JD Logistics pledges to construct green supply chain

JD Logistics, the delivery arm of e-commerce giant JD, announced on Monday it will invest 1 billion yuan ($155 million) in establishing a green supply chain system, expecting its carbon efficiency to be increased by 35 percent within the next five years.

The company will continue to expand its investment in cutting-edge supply chain technology to improve operational efficiency, reduce costs and reconstruct its business model, JD Logistics CEO Yu Rui said during the sixth Global Smart Supply Chain summit held in Beijing.

JD Logistics called for collaborating with upstream and downstream partners to promote the application of more recyclable packages and new energy vehicles, and transform supply chain operations and management with digital technology.

It plans to halve its carbon emissions by 2030 compared to 2019. Yu added the company will also accelerate steps to expand its logistics and delivery network in rural areas to promote rural revitalization. 

JD Logistics' integrated supply chain and logistics service will provide not only solutions for strategic planning but also execution, in addition to support for network building and operations, Yu added.

The company is making full use of 5G, artificial intelligence, big data, cloud computing and internet of things to continuously improve its capabilities in automation and digitalization. 

In addition, JD Logistics unveiled its latest Level-4 autonomous delivery vehicle, which is equipped with upgraded radar and a wider angle camera that can check the environment without blind spots.

Yu said it will apply thousands of autonomous delivery vehicles in the next two to three years. So far, JD Logistics' autonomous delivery vehicles have been used in 25 cities across the nation, with about 2 million orders fulfilled.