JD takes green route to sustainable growth
Online retailer to use materials for packaging that do not harm nature
Online shopping giant JD is putting more efforts into carton recycling and promoting the use of sustainable, greener packaging materials through its Green Stream Initiative, as part of the commitment to run its business more sustainably.
The company’s logistics arm recently pledged 1 billion yuan ($158 million) to establish a Green Logistics Fund to promote the use of sustainable, green packaging materials throughout the supply chain.
JD will work with international logistics giants such as DHL, La Poste, Yamato and SF Express, consumer products conglomerates such as Nestle and French food group Danone, and environmental protection organizations in this effort.
In addition, JD transitioned from paper to electronic invoices in 2013, and has saved over 1 billion sheets of paper in the last two years alone. Through its efforts to “slim down” its packaging, JD saved enough cardboard last year to fill 6,000 soccer stadiums.
“Being a positive contributor to society has been core to our mission as a company since day one,” said Liu Qiangdong, chairman and CEO of JD. “We are using our technology and resources to empower partners and support customers’ increasing desire to do their part and respond to their demand for a more sustainable lifestyle.”
“In the future, we look forward to continuing to develop our capabilities to cement our position as China’s destination of choice for sustainable retail.”
By 2020, JD expects to reduce the number of boxes used throughout the supply chain by 10 billion—the total number of all boxes used in China in the whole of 2015.
It also expects that 80 percent of packaging materials will be recyclable, with over 50 percent of plastic packages replaced by biodegradable material and 100 percent of logistics packaging materials to be composed of recyclable or reusable materials, JD said in an earlier statement.
In June, it began operating its first fleet of clean energy delivery trucks in Beijing, Shanghai and Chengdu — becoming the first domestic logistics player to employ largescale green delivery vehicles.
Early last month, JD partnered with the United Nations Development Programme to further enhance its global leadership in sustainability. They will work together to explore the establishment of a sustainable recycling platform to connect previously segmented players and creatively address waste and pollution issues during the production and consumption process.
Moreover, it has recently committed to transitioning 700 of its logistics vehicles in Beijing to electric, thus further reducing carbon dioxide emissions.
JD’s domestic rival — Cainiao Network Technology Co, the smart logistics network of e-commerce giant Alibaba Group Holding launched its first “Green Action” with a clear goal, equivalent to planting 36 million trees, reducing carbon emissions by 3.62 million metric tons and replacing 50 percent of its express packaging with fully-biodegradable and environmentally friendly materials by 2020.
Being a positive contributor to society has been core to our mission as a company since day one.”
Liu Qiangdong, CEO of JD