Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Green Logistics
• Employee Well-being
• Supply Chain Responsibility
• Corporate Governance

Environmental Achievements

• Successfully completed rooftop photovoltaic installations at 17 JD Logistics Asia No. 1 smart industrial parks, 2 sorting centers, 2 bulky item warehouses, and 1 logistics park, with a total installed capacity of 114.48 megawatts.
• Deployed a total of 8,290 self-owned new energy vehicles for trunk and terminal transportation.
• Reduced secondary packaging by over 800 million units in 2023.
• Introduced 1 million reusable express packages as part of the “Green Stream Initiative”.
• Reduced carbon emissions by approximately 69,515 tonnes through green packaging.
• Annual procurement of photovoltaic green power was 47,344.4 MWh, reducing carbon emissions by 27,000 tonnes.

Social Achievements

• Allocated RMB 82.1 billion towards human resources, marking a 23.9% increase in frontline employee salaries and benefits compared to the previous year.
• Launched the “JD Selection Plan” 1.0 to connect farmers with internet influencers, providing integrated solutions for product selection, quality control, marketing, and logistics.
• Increased express delivery orders for agricultural products and local specialties by 30.2% from the previous year.
• Launched emergency response mechanisms during crises such as floods and earthquakes, promptly mobilizing emergency supplies.
• Provided high-quality logistics services for over 100 marathons in cities across the country.
• Distributed over RMB 20 million from relief funds, helping more than 250 employees and their families.
• Employees volunteered for a total of 11,233 hours.

Governance Achievements

• Implemented a robust compliance management system to ensure that all business operations adhere to relevant laws, regulations, and regulatory standards.
• Established a mechanism for identifying, assessing, monitoring, and responding to various types of risks.
• Conducted online integrity and compliance training and exams for the entire workforce, achieving a 100% completion rate.
• Implemented the “Accountability Basics and Control (ABC)” system to empower managers in preventing corruption.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to extreme weather events (floods, droughts, high temperatures).
• Increasingly stringent energy and resource efficiency regulatory requirements.
• Fluctuating energy prices.
• Costs associated with the research and development and transition to low-carbon technologies.
• Challenges in managing returned goods due to increased e-commerce returns.
• Ensuring the safety and well-being of frontline staff in challenging working conditions.

Mitigation Strategies

• Investing in supply chain infrastructure and advancing digital and intelligent technologies.
• Implementing emission reduction actions and solutions to actively address climate change.
• Establishing a comprehensive carbon emission monitoring system.
• Optimizing logistics network by using more efficient transportation and storage equipment.
• Establishing emergency mechanisms such as maintaining stable relationships with suppliers and stockpiling necessary supplies.
• Implementing a range of safety measures tailored to various business scenarios and lines.
• Conducting concentrated inspections and rectifications at delivery sites to eliminate hazards.
• Utilizing driving data and driver assistance systems to monitor road traffic safety.

Supply Chain Management

Supplier Audits: 1,588 key suppliers assessed in 2023

Responsible Procurement

• ESG ratings assigned to key suppliers based on assessment outcomes.
• Corrective measures implemented for suppliers with subpar performance.
• ESG training provided to key suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Floods
• Extreme high temperatures
• Droughts

Transition Risks

• Energy and resource efficiency regulatory requirements
• Enhanced requirements for carbon emissions disclosures
• Environmental standards
• Carbon pricing mechanism
• Fluctuant energy prices
• Low carbon technology R&D and transition costs
• Stakeholder attention

Opportunities

• Green and low-carbon logistics services
• More climate-resilient supply chains
• Shifts in consumer preferences

Reporting Standards

Frameworks Used: GRI Standards, TCFD Recommendations, UN Sustainable Development Goals (SDGs)

Certifications: ISO 14001

Third-party Assurance: Bureau Veritas

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)
• Goal 8 (Decent Work and Economic Growth)

JD Logistics' initiatives contribute to these goals through green logistics, renewable energy adoption, employee well-being programs, supply chain sustainability, and community engagement.

Sustainable Products & Innovation

• Reusable express packages
• Optimized reusable cooler boxes
• X series cardboard boxes
• Hydrogen-fuelled heavy trucks
• Intelligent delivery vehicles

Awards & Recognition

• 2023 ESG Governance Award
• Ranked 4th in the Top 50 logistics Enterprises in 2023
• Ranked 2nd in the Top 50 Private Logistics Enterprises in 2023
• S&P CSA rating of 52 points
• CDP Climate Change rating of B-
• MSCI ESG rating of BB
• Shortlisted in 2023 Top 25 Global Logistics Brand Values by Brand Finance
• Shortlisted in 2023 Top 10 Strongest Global Logistics Brands by Brand Finance
• Outstanding Logistics and Supply Chain Service Provider Award