"At the beginning of the year, we easily obtained financing services of more than CNY 200,000." Mr. Cheng, the person in charge of Junkai Plastic Industry, Zhuyouguan, Longkou City, Shandong Province, said that this benefited from the recently jointly launched and built supply chain financial service platform by Dawn Group and JD Technology.

Junkai Plastic is a plastic product processing enterprise and also a downstream customer of Dawn. Mr. Cheng said that with the order and historical transaction data with Dawn, the service of "transaction is credit granting, and delivery is financing" could be obtained on the supply chain financial service platform of Dawn, which could relieve the pressure on capital turnover.

"The financing threshold is low and no mortgage is required, which relieved some of the financial pressure for our production after Spring Festival. And it can be reapplied in the future, which is very convenient. "Mr. Cheng said excitedly that he had just received several orders. With sufficient financial support, everyone steps up this year and is even more motivated!

The chemical and plastic industry is closely related to the daily life of ordinary people. More than 70% of the items in life are related to chemical and plastics, such as home appliances, laptops, daily necessities. Data shows that the current market size, including general-purpose plastics and special plastics, exceeds CNY 2.5 trillion, and there are hundreds of thousands of plastic manufacturers across the country. The chemical and plastic industry is in a stage of rapid development with huge market potential.

But at the same time, the chemical and plastic supply chain presents a "dumbbell shape" of "big at both ends and small in the middle". Compared with large upstream and downstream enterprises, midstream plastic product manufacturers are often relatively weak in the industrial chain, especially in the procurement of raw materials. Due to high-frequency procurement needs, lack of collateral, and information asymmetry between banks and enterprises, it is difficult to obtain traditional credit financing. So they face capital turnover problems, and the business expansion is hindered.

Distribution of upstream and downstream industrial chains of chemical and plastic industry

There are problems in the supply chain, and Dawn takes on the role of "chain owner". According to reports, Dawn has more than 30 years of experience in the chemical and plastic trade industry, and is mainly engaged in various synthetic resins, synthetic rubber and other products. It is the regional first-level distributor or agent of large Chinese and foreign petrochemical companies such as PetroChina, Sinopec, CNOOC and Shell, Lyondell Basel, and Saudi Aramco. In recent years, Dawn has been committed to the "one-stop service ecosystem of the plastic industry", and has launched an Internet service platform for the plastic industry. Previously, in September 2022, Dawn and JD Technology reached an in-depth cooperation in the field of supply chain financial technology to create a "supply chain financial cockpit" to provide financing services for downstream small and medium-sized micro plastic products enterprises, and build an efficient docking with financial institutions.

"Through the large business screen of the 'supply chain financial cockpit', we can query the credit business data of upstream and downstream enterprises, monitor the operation services of customers after loans, promote the transformation from experience decision-making to data decision-making, and improve refined management capabilities." Sun Xiaodong, deputy general manager of Dawn Chemicals, introduced that using the cockpit can build a more comprehensive and multi-dimensional corporate customer portrait, intelligently improve customers’ service experience, improve the efficiency of asset and capital docking, and directly access risk control through the module of the data gateway. The business system does not need to develop new data interfaces for scenarios, effectively reducing the access costs of all parties.

Dawn Raw Material Warehouse

Xie Yuntao, vice president of Dawn Group, said that the supply chain financial service platform built by Dawn has effectively resolved the financial difficulties in the field of chemical and plastic bulk trade, and provided customers with very convenient one-stop financing services. In addition, the credit cockpit in the platform has rich third-party data, which is a powerful supplement to the data credit investigation of small, medium and micro enterprises in the industrial chain. "Through supply chain financial technology, Dawn's data assets in the industrial chain are also more valuable, which will help realize the transformation from a traditional trader to a supply chain solution service provider."

Build a strong chain and create a win-win future. In the next step, Dawn will join hands with Jingdong Supply Chain Financial Technology to help the digital and intelligent upgrade of the chemical and plastic industry chain by using the supply chain financial service platform and relying on technological capabilities, risk control capabilities, and operational capabilities, making financing services more accurate, more convenient, and more efficient. In the words of Yu Xiaoning, chairman and president of Dawn Group, "We must give full play to the effect of the 'chain owner' enterprise and contribute Dawn's wisdom and strength to industrial progress, industrial development and regional economy.