Jingdong Bypass Development of Sino-Russian Cross-border Trade

Recently, Heilongjiang Provincial Foreign Economic and Trade Group and Jingdong Group (hereinafter referred to as “Jingdong”) announced the signing of a strategic cooperation framework agreement. According to the agreement, the two parties will establish a comprehensive partnership and jointly arrange the cross-border e-commerce business in the Far East.

According to the "Joint Statement of the People's Republic of China and the Russian Federation on the New Stage of Comprehensive Strategic Collaboration Partnership" signed by China and Russia in 2014, the two sides will continue to work hard to promote bilateral trade volume, reaching 100 billion U.S. dollars by 2015 and reaching 2020 200 billion U.S. dollars.

In this regard, Jingdong said that he hopes to take advantage of the port of Suifenhe, and in-depth cooperation with foreign trade and economic groups to jointly promote the transformation and upgrading of Sino-Russian trade and leapfrog development, the Sino-Russian cross-border e-commerce trade bigger and stronger.

According to the terms of the agreement, Jingdong and the foreign economic and trade group will cooperate through in-depth exchanges and resource integration. On the one hand, Jingdong will use the two platforms of the Suifenhe Comprehensive Bonded Service Area in Heilongjiang Province and the “China Famous Brand Product Exhibition Center” in Russia to explore business models that suit the development characteristics of cross-border e-commerce between China and Russia; on the other hand, With the ease of customs clearance at the Suifenhe Port, Jingdong and Foreign Trade Group will work together to open up China-Russia cross-border trade import and export processes.

Wang Xiaotian, chief executive of the Foreign Trade and Economic Group, said that the cooperation between enterprise groups focused on traditional trade forms and e-commerce companies will further promote the development of Russia’s trade and utilization of logistics and warehousing infrastructure and create a new world of cross-border trade in the Far East. The vice president of Jingdong Group and Xu Diquan, president of Jingdong Group’s overseas division also pointed out that Heilongjiang Foreign Economic & Trade Group is a leader in the layout of China-Russia cross-border trade supply chain and is an important partner for Jingdong’s expansion of cross-border business in the Far East.

Heilongjiang Provincial Foreign Economic and Trade Group is a large-scale state-owned foreign trade enterprise under the State-owned Assets Supervision and Administration Commission of Heilongjiang Province. The main commodities include grain, oil, food, agricultural and sideline products, green food, textile products, machinery products, and livestock products. The group has two platforms for the Russian Far East: First, it invested 250 million yuan in the Suifenhe Free Trade Zone, built six 65,000 square meters of international standard multi-purpose plants, and second, it invested 1.76 in the city of Blagoveshchensk, Russia. Billion to build "China Famous Brand Products Exhibition Mall".

En.jd.com is Jingdong’s cross-border shopping platform for global consumers. Currently, it has opened two stations in English and Russian. Among them, the Russian station officially launched on June 18 this year. Jingdong has established cooperation with Russian Post, SPSR Express, Russian E-Commerce Ulmart, electronic wallets Yandex.Money and Qiwi.