JD Logistics — the logistics arm of Chinese e-commerce giant JD.com — and Volvo Cars has signed a partnership on August 10 to collaborate in building the supply chain service of the middle and high-end auto aftermarket.
In a statement, JD said the two parties will jointly sort out the warehousing and transportation networks of Volvo’s auto spare parts supply in China and carry out dynamic adjustment to enable the agile operation that meets dealers’ demands to the largest extent.
It said that using its big data for smart replenishment will enable the streamlining of inventory management, with expectations that Volvo’s auto spare parts warehouses will see improvement of the delivery lead time to over 50%.
Volvo will also provide a doorstep delivery service for its car owners who purchase auto accessories and related products at the brands’ offline dealer shops, leveraging JD’s logistics network.
Xiaolin Yuan, president and CEO of Volvo Cars Asia Pacific says that the cooperation between Volvo and JD Logistics in the auto aftermarket will enable the two parties to seize new opportunities in industry digitalization, and streamline the supply chain of auto spare parts. It will help both companies achieve high quality development.
CEO of JD Logistics Rui Yu says that the collaboration is based on JD Logistics’ long term cooperation with Volvo, and is of great significance for JD Logistics to explore the integrated supply chain service model for the aftermarket industry.