Volvo and JD signed deal to work together on supply chains

JD Logistics and Volvo Cars signed a partnership on Aug. 10 to collaborate in building the supply chain service of the middle and high-end auto aftermarket.

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.

Smart replenishment based on big data will be enabled for the streamlining of inventory management. Volvo’s auto spare parts warehouses will be extended from 4 to 8 after the upgrade, with an expected improvement of the delivery lead time to over 50% of its dealers.

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. Yu hopes the two parties will continue to cooperate in more areas to jointly optimize the industry efficiency and provide an even more premium experience for consumers.

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