Jul 28, 2022|
JD Worldwide Upgrades Duty-free Business to Unleash Demand for Imported Goods
by Doris Liu
JD Worldwide, JD’s cross-border e-commerce arm, upgraded its collaboration with Hainan Tourism Investment Duty Free (HTDF) and China National Service Corporation (CNSC) to jointly lead the duty-free industry’s growth. The announcement was made on July 26 at the second China International Consumer Products Expo (CICPE) in Haikou, capital of Hainan province.
JD Worldwide is working closely with HTDF, an affiliate of Hainan Tourism Investment Development, and CNSC, a subsidiary of Sinopharm; both are among China’s dominant duty-free license holders. As a result, JD Worldwide continues to promote a global duty-free supply chain system with low cost, high efficiency and an excellent experience. The upgrade further assists the traditional companies to transform digitally around strengthening omni-channel capabilities, fostering a duty-free business ecosystem and marketing operation plans supported by digital intelligence.
After kicking off the duty-free business in 2021, JD Worldwide has partnered with several license holders to launch online duty-free stores, as well as Lagardere Travel Retail, the Joy City shopping mall in Xi’an and local governments to open physical duty-free stores and experience centers.
So far, JD Worldwide has been authorized for duty-free business by 72 international brands, ranging from baby care, cosmetics, food and beverage, home appliances, pets to other categories.
On the Super Day of JD Worldwide during the 618 Grand Promotion last month, the sales volume of duty-free products went up by 10 times year-on-year. The two mini programs of HTDF saw an increase of 95.9 percent in the average transaction value in the first quarter of 2022, compared with that of the fourth quarter in 2021.
The average volume per order in the first quarter of 2022 increased by a significant 95.9 percent sequentially compared to the fourth quarter of 2021.
The duty-free business layout is in line with the master plan of the Hainan Free Trade Port. Based on JD’s “responsible supply chain”, the duty-free retail integrated with cross-border and general trade models can be complementary to each other, bringing more growth momentum for overseas brands.
JD Worldwide also reached cooperation agreements with a series of brands such as French fashion house Balmain and emerging backpack brand Dr.Wilds at the expo in Haikou. In addition, the National Pavilion of Australia was announced, and will be available on JD.com soon to introduce a wide swathe of Aussie products.
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)
JD Releases “2022 Import Consumption Trend Report”
