--- title: "How to understand PDD's \"recreate another PDD\" as \"New Pinduoduo\" opens up imaginative space for global supply chain advancement?" type: "News" locale: "en" url: "https://longbridge.com/en/news/280579797.md" description: "PDD announced that it will fully promote the newly established \"New Pinmu\" department, planning to achieve a high-quality transformation of domestically produced self-operated brands within the next three years, assisting in the upgrade of China's supply chain. This move responds to the \"anti-involution\" policy and signifies the company's confidence and growth expectations for the future. PDD will integrate the supply chain resources of \"PDD + Temu,\" systematically incubating brands aimed at the global market, enhancing the manufacturing standards of industrial belts, and moving towards high-end value" datetime: "2026-03-26T07:05:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/280579797.md) - [en](https://longbridge.com/en/news/280579797.md) - [zh-HK](https://longbridge.com/zh-HK/news/280579797.md) --- > Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/280579797.md) | [繁體中文](https://longbridge.com/zh-HK/news/280579797.md) # How to understand PDD's "recreate another PDD" as "New Pinduoduo" opens up imaginative space for global supply chain advancement? This time, Pinduoduo (PDD.US) has truly changed. On March 25, Pinduoduo disclosed its Q4 2025 and full-year performance, which seemingly continued the "steady" quality revealed in the financial reports of the previous few quarters; however, behind the expected financial data, the traditionally low-profile Pinduoduo rarely announced that it will mobilize the entire group over the next three years, striving to promote the newly established "New Pinduoduo" to achieve a high-quality transformation of domestic self-operated brands within three years, driving the transformation and upgrading of the Chinese supply chain and its value leap. Recalling the slogan shouted by Pinduoduo's management at the end of last year, "Recreate a Pinduoduo in the next three years," this company, once regarded as the most "conservative" in today's Chinese e-commerce landscape, has finally revealed its aspirations for the future to the market. ## **Finding the "Answer" for External Growth from Industrial Clusters** Before analyzing and forecasting Pinduoduo's new strategy, it is essential to first clarify what "New Pinduoduo" is. According to Pinduoduo's introduction, "New Pinduoduo" is a newly established business department, and a new specialized company has been formed. In the future, "New Pinduoduo" will combine the supply chain resources of "Pinduoduo + Temu" to initiate the establishment of a self-operated brand model. Zhitong Finance believes that "New Pinduoduo" is a further inheritance and development of Pinduoduo's series of development strategies in recent years, which includes both the continuation of Pinduoduo's consistent development ideas and new changes and connotations. From the early "Billion Yuan Reduction" and "New Quality Supply" to last year's comprehensive upgrade of "Hundred Billion Support," Pinduoduo has always focused on one thing—investing heavily in the Chinese supply chain and empowering merchants in industrial clusters. Now, "New Pinduoduo" takes it a step further by integrating the supply chain resources of "Pinduoduo + Temu" to systematically incubate brands of different categories and positions aimed at the global market through a self-operated brand model, promoting industrial clusters to enhance manufacturing standards and move towards "high-end value." To support "New Pinduoduo," Pinduoduo has already injected 15 billion yuan in cash in the first phase, and will invest 100 billion yuan over the next three years. The reason Pinduoduo is sparing no effort to promote the transformation of domestic self-operated brands may be closely related to a classic theoretical framework known as the "smile curve." In the early 1990s, Shi Zhenrong proposed this concept: in the value chain of manufacturing, the left end of technology and patents, and the right end of brands and services occupy the high points of added value, while the middle segment of assembly and manufacturing has long been trapped in the low-profit "value valley." For millions or even tens of millions of merchants in China's industrial clusters today, this "smile curve" remains a real dilemma—they possess world-class manufacturing capabilities but often can only earn the most meager processing fees. The emergence of "New Pinduoduo" is actually Pinduoduo's solution to this structural problem: Pinduoduo is no longer satisfied with just helping factories "sell their goods," but aims to deeply engage in product definition, manufacturing standards, and global marketing through a self-operated brand model, helping quality industrial clusters transition from "OEM production" to "brand output." An example of this is the Silk Piao Group, which has moved from Zhejiang to Southeast Asia with the help of Pinduoduo. This tissue brand, which is far from being a top player domestically, was on the brink of bankruptcy when it first entered Pinduoduo due to inventory backlog and tight cash flow Thanks to the empowerment of Pinduoduo, Sipiao has fully optimized its product research and development and production, leading to a comprehensive improvement in product specifications, texture, and feel. In today's era where "good wine fears a deep alley," Pinduoduo not only strives to help Sipiao upgrade its quality and evolve its brand but also vigorously guides Sipiao to "go global." Data shows that Sipiao has entered the top 5 of the Vietnamese tissue market in just three years. In the process of transforming industrial belts from OEM to brand, the profits from the mid-stage assembly and manufacturing links will no longer be "squeezed," but will be jointly "supported" by scale advantages and brand premiums. By analogy, it can be expected that with the emergence of "New Pinduoduo," more merchants from industrial belts will benefit from Pinduoduo's practice of straightening the "smile curve." ## **How to Understand the Certainty of "Recreating a Pinduoduo in Three Years"?** Since 2026, the intensity of geopolitical conflicts has further intensified, and certainty is becoming increasingly scarce. From an investment perspective, companies that possess both growth elasticity and certainty in the future will inevitably attract more followers. The slogan previously shouted by Pinduoduo's management, "Recreate a Pinduoduo in the next three years," can be said to be timely, indicating that the visibility of Pinduoduo's growth will be higher and the certainty of growth will be stronger in the future. It is worth mentioning that at the end of last year, Pinduoduo also readjusted its organizational governance structure and implemented a co-chairman system. With the approval of the board of directors, Zhao Jiazhen was appointed as co-chairman, serving alongside Chen Lei as co-chairman and co-CEO of the group. Pinduoduo believes that Zhao Jiazhen's appointment as co-chairman is conducive to the company's entry into the next stage of upgrading and reconstruction, and is beneficial for implementing the overall strategy of "focusing on and reinvesting in supply chain upgrades for high-quality development." After taking on the new position, Zhao Jiazhen clearly outlined Pinduoduo's strategic direction for the next stage: to focus more on the high-quality development of the supply chain, achieving platform reconstruction through this core key and driving the value leap of the ecosystem. Looking back over the past three years, Temu has rapidly expanded from zero to over 90 countries globally, completing in three years what Pinduoduo took ten years to achieve in domestic e-commerce. This validates the replicability of Pinduoduo's supply chain capabilities and gives the management stronger confidence for the next stage of "reconstruction." Now, the implementation of "New Pinduoduo" is to deeply bind Temu's validated global traffic and fulfillment capabilities with the rich supply of domestic industrial belts, using a self-operated brand model to batch incubate a number of internationally influential Chinese brands. According to management, in order to "safeguard" the global expansion of industrial belt merchants, Pinduoduo's "New Pinduoduo" will not only reinvest 100 billion yuan but also launch a series of supporting measures while providing sufficient funding, including customized manufacturing solutions for domestic industrial belts, cultivating a batch of self-operated brands with different positioning and various categories; forming special teams to delve into industrial belts, leveraging the platform's digital advantages to provide integrated solutions for merchants; and launching comprehensive brand overseas solutions, offering full-spectrum services such as product standards, warehousing logistics, intellectual property services, legal assistance, and regulatory review. In the view of Zhitong Finance, Pinduoduo, which invests hundreds of billions over three years and takes multiple measures to comprehensively support the overseas expansion of industrial belts, has essentially transformed from a "selling platform" into an industrial organizer and ecological co-builder growing together with the Chinese supply chain PDD's development strategy of tapping into internal potential and expanding outward not only responds to the policy expectation of "anti-involution," but also injects stronger certainty into itself. As this "visible growth" expectation is fulfilled in the future, it will be a natural outcome for the market to reassess PDD's long-term valuation logic ### Related Stocks - [KraneShares 2x Long PDD Daily ETF (KPDD.US)](https://longbridge.com/en/quote/KPDD.US.md) - [GraniteShares 2x Long PDD Daily ETF (PDDL.US)](https://longbridge.com/en/quote/PDDL.US.md) - [PDD Holdings Inc. 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