JD.Com Cuts Ties With Two Alibaba-Backed Couriers
Tang Shihua
DATE:  Aug 14 2017
/ SOURCE:  Yicai
JD.Com Cuts Ties With Two Alibaba-Backed Couriers JD.Com Cuts Ties With Two Alibaba-Backed Couriers

(Yicai Global) Aug. 14 -- Chinese e-commerce giant JD.Com Inc. [NASDAQ:JD] has officially cut ties with two delivery companies associated with competitor Alibaba Holding Group Ltd. [NYSE:BABA] as rising tension between the two begins to take its toll on company partners.

Beijing-based JD.Com told its merchants on Aug. 11 that it will end its partnerships with Tian Tian Express Co. and Changshu Baishi Express on Aug. 21, and stop tracking delivery updates on orders place through the two couriers, Chinese online news outlet The Paper reported.

Tian Tian Express is owned by Suning Commerce Group Co. [SHE:002024], whose largest shareholder is JD.Com's main competitor, Alibaba. The Hangzhou-based online retailer is also a major shareholder in Baishi Express.

However, the decision was just a "normal follow up to business operations," a source at JD.Com said.

The company suspended its partnership with Tian Tian Express due to its poor service ranking in late July, a decision quickly protested by Suning. At the same time, it removed Baishi from its list of recommended couriers without explanation, but did not officially end their cooperation.

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Keywords:   MSCI,E-COMMERCE,Alibaba