Chinese e-commerce giant JD.com is pulling the plug on its Thailand and Indonesian platforms in a major setback for the company’s overseas expansion efforts, according to the South China Morning Post.
In announcements posted to their websites on Monday, JD Central will cease operations in Thailand on March 3, while JD.ID will stop in Indonesia respectively on March 31, as parent JD.com refocuses its supply chain and logistics strengths and pushes domestic growth.
This follows an earlier report by Techloy that the e-commerce giant was mulling ways to exit the markets as a result of its unyielding venture in the countries despite major investment in the Southeast Asian market.
Increased competition from local behemoth Tokopedia, Shopee and other major competitors in the regions, also saw JD.ID and JD Central both struggle for a share in those markets.
JD plans is now pivoting from running its own regional e-commerce platforms to building “a cross-border supply chain network with logistics and warehousing” to serve regional global customers, including those in Southeast Asia, a company representative confirmed.