New York Nov. 8, 2017 – JD.com, a China General Chamber of Commerce-USA (CGCC) member company and China’s largest retailer, committed to purchase over $2 billion of products from U.S. companies over next three years, including $200 million beef from The Montana Stock Growers Association (MGSA) and Cross Four Ranch. Chinese Vice Premier Wang Yang and U.S. Secretary of Commerce Wilbur Ross witnessed the signing ceremony in Beijing on Wednesday. This agreement is also the only beef deal among the total $253 billion deals signed during President Trump’s visit to China.
In addition to the $200 million beef procurement, JD with its partner intend to invest another $100 million to build a brand-new slaughter house and feedlot infrastructures in Montana to support the Montana beef production. Construction will begin as early as the spring of 2018.
It is estimated that JD’s purchase of Cross Four Ranch and MSGA beef will increase Montana beef export sales by as much as 40% in 2018. The rapid growth of beef export will bring positive energy to fuel other commodities exports and the growth of the local economy.
As the first deal between JD.com and Montana, the beef agreement was made possible by the efforts of CGCC. Bank of China will provide financial services to facilitate these imports and the settlement process.
“China’s shoppers will rest assured knowing that they are able to purchase safe, high quality meat products imported from the U.S., with the fast delivery and ironclad assurance of authenticity that they have come to expect from JD. We look forward to expanding our long-term cooperation with high-quality U.S. meat producers like MGSA.” said Richard Liu, JD.com chairman and CEO.
“This is a landmark agreement to increase Montana opportunity and agricultural exports to the fastest growing overseas market for beef,” U.S. Senator Steve Daines of Montana stated, “This is a win for Montana’s hardworking ranchers.”
Beef is the fastest growing meat sector in China and the country is the world’s fastest growing overseas market for beef. The restart of beef import from U.S. to China will benefit both U.S. cattle ranchers and Chinese consumers.
CGCC express special thanks to Bank of China USA and State of Montana for their support to this deal and will continue making efforts to promote U.S.-China economic and trade cooperation.
About China General Chamber of Commerce-USA (CGCC)
Founded in 2005, the China General Chamber of Commerce-USA (“CGCC”) has been recognized as the largest and most influential non-profit organization representing Chinese enterprises in the United States. CGCC’s mission is to promote Chinese investment in the United States and to enhance cooperation between the Chinese and U.S. business communities. Today, CGCC’s membership consists of more than 1,500 companies, including both Chinese and non-Chinese companies. 55 CGCC members are ranked on the 2017 Fortune Global 500. In 2016, CGCC Chinese member companies invested approximately $50 billion in various industries in the United States. As of the end of 2016, CGCC Chinese member companies employed over 200,000 people throughout the United States.
About JD.com, Inc.
JD.com is both the largest e-commerce company in China and the country’s largest retailer by revenue. The company strives to offer consumers the best online shopping experience. Through its user-friendly website, native mobile apps, and WeChat and Mobile QQ entry points, JD offers consumers a superior shopping experience. The company has the largest fulfillment infrastructure of any e-commerce company in China. As of June 30, 2017, JD.com operated 7 fulfillment centers and 335 warehouses covering 2,691 counties and districts across China, staffed by its own employees. JD.com is a member of the NASDAQ100 and a Fortune Global 500 company.
The Montana Stock Growers Association (MSGA) is a non-profit membership organization that has worked on behalf of Montana’s cattle ranching families since 1884. The mission is to protect and enhance Montana ranch families’ ability to grow and deliver safe, healthy, environmentally wholesome beef to the world.
The association works to achieve its mission by representing the members and the policy they set at the Montana Legislature and U.S. Congress, with governmental agencies, in the media, and by promoting the work of Montana’s family ranchers to the public.
About Cross Four Ranch
Cross Four Ranch is a privately held company in Miles City, MT. They’ve produced high quality beef with care and honor for generations.