JD.com to Launch Flagship U.S. Store on Google–Bloomberg

What happened: By the end of this year, China’s second-largest e-commerce platform will be hosted on Google platforms, according to JD Logistics strategy director Bao Yan: “When Google Shopping launches, JD will have a flagship store.” JD.com will sell directly to American customers, shipping out products from US-based fulfillment centers. The platform already has laid the foundation for a shipping infrastructure system in Los Angeles, but will “work closely with partners to build a full network.” Google, which invested $550 million in JD.com this year, will take charge of processing orders and payments.

Why it’s important: At home, JD.com faces heavy competition from the likes of Alibaba and Pinduoduo, suffering losses of over $300 million in the second quarter of this year. In response, it has entered new fields like express package delivery in China. By expanding internationally, the shopping platform likely hopes to continue supplementing its income and spurring new growth. Google, too, has been switching up its approach to e-commerce this year, issuing a direct challenge to long-time rival Amazon.

Bailey Hu is based in China’s hardware capital, Shenzhen. Her interests include local maker culture, grassroots innovation and how tech shapes society, as well as vice versa.

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