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Chongqing coffee industry leaders urge JD.com to end subsidy-driven price war
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TechNode
On June 5, the Chongqing Coffee Industry Association issued a joint statement with several local independent coffee brands, urging JD.com’s food delivery to halt its aggressive Billion-Yuan Subsidy campaign.
The group criticized the platform’s steep discounts on freshly brewed coffee, claiming it has triggered a rapid market-wide price collapse and harmed the long-term health of the local coffee sector.
In May, independent cafés in Chongqing – one of China’s biggest cities – reportedly saw a 12% drop in online sales and a 13% fall in average order price.
The association warned that continued price wars could accelerate store closures and job losses.
It called on JD.com to disclose its subsidy mechanisms and redirect funds toward fostering a sustainable delivery ecosystem.
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