JD.com is China’s leading one-stop e-commerce platform. According to Economic Times, JD.com announced that in the “618” online shopping festival this year, the company’s annual growth rate hit a new low of 10.3%, sharply down compared to 2021 with a growth of 27.7%.
JD.com’s report shows that the Chinese economy continues to decline sharply due to the “zero-Covid” anti-epidemic policy, which is criticized as extreme.
Reuters reported on May 16 that China’s retail and factory activity dropped sharply in April because of Covid-19 lockdowns measures that have been applied to major cities for months.
These lockdown measures have hurt production and consumption and heightened risks for those parts of the global economy heavily dependent on China.
According to New Talk, the “618” event has always been regarded as the main competitive event for JD.com and has achieved good results every year. But this time, many businesses have indicated that they will not participate in ‘618’.
Economic Times reported that “618” has been popular in China. Many delay purchases to join this festival to buy items with significant reductions.
There have been signs of a slowdown in the Chinese economy since last year, when Alibaba saw the slowest ever sales growth during its Singles Day frenzy.