JD Industrials (07618) has officially published its 2025 Environmental, Social, and Governance Report, marking its first annual ESG report since listing. The document systematically discloses the company's full-chain achievements in sustainable development. Embracing JD Group's core value of "Success through Integrity," the report highlights JD Industrials' commitment to leading the transformation and upgrading of industrial supply chains and promoting high-quality industry growth across three key areas: digital transformation, industrial chain collaboration, and green, low-carbon initiatives.
Technology Empowerment: Strengthening the Core Engine of Digital Transformation The report indicates that JD Industrials is dedicated to driving supply chain efficiency through technological innovation. It has independently developed the "Taipu" integrated digital-physical supply chain solution, which incorporates the capabilities of the JoyIndustrial AI model covering the entire industrial chain. This solution has already been implemented across manufacturing, energy, transportation, and other sectors, helping industrial enterprises of various sizes reduce costs and increase efficiency within their supply chains. In 2025, JD Industrials launched the industry initiative "Chain Activation, Trillion-Cost Reduction," aiming to upgrade industrial supply chain processes through digital intelligence technologies. The initiative is projected to reduce total transaction costs across China's industrial supply chains by over one trillion yuan, unleashing new growth opportunities for the industry. Empowered by AI technology, the company saved over 12,400 internal operational hours in 2025, achieved a 73% coverage rate for industrial intelligent customer service, and reduced manual operation time by 89.6%. These improvements not only enhanced delivery stability but also injected digital transformation momentum into the entire industrial chain. By the end of the reporting period, JD Industrials had filed 81 patent applications and obtained 20 authorized patents, providing solid technical support for sustainable development.
Collaborative Win-Win: Building a Resilient and Prosperous Industrial Ecosystem As an industrial supply chain platform connecting supply and demand, JD Industrials has fully integrated ESG requirements into supplier lifecycle management. It has established a comprehensive ESG control system covering supplier onboarding, assessment, and exit, and officially obtained green supply chain management system certification in 2025. The company adheres to transparent and compliant procurement practices, with 100% of its suppliers signing an Anti-Commercial Bribery Agreement. By joining the "Sunshine Integrity Alliance," it facilitates the sharing of dishonesty information. Additionally, suppliers of BOM direct materials are required to sign an Anti-Counterfeit Agreement, ensuring 100% traceability of core materials and guaranteeing supply chain compliance and stability. In driving mutual development across the upstream and downstream sectors, JD Industrials is committed to building a "digital highway" that efficiently links supply and demand. Leveraging its unique "One Product, Four Ends" capability—serving large enterprise clients, small and medium-sized enterprise clients, individual customers, and overseas markets—it supports the high-quality development of Chinese industrial goods enterprises. The company has launched a special support plan for "shifting from export to domestic sales," helping foreign trade factories quickly expand into the domestic market. It also initiated the industry action "No False Labeling for Chinese Industrial Products," establishing a full-chain quality control system and implementing a "tenfold compensation for counterfeits" policy to promote industry standardization through concrete actions. Addressing customer pain points related to supply chain risks, JD Industrials uses digital tools to help clients establish risk early-warning mechanisms. It successfully resolved a long-tail material supply disruption crisis for a major home appliance client, improving risk decision-making efficiency by 70% for both parties and significantly enhancing the risk resilience of the entire industrial chain.
Low-Carbon Development: Exploring Green Transformation Paths in the Industrial Sector JD Industrials integrates low-carbon principles throughout its operational processes, systematically advancing full-chain carbon reduction actions from green warehousing and packaging to green transportation. In collaboration with suppliers, the company promoted the use of post-consumer recycled (PCR) stretch film, reducing carbon emissions by approximately 1,780 tons between May and December 2025—equivalent to the annual carbon absorption of a forest covering 300 standard football fields. In 2025, through optimized water management, the company saved 850 tons of water year-over-year, a reduction of 4.84%. Fine-tuned energy management resulted in electricity savings of 59,100 kWh, a decrease of 2.74%. The deployment of distributed photovoltaic power generation systems on warehouse rooftops generated 26,400 kWh of electricity, steadily advancing the transition to a cleaner, low-carbon energy structure. The company has obtained multiple authoritative green certifications, including ISO 14001 Environmental Management System and ISO 50001 Energy Management System. It has established a full-process management system covering climate change risks, systematically identifying various risks such as extreme weather and tightening policies, and developing response plans to enhance climate resilience.
In terms of governance, compliance, and social responsibility, JD Industrials has built a "Three Lines of Defense" compliance management system, achieving a 96% risk interception rate in 2025 with no major corruption litigation cases throughout the year. Business ethics training achieved 100% employee coverage. The company fosters a diverse and inclusive work environment, with female employees accounting for 41.7% of the workforce in 2025 and employee satisfaction reaching 4.62 out of 5. In 2025, it completed projects such as emergency supplies allocation for flood prevention and disaster relief in Miyun, Beijing, and public welfare activities supporting frontline workers, fulfilling its corporate citizenship responsibilities. A representative from JD Industrials stated that the company regards excellent governance as the fundamental guarantee for sustainable development. Through a transparent, standardized, and forward-looking framework, it integrates ESG principles deeply into strategic decision-making and daily operations. Looking ahead, JD Industrials will continue to embed ESG concepts into its strategic operations, leveraging digital intelligence technologies to upgrade industrial supply chains towards greater efficiency, sustainability, and inclusivity, collaborating with industry partners to achieve high-quality sustainable development.
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