In order to thoroughly implement the principles of "promoting a new round of large-scale equipment renewal and consumer goods trade-in" and "effectively reducing the logistics cost of the community" put forward by the fourth meeting of the Central Financial and Economic affairs Commission, and to grasp the development opportunity of the national "Action Program for Promoting Large-scale Equipment Renewal and Consumer Goods Trade-in", to serve the real economy and smooth the domestic cycle, and to serve the trend of digitalization, dual-carbon and green manufacturing, on March 21, 2024, GEM Co.,Ltd (hereinafter referred to as GEM) and Beijing Jingdong Century Trading Co., Ltd. (hereinafter referred to as "Jingdong Group" or "Jingdong") signed the "Strategic Cooperation Agreement on Building a Recycling, Digitalized Supply Chain and Recycling Platform for Waste and Used Commodities" (hereinafter referred to as the "Strategic Cooperation Agreement") at GEM Wuhan. Chen E-sheng, Vice President of Jingdong Group, and Prof. Xu Kaihua, Founder and Board Chairman of GEM, attended the signing ceremony.

According to the agreement, the two parties will rely on their respective resources and capacity advantages, establish a long-term and solid cooperative relationship, explore opportunities for strategic cooperation, share advantageous resources and create new industries together, and promote in-depth cooperation in the areas of e-commerce channels, digital supply chain, industrial internet, digital recycling and consumer goods trade-in platform construction, optical storage and charging integrated industrial and commercial energy storage, as well as intelligent forklift, AGV logistics sorting digital intelligent scene development, closed-loop supply and consumption of green and low-carbon recycling materials, and other areas of cooperation.

Before the signing ceremony, Vice president Mr. Chen E sheng  and his delegation visited GEM "Urban Mining" Museum and GEM Green Industry (Wuhan) Innovation Research Institute to learn about GEM's core philosophy, global layout and innovative R&D achievements, and go deep into the world's leading production lines for dismantling scrap cars, electronic waste treatment and power battery recycling. They also discover about GEM’s development achievements in the fields of end-of-life automobile recycling and treatment and overall resource utilization, e-waste recycling and high-value utilization, waste battery recycling and power battery material manufacturing.

At the signing ceremony,  Prof. Xu Kaihua, Founder and Board Chairman of GEM, firstly expressed his gratitude to Mr. Chen E-sheng, Vice President of Jingdong, for leading the Jingdong team to bring "east wind" to GEM. He said that through the leading global digital supply chain technology capabilities, Jingdong creates the ultimate experience of "multiple, fast, good, save" for users, and becomes the best practice of digital integration in the industry. At the same time, Jingdong actively serves the digital transformation and upgrading of traditional industries based on its own digital supply chain infrastructure and capabilities, and helps the new industrialization with its digital supply chain "new quality productivity", which creates great industrial value.

Afterwards, Prof. Xu Kaihua, Founder and Board Chairman of GEM, elaborated on the opportunity and development of the cooperation between GEM and Jingdong from three aspects, such as platform, logistics and recycling.

First, we need platforms. The development of modern enterprises need to rely on the platform to develop. As we say, building a circle and creating a chain is to open up the supply chain and industrial chain, and Jingdong is one of the best supply chain service platforms. In recent years, GEM has carried out work to standardize governance and improve the quality of governance of listed companies. We have gradually outlawed unregulated and unscaled suppliers and formed the Jingdong platform purchase model. In the future, GEM will also continue to make good use of the global procurement platform built by Jingdong Group for cost reduction, efficiency improvement, supply assurance and compliance.

Second, Jingdong is a leading supply chain and technology services company. Logistics is a shortcoming for mainland enterprises to compete with global enterprises, and plays a leading role in modern industrial development and the new round of economic competition. The high cost of logistics restricts the development of mainland enterprises, and the fast logistics of Jingdong Group is able to promote inland enterprises to gain advantages in the new round of economic competition.

Third, GEM is a recycling company and requires leverage on the Jingdong Group to jointly build a reverse recycling platform. Where consumption ends, the cycle begins; where scrapping begins, forward manufacturing will be revitalized. The new round of "trade-in" market and potential is huge, but there is a lack of logistics, a lack of innovation in business models. The common problem faced by circular economy companies represented by GEM is how to bring these scrapped cars and wasted home appliances back to the company. GEM hopes that the new round of "trade-in" will be conducted in-depth together with Jingdong Group, and that the recycling end will be made into a platform for recycling, which will be carried out in thousands of households. Leveraging Jingdong Group's logistics system and good reputation, we will build a reverse recycling platform to bring end-of-life automobiles and wasted home appliances from the consumer side back to the recycling and disposal side.

Prof. Xu Kaihua  finally emphasized that Jingdong Group is a company providing value for the industry, for the development of new productivity, and for the green development of the society. GEM should embrace the digital technology represented by Jingdong Group, build a circle and a chain, jointly explore a new business model, formally launch a new round of recycling model seminars, grasp a new round of the country's "trade-in" outbreak of big opportunities, launch a new round of urban mining, promote the development of the circular economy, and promote the great development of GEM in the future.

Chen E-sheng, Vice President of Jindong Group, said in his speech that he found the answer to the question of "what is the real new quality productivity" at GEM, and strengthened his confidence in the recycling industry. He briefly introduced Jindong and expressed his knowledge and feelings about "new quality productivity" and supply chain costs. Mr. Chen E-sheng said that Jingdong hopes to help GEM become an "open, linked and shared" chain master enterprise through business model innovation. An enterprise that wants to develop into a chain-leading enterprise needs to establish a digital and intelligent supply chain to ensure that the upstream reduces costs, increases efficiency and ensures compliance. Only when the upstream supply of raw materials and components, for instance, is running at the highest efficiency, lowest cost, fastest fulfillment inventory and the least amount of stagnant inventory, can it be made into the best product in the world. In the future, Jingdong Group expects to cooperate with GEM, join hands with leading enterprises in various industries in China, draw the blueprint of trillion-dollar industry, improve core competitiveness, realize sustainable development together and jointly explore overseas markets.

At the event, GEM had a business exchange with Jingdong Group. Pan Hua, Deputy General Manager and Secretary of the Board of Directors of GEM Group, made a brief report on three aspects, including what is GEM, The story of GEM expanding overseas, and the future of GEM, under the title of "Treading Waves Expanding Overseas, Breaking through New Opportunities". He also shared GEM’s excellent practices in investing in Indonesia through various modes such as industry, capital,, technology and culture expanding overseas, to create a model and benchmark for Chinese enterprises to invest in Indonesia.

Jingdong Group shared in-depth information on Jingdong's industrial supply chain capacity building, Digital Intelligence supply chain solutions, one-stop solutions for international business, integrated supply chain, and other contents. Making suggestions for GEM's digital intelligent transformation and building a digital intelligent ecological industry chain.

In the following, Qi Jie, Vice President of Jingdong Industry, and Dr. Zhang Yuping, Deputy General Manager of GEM Group and Chairman of Wuhan Power Battery Recycling Technology Co., Ltd. signed the strategic cooperation agreement as the representatives of the two sides, witnessed by Vice President Chen E-sheng and Chairman Xu Kaihua.

This time, GEM and Jindong Group signed a strategic cooperation agreement, which will help both parties complement each other's advantages, join forces and build a close strategic partnership of win-win and sustainable development; it will help the company actively grasp the opportunities of national promotion of “Large-Scale Equipment Update and Consumer Goods Trade-in Action Plan",  enhance the company's industry status and competitiveness in the fields of recycling, green and low-carbon; it will help further promote the company's digital transformation and upgrading, achieve cost reduction and increase efficiency, and promote the company to achieve high-quality development.

The relevant business leaders of Jingdong Industry and Jingdong Logistics, Lu Xijin, Chairman of the Supervisory Board of GEM Group, and Dr. Qin Yufei, Chairman of Jiangxi Green Recycling Co., Ltd. attended the signing ceremony.

GEM and Jingdong Group held a signing ceremony for strategic cooperation

Prof. Xu Kaihua, Founder and Board Chairman of GEM, delivered a speech

Chen E-sheng, Vice President of Jingdong Group, delivered a speech

Chen E-sheng, Vice President of the Company (second from left, front row) and his entourage visited GEM "Urban Mining" Museum

A group photo of the Jingdong team with the GEM team