 7th China International Import Expo (CIIE) on November 5, JD Super, the supermarket division of JD.com, announced a major initiative to broaden its selection of imported specialty. Over the next three years, JD Super plans to introduce over 1,000 new international brands to meet the increasing demand for high-quality, diverse imported goods.
Meeting the Growing Demand for Quality Imports
According to JD Worldwide’s “White Paper on 2024 China Cross-Border Consumption Trends,” more than 80% of Chinese consumers are interested in imported products, with many prioritizing authenticity, quality, and fast delivery. In response, JD has significantly expanded its range of international offerings. During the ongoing Singles’ Day Grand Promotion, sales of cross-border products have surged, with more than 600 brands experiencing a sales increase of over 100% compared to last year.
Strengthening High-Quality Food Partnerships
Demonstrating JD.com’s commitment to sourcing high-quality products, JD Super signed a new procurement agreement at CIIE with Huadong Foods and Teys, a major Australian beef brand under Cargill. Under this agreement, JD Super and Huadong Foods will procure $50 million of Teys beef throughout 2025. This partnership underscores JD’s strategy of collaborating with trusted suppliers to provide high-quality, affordable beef to Chinese consumers.
Delivering Authentic Global Goods Efficiently
JD Logistics has built a robust logistics network that spans bonded, direct mail, and overseas warehouses, facilitating fast deliveries of imported items across categories such as electronics, fashion, beauty, food, and baby products. In many major cities, delivery times have been reduced to under 48 hours.
For instance, JD Super’s partnership with Raub of Malaysia enables the import of Musang King durians, which are harvested at peak ripeness and air-shipped with cold chain logistics for delivery within 24 hours. Additionally, JD.com also secured an early supply of Chilean cherries, available since October, which can be delivered in as little as 30 minutes in many areas through JD NOW, its on-demand retail service.
JD.com’s “JD National Pavilions” program, which features over 150 country-themed flagship stores from more than 70 countries and regions, continues to be a cornerstone of its import strategy. Supported by embassies and reputable organizations, this initiative offers Chinese consumers access to premium products and cultural experiences from around the world. In April, JD launched the JD National Pavilion of Mali, introducing popular items like shea butter and garnering over 40,000 followers.
Expanding Healthcare and Logistics Partnerships
JD Health is also making strides at CIIE by strengthening partnerships with leading global healthcare companies, including Merck, Bayer, and Roche. As “China’s premier online health access point,” JD Health is committed to integrating digital and physical healthcare resources to improve access and convenience for patients.
Key collaborations include initiatives with Haleon to promote brain health and anti-aging for the “silver economy,” with MSD China on a digital diabetes management model, and with Teva Pharmaceuticals to provide patient education for conditions such as tardive dyskinesia (TD) and Huntington’s disease (HD).
On the logistics front, JD Logistics announced plans to double its overseas warehouse space by 2025 and expand its network of bonded and direct mail warehouses. JD Express now serves over 60 countries, enhancing cross-border delivery efficiency and supporting both brands and consumers.
Through these efforts, JD.com reaffirms its commitment to sourcing and delivering authentic, high-quality imported products to Chinese consumers, supported by an advanced supply chain that ensures a superior shopping experience.
(vivian.yang@jd.com)
Nov 5, 2024|
JD Logistics Introduces “Zhilang” Intelligent Warehousing Solution at CeMAT Asia 2024
JD Logistics (also known as JINGDONG Logistics) announced today at CeMAT ASIA 2024 its latest Goods-to-Person (GTP) automated warehousing innovation, the “Zhilang” solution. Meaning “Intelligent Wolf”, Zhilang is a proprietary system that improves picking efficiency by over three times compared to traditional methods. This advanced system is already supporting operations during the Singles Day Grand Promotion.
The Zhilang GTP solution combines several technologies, including handling AGVs, lifting robots, and shelving systems, along with automated inbound and picking workstations and an empty tote reflow line. Leveraging warehouse height, Zhilang increases storage density to 2.5 times the industry average for facilities up to 10 meters high.
The system’s modular design enables handling AGVs and lifting robots to operate independently. Powered by JD Logistics’ self-developed “upper tote storage and lower picking scenarios” algorithm and “buffer storage” technology, the network is fully flexible for optimized routing. The high-precision navigation algorithm, dual-direction laser obstacle detection technology, and vision-based verification ensure precise retrieval with minimal error. Additionally, Zhilang’s payback period is 30% shorter than comparable solutions.
Currently, nearly 100 Zhilang AGVs and lifting robots are in operation at an intelligent logistics park in Beijing, handling nearly a million items, from tops to shoes. With a click, pickers receive requested items directly from the robots, enabling a seamless, automated order fulfillment process from inbound to outbound.
JD Logistics continues to advance logistics operations with a wide array of solutions, including the the Tianlang Tote Shuttle GTP system, Dilang AGV GTP system, Four-way Pallet Shuttle Storage system, Auto Remin Wall, and the Aidong mobile data terminal. In terms of software, JD Logistics’ WCS (warehouse control system), WES (warehouse execution system), RMS (robotics management system), 3D SCADA (3D supervisory control and data acquisition), and Lomir intelligent logistics park management platform, are used in over 1,600 JD-operated warehouses and client facilities.
As JD Logistics expands globally, its solutions now serve thousands of corporate clients across dozens of countries and regions, including Poland, the Netherlands, Germany, South Korea, the United States, and throughout Southeast Asia, the Middle East, and beyond.
Photo Gallery: This Week at JD (May 22 – May 28)
