Jingdong (JD.com), China's largest retailer by revenue, and DHL Group, the world's largest logistics provider, announced the signing of a memorandum of understanding (MoU). This agreement aims to support German brands' growth in China and enhance their presence in the European market through JD.com's Joybuy retail platform. The MoU was signed at JD.com's headquarters in Beijing, China.

The two parties agreed to collaborate on innovative logistics and e-commerce initiatives. This partnership focuses on creating seamless, integrated solutions that connect brands, sellers, and consumers across both continents. By leveraging DHL's extensive global logistics infrastructure and JD.com's robust e-commerce ecosystem, the collaboration opens new international expansion opportunities for German brands. Concurrently, the agreement strengthens DHL's position as a leading logistics partner in Europe and enhances JD.com's role as a trusted e-commerce gateway for global brands.

From left to right: Tobias Meyer, CEO of DHL Group; Dongming Wu, CEO of DHL Express China; Eric Zheng, Head of Global Services, Jingdong Logistics; Sandy Xu, CEO of JD.com. Photo: Jingdong

Under the MoU, DHL will introduce German businesses to JD.com to boost German brands and support their market entry into China. Through Jingdong Cross-border, German brands can sell directly to over 700 million consumers on JD.com without needing a legal presence or office in the country.

Combining the strengths of DHL and Jingdong Logistics, JD.com's logistics arm, German brands gain access to comprehensive, seamless solutions for market entry. Both companies will collaborate to design and provide integrated end-to-end logistics solutions, enhancing the order fulfillment experience from Europe to China. This solution allows sellers to benefit from preferential import tax and VAT mechanisms for direct B2C orders, significantly reducing costs compared to traditional import methods.

Moreover, JD.com offers extensive e-commerce capabilities, including store operations, product selection, consumer data analytics, marketing tools, and various other solutions. Coupled with DHL's decades of experience in international shipping and trade facilitation, this ecosystem provides a distinct competitive advantage for brands expanding into China.

Tobias Meyer, CEO of DHL Group, stated that this collaboration creates a solution combining four key elements: DHL's global strength, JD.com's extensive platform reach, preferential import mechanisms for B2C orders, and fulfillment and delivery capabilities in China. He added that the synergy between DHL's logistics expertise and JD.com's e-commerce capabilities will significantly benefit German brands, offering a clear path for scaling and effective consumer engagement tools.

Sandy Xu, CEO of JD.com, observed that many German businesses possess high-quality products and compelling brand stories. However, sustainable growth in China requires suitable distribution channels and robust operational infrastructure to reach consumers at scale. Through the MoU with DHL, both parties expect to combine logistics capabilities, digital infrastructure, and market access. This will help brands optimize product positioning, enhance market launch efficiency, and focus on long-term growth strategies.

Within the framework of this joint initiative, JD.com will also support German brands in reaching a broader group of European consumers through Joybuy, the company's new online retail operation in Europe. With its comprehensive e-commerce experience, Joybuy provides new sales channels and an expanded retail infrastructure for German businesses. This further reinforces DHL's role in promoting European e-commerce growth and assisting German brands in entering new markets.

JD.com, also known as Jingdong, is a leading supply chain-based technology and service provider. The company's advanced retail infrastructure aims to enable consumers to buy anything they want, whenever and wherever.

JD.com is currently ranked 44th on the Fortune Global 500 list and is China's largest retailer by revenue. The company has been listed on Nasdaq since 2014 and on the Hong Kong Stock Exchange since 2020. With a philosophy centered on customers first, innovation, dedication, responsibility, gratitude, and integrity, JD.com aims to enhance quality of life through technology and strives to become the world's most trusted enterprise.

DHL is a global leader in the logistics industry. DHL's divisions offer a comprehensive portfolio of services: domestic and international parcel delivery, e-commerce shipping and fulfillment solutions, international express delivery, road, air, and sea transport, and industrial supply chain management.

By Nhu Y (Source: Jingdong Corporate)