From the perspective of garlic-scented village life, we see how PDD Holdings Inc. Sponsored ADR Class A (PDD.US) empowers rural areas through its practice of "free delivery to villages," injecting fresh vitality into the economy.
Pinduoduo has achieved a transformation in rural areas from "passive waiting" to "active connection" through its investment in infrastructure, bringing about an unprecedented shift in the status of Chinese villages.
In the thousands of years of history of Chinese villages, Shenzhen Agricultural Power Group has never made the journey from field to table as convenient as it is today. In the past, farmers had to either wait for merchants to come to their door or take their produce to the market, enduring price cuts from layers of middlemen in both scenarios... A bumper harvest did not necessarily mean increased income, which has been a dilemma for centuries. However, PDD Holdings Inc. Sponsored ADR Class A (PDD.US) has begun experimenting with "free delivery to villages," changing everything. Now, with delivery trucks bringing packages into the villages daily and taking Shenzhen Agricultural Power Group's goods out on their return trips, rural areas have become an essential part of commercial circulation.
In the well-known "hometown of garlic" in Qixian County, Henan, 70-year-old garlic farmer Zhang Zhenfeng has changed his way of selling garlic this year. He no longer needs to transport garlic to the county market where he is subject to price cuts, nor does he have to passively wait for village vendors. Instead, a post-90s e-commerce seller from the same village, Zhang Jinjian, takes the initiative to purchase garlic, offering five to six hundred yuan more per acre than market prices. Behind this transaction lies a systematic reconstruction of rural logistics efficiency. By the end of 2025, PDD Holdings Inc. Sponsored ADR Class A piloted "free delivery to villages" services in Qixian County, breaking the industry dilemma of "empty trucks returning from villages," significantly reducing the logistics cost for Shenzhen Agricultural Power Group to depart from the village. When the delivery routes merged with Shenzhen Agricultural Power Group's outbound paths, the underlying logic of rural commerce began to be rewritten.
How did PDD Holdings Inc. Sponsored ADR Class A make dual-directional delivery to and from villages possible?
Zhang Jinjian's connection with e-commerce began in 2017 when he opened his first store on PDD Holdings Inc. Sponsored ADR Class A. Initially, he only received a few orders a day, but over time, that number gradually increased to one or two hundred. The turning point came during a platform event when, due to the good quality of his garlic, his store received 20,000 orders overnight. "At that time, I had no experience," Zhang Jinjian recalled, noting that the packing boxes he prepared were simply insufficient. He contacted the supplier overnight to arrange logistics and called upon dozens of villagers to help, taking three days to finish shipping the 20,000 orders.
Those three days made him realize that as order volumes increased, the efficiency of shipping and delivery times had to keep pace. His solution was to prepare his own transport vehicle, organize workers to load the packaged garlic daily, and then arrange for drivers to take it to the county delivery points. The short-distance transport of just over ten kilometers incurred monthly labor and fuel costs exceeding 3,000 yuan, totaling nearly 40,000 yuan a year. He attempted to negotiate with several delivery companies to pick up parcels from the village, but they all hesitatedthe prospect of empty trucks on the way in made it impossible to cover costs. At that time, shipping five kilograms of garlic from the county delivery point nationwide cost about 7 yuan per order. If the extra costs of picking up from the village were added in, it turned out to be more economical to deliver it himself.
A breakthrough occurred at the end of 2025. PDD Holdings Inc. Sponsored ADR Class A piloted its "free delivery to villages" service in Qixian County, with delivery trucks bringing packages into the villages each day and collecting villagers' parcels on their return trips. Zhang Jinjian and the village delivery personnel connected immediately: during the day, they would collect, sort, pack, and label garlic, and in the afternoon, after the delivery trucks dropped off villagers' online orders, they would directly head to the warehouse to load up parcels to be sent out that day. The problem of returning empty was resolved, and garlic no longer needed to be repeatedly loaded and unloaded, alleviating time anxieties.
Duan Yuanhang, the manager of the transit warehouse for the "free delivery to villages" initiative in Qixian County, deeply feels this change: "In the past, orders in the village were scattered, the road conditions were complicated, and the cost of single deliveries was high, leading delivery companies to generally lack incentives to expand. Now that PDD Holdings Inc. Sponsored ADR Class A covers the second-stage transit fees, everyone's enthusiasm has noticeably changed."
Zhang Jinjian calculated the costs: in the past, shipping garlic from the village required over 3,000 yuan each month just to send it to the county delivery point, from where it would be dispatched nationwide at a cost of 7 yuan per five-kilogram parcel; now, sending the same weight directly from the village entrance to the entire country has reduced the shipping cost to about 3 yuan. "With logistics costs down, profit margins have widened significantly." For him, this change represents an efficiency leap from "delivering myself" to "loading up at the village entrance;" for the entire garlic industry in Qixian County, it's a transformation from "Shenzhen Agricultural Power Group facing difficulties in entering the city" to "getting on the truck right after leaving the village."
With logistics flowing, economic vitality follows.
The changes in Zhang Jinjian's business quickly extended to everyone in the village.
In the past, farmers were most concerned about sales channels for their garlic. This year, Zhang Jinjian collected a large amount of garlic from the villagers at prices slightly above market rates, enabling farmers like Zhang Zhenfeng to earn an extra five to six hundred yuan per acre. In Zhang Jinjian's warehouse, many villagers who supply him with goods have also come by to help pack, earning about 120 to 130 yuan a day, translating to roughly 4,000 yuan a month. His online store has also employed five or six live streamers, each working for two to three hours, earning a fixed monthly salary of 3,600 to 4,000 yuan. As delivery trucks drive through rural roads every day, garlic fields and farmers appear in live streaming sessions, completing the entire process from planting, harvesting, packing, to shippingall within the villagemeaning the profits stay local.
Duan Yuanhang provided another set of figures: the transit warehouse in Qixian County currently handles 10,000 to 12,000 inbound parcels daily and about 2,000 outbound parcels, with 1,800 of those outbound parcels comprising local garlic from Shenzhen Agricultural Power Group. The gap between inbound and outbound numbers highlights the significant potential for "upstream circulation" in rural areasand filling this gap is creating new growth.
In Caotun, Qixian County, villagers previously had to travel five kilometers to the town to pick up deliveries, making a round trip of ten kilometers that took almost an hour. With the village delivery points established, residents can now collect their parcels right at the entrance. Xu Lingling's supermarket, which has been running for 16 years, became a village-level station for "free delivery to villages" at the end of last year. "Now we receive 100 to 200 parcels daily, and people picking up their deliveries often buy a bottle of water or a pack of cigarettes, significantly increasing foot traffic in the supermarket."
However, the initial phase of this logistics transformation was not smooth. Duan Yuanhang recalled that during the first entrance into the village, many residents were very cautious and many held up their phones to record. "Later, we coordinated uniforms, promotional posters, and vehicle identification to enhance publicity so that villagers could actually see the convenience. Gradually, their concerns were alleviated." Now, more and more young people are trying to open stores on PDD Holdings Inc. Sponsored ADR Class A to sell their hometown's quality garlic nationwide. "We couldn't even get started before; shipping alone was a bottleneck," Zhang Jinjian said. "Without stable logistics channels and suitable delivery prices, small sellers simply couldn't get off the ground."
When delivery trucks no longer return empty, rural areas are no longer just the end point of consumption, but the starting point of the supply chain. As small entrepreneurs like Zhang Jinjian no longer fret over logistics costs, garlic farmers like Zhang Zhenfeng no longer worry about sales channels, and village-level stations like Xu Lingling's supermarkets thrive thanks to parcel deliveriesthe foundation for a sustainable rural commercial network is beginning to take shape. It demonstrates one truth: where logistics flow, economic vitality will naturally find a way to grow. GMTEight believes that the investment in infrastructure by PDD Holdings Inc. Sponsored ADR Class A has facilitated a leap from "passively waiting" to "actively connecting" for villages, flipping their position in China like never before.
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