By 2025, the total retail sales of consumer goods in China have just exceeded 50 trillion yuan. The next target set by the "15th Five Year Plan" for consumption is to reach 60 trillion yuan by 2030, and nearly 10 trillion yuan of new consumption scale is needed in the next four years. So, where will this 10 trillion yuan come from?

From the consumption data of the first half of the year, it can be seen that commodity consumption and service consumption have gone through completely different rhythms.

The consumption of goods is cooling down, with DRAM storage chips rising by 83% from September 2025 to January 2026, and NAND increasing by nearly 1.5 times. The price increases are transmitted along the supply chain to the terminals. In July, the CPI for tablets increased by 17.2% year-on-year, computers by 17.4%, and mobile phones by 8.5%. The National Bureau of Statistics clearly attributed the reason to "artificial intelligence driving the iterative upgrading of consumer electronics products".

Service consumption is accelerating. On June 16th, the National Bureau of Statistics released separate data on service retail sales for the first time. From January to May, service retail sales increased by 5.4%, far higher than the growth rate of commodity retail sales.

The policy signals are also clear. At the beginning of the year, the government work report listed "building a strong domestic market" as the first key task of the year. The National Development and Reform Commission launched the formulation of the implementation plan for expanding domestic demand strategy from 2026 to 2030. The "15th Five Year Plan" consumption plan approved by the State Council on July 13 ranked service consumption such as elderly care, childcare, cultural tourism, and health ahead of commodity consumption, and "deepening the promotion of artificial intelligence+consumption" was also included in the main text of the plan.

The direction of expanding domestic demand strategy is already very clear, using service consumption as increment and AI to improve the efficiency and quality of consumption supply.

On August 13th, JD.com released its second quarter and first half results. In the second quarter, the group's revenue was 346.4 billion yuan, with service revenue of 79.3 billion yuan, accounting for 22.9% of the total revenue. In the first half of the year, the group's revenue was 662.1 billion yuan, with a year-on-year increase of 12.9% in service revenue and a year-on-year increase of 53.2% in research and development investment. As of the second quarter, JD's annual active users, quarterly active users, and PLUS members all achieved double-digit year-on-year growth.

Although revenue growth is facing temporary disruptions, the significant improvement in profits marks a clear turning point in the company's profit trajectory, "said Xu Ran, CEO of JD.com." The improvement in profits is mainly due to the stable profitability of our core business, JD Retail, and the continuous loss reduction of JD's food delivery business

JD's 3C home appliance category directly suffered from the impact of rising storage chip prices in the first half of the year, but the innovation of consumer electronics products driven by AI technology has opened up new growth points for JD. AI glasses AIPC、 The transaction volume of AI trend products such as large screen AI smartphones and AI learning machines on JD.com increased by 125% year-on-year in the second quarter, and JD.com continued to occupy the first sales share in the 3C digital and home appliance markets¹。

In the second quarter, JD.com reached a cooperation agreement with Costco, becoming the only official e-commerce partner of Costco in China. The total number of JD.com MALL stores reached 30, and the first stores in Shanghai and Hong Kong opened successively.

In the past two years, JD.com has continued to increase its efforts in AI and service consumption. Industrial AI has reduced supply chain costs and improved operational efficiency on the supply side, while service consumption has opened up new growth opportunities on the demand side. The two have begun to form a positive flywheel of "leading new supply with new demand and creating new demand with new supply".

In the Chinese retail industry, JD.com is the most typical enterprise that has a self operated supply chain covering the whole country, a service team of over 900000 people, and is using AI to systematically reduce operating costs.

The correct use of AI

JD's AI roadmap is different from the industry's approach of using AI as a traffic entry point. Although JD.com has also launched AI shopping applications, it has not invested heavily in subsidies to create super traffic entrances.

Xu Ran's answer during the earnings call was very clear. No matter how technology evolves, whether it is AI agents assisting users in completing purchase actions or users completing them themselves, the underlying logic of the retail industry will not change. It will always focus on experience and cost efficiency to meet users' needs for products, prices, and services. JD.com has embedded AI into specific aspects of retail operations and supply chains, with each AI investment directly corresponding to a cost reduction or revenue growth.

Although not high-profile, JD's AI applications have already reached a significant scale.

The AI shopping assistant Jingyan has over 80 million users, and AI based purchasing and sales agents have been widely used in the daily work of JD's purchasing and sales.

JoyAvatar, a digital person launched for merchants, is upgrading from a tool level to unmanned operation. In the second quarter, the number of live streaming accounts increased threefold year-on-year, and the daily active streaming accounts increased sixfold. During the 618 shopping festival, the duration of live streaming and transaction amount both increased by more than four times year-on-year, serving over 80000 merchants in total.

The efficiency improvement brought by AI on the supply side also covers the logistics and industrial service sectors.

As of the second quarter, JD Logistics' "Smart Wolf" goods to people solution has been applied to more than 60 warehouses worldwide, including landing in the UK and Germany. "Yilang" has achieved an upgrade from single arm to double arm, completing the full set of actions from recognition to adsorption, grabbing, and stacking in 10 seconds. Thousands of unmanned vehicles are operating normally in more than 20 provinces across the country. It has opened the first night delivery route in Shenzhen and the largest unmanned aerial vehicle delivery network in China, covering 78 administrative villages. Delivery can be completed by flying over mountainous areas in as fast as 7 minutes.

JD Industrial's AI intelligent agents have served over 3000 key enterprise customers, compressing 100000 level data governance from "monthly level" to "hourly level".

AI is also extending from the industrial end to the consumer end. JD, together with its partners, launched the industry's first AI hardware talent show "Aidol Creation Camp". Over 50 new AI products were showcased through the creation camp and launched on JD.com. The transaction volume in the second quarter increased by over 70% month on month. As of 618, the cumulative number of devices connected to JoyInside has increased by more than three times compared to last year's "Double Eleven". JoyInside has taken the lead in developing and applying intelligent products in home scenarios such as bedrooms, study rooms, living rooms, kitchens, and bathrooms, and has partnered with nearly 200 hardware brands to create an AI Home intelligent service ecosystem.

JD Health's AI doctors have deeply integrated the full process capabilities of online consultation, home rapid testing, nurse visits, and drug fulfillment. During the 618 period, the number of service users increased nearly four times year-on-year.

In the first half of the year, JD's R&D investment maintained a year-on-year growth rate of over 50%, accelerating investment for three consecutive quarters, and these investments did not become a burden on the financial statements.

AI has reduced supply chain costs, allowing JD.com to continue providing consumers with better prices and faster fulfillment while maintaining profits.

The "15th Five Year Plan" proposes to "create new demand with new supply", and JD's industrial AI is doing this, using AI to transform the efficiency of the supply side, allowing consumers to obtain better goods and services at lower costs, thereby stimulating new consumer demand.

The growth engine is upgrading

In the second quarter, the proportion of JD's service revenue further increased, with a year-on-year growth of 12.9% in the first half of the year. All service businesses maintained a strong momentum, with JD's logistics revenue growing by 26.5%, JD's health service revenue growing by 17.2%, and JD's industrial service revenue growing by 16.3%. The high growth of service revenue means that JD's revenue structure is gradually shifting from single product sales to a new supply and demand driven by a prosperous merchant ecosystem and active user transactions.

The "15th Five Year Plan" for consumption has listed "improving life service consumption", "expanding elderly care consumption", and "supporting childcare consumption" as priority tasks, and JD's business direction and policy direction are moving synchronously.

In the second quarter, JD's service revenue from home scenarios increased by 69.6% year-on-year, showing strong growth.

JD has fully covered home cleaning, elderly care, delivery and maintenance, home appliance cleaning and other on-site living services. During the 618 period, the daily household cleaning transaction volume increased by more than 200% year-on-year, and the home appliance cleaning transaction volume increased by more than 300%.

JD has launched a 30 minute convenient home repair service, with the fastest home visit and 24-hour response after placing an order. JD's car maintenance stores have covered over 1200 districts and counties, and two wheeled vehicle home repair and maintenance services cover over 400 cities. Tire or battery replacement can be completed within 28 minutes of arrival. In response to the concentration of air conditioning orders this summer, over 60000 JD service engineers across the country have been deployed to ensure high-temperature installation, and thousands of air conditioning installation teams have been set up to rush to 100 cities nationwide.

In the second quarter, the national elderly care service consumption subsidy was launched on the JD APP, and the first e-commerce order in China was landed in Beijing. JD Home Economics relied on its self operated model to introduce intelligent training methods such as AI assistants, and elderly care staff were required to undergo systematic training covering 20 standard service processes.

JD Home Decoration's first intelligent Silver Age Elderly Experience Store in China also officially opened in the second quarter, showcasing a complete set of elderly friendly renovation plans. The pet dog and cat "Anxin Pet" service launched by JD has built a full chain guarantee from purchase to delivery. JD Logistics' pet delivery service "Jingchong Da" has expanded to more than 40 cities across the country. JD Travel's "Pet Travel" has become the first one-stop booking platform for pet air tickets, hotels, and tickets in China.

JD and several leading open robot rental platforms have carried out deep cooperation in the second quarter to jointly build a full chain service system for robots. JD Logistics has launched a "robot ambulance" to provide professional maintenance services for various types of robots. At the same time, JoyRobocare repair centers have been established in Europe, and on-site services can cover major cities in multiple countries such as the UK, Germany, France, and the Netherlands. The first RoboBase project started construction in Guangzhou in the second quarter, and plans to expand to over 80 robot bases nationwide in the next five years.

While promoting the upgrading of its service business, JD.com is also advancing the training and upgrading of its service personnel. JD.com has launched the largest scale blue collar employment training in China, covering 183 frontline service positions such as domestic cleaners, maintenance engineers, customer service, and car maintenance technicians.

By 2025, the contribution rate of domestic demand to China's economic growth will exceed 67%.

Expanding domestic demand relies on consumption, and the increase in consumption is increasingly coming from services. The standardization and scale of service consumption require enterprises with the ability to fulfill contracts and user trust to undertake it. JD has hundreds of thousands of frontline employees, a self operated logistics network covering the whole country, millions of offline stores, and a supply chain system that continuously reduces operating costs through AI, forming the foundation for it to undertake this round of service consumption expansion.

From 50 trillion to 60 trillion, the next 10 trillion increment of Chinese consumption requires new supply capacity to undertake.

JD.com is transforming its supply chain with AI to reduce costs, pushing service consumption from "non-standard and opaque" to specialization and standardization with deterministic performance standards, and ensuring service quality for the "last mile" with an organizational system of 900000 people. Industrial AI is improving efficiency on the supply side, and service consumption is expanding on the demand side. The positive flywheel of "leading new supply with new demand and creating new demand with new supply" has begun to rotate.

In the national strategy of expanding domestic demand, JD.com is becoming an indispensable industrial hub that connects policy goals with consumers' daily lives.

_{1. The corresponding data source is "2026 618 Online Consumption Data Observation".}