Chinese eTailer JD.com is shutting down its business in Indonesia and Thailand as the company looks to focus its international strategy on supply chain and logistics services.
The marketplace plans to stop accepting orders in Indonesia by mid-February and fully wrap up its seven-year-old business in the country by the end of the following month. Meanwhile, the company plans to fully withdraw its presence in Thailand by March 3, 2023, four years after it launched its Thai website, JD Central.
“JD.com will continue to serve the global markets, including Southeast Asia, through its supply chain infrastructure,” the company said. “We are developing in international markets by focusing on building a cross-border supply chain network with logistics and warehousing at the core.”
The shift in the company’s strategy mimics its key rival, Alibaba Group, which is doubling down on offering services such as supply chain management and warehousing in international markets. Both of the companies are pivoting their strategies to cut costs amid slowing growth and the Chinese government’s continued crackdown on internet firms, according to Bloomberg.
Photo credit: JD.com