He's using C shapes. Kapo 2, playing C shapes, so playing in the key of D. Playing C, then he slides up a full step which is D, then slides up another full step, but then only plays the A string on the 7th fret form the kapo, and the D string on the 5th fret. That gives him an Em chord! He also adds the pinky in there sometimes which gives him a 9th, but not too sure on whether it's a 9th or not. 😅 When I play these shapes, I also like to play my F chord by using the C chord, but then adding my pinky right below my ring finger on the D string. I'm sure someone else could give you a much more detailed explanation, but I hope this helps!
