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Shoemaker shifts production to Vietnam following TPP deal
TAIPEI -- Pou Chen Corp, the world's largest contract shoemaker, which supplies Nike, Adidas and other major brands, is moving a large portion of its operations from China to Vietnam to take advantage of its lower labor costs and more favorable tariffs.
Pou Chen made 42% of its shoes in Vietnam as of the end of September, up from 34% in 2013 and 39% in 2014. The company, based in the central Taiwanese city of Taichung, now ships more than 300 million pairs of shoes annually, with footwear and apparel accounting for 75% of the company's revenue.
Company spokesman Amos Ho said the company has been gradually moving its manufacturing bases to Vietnam since 2012, due to rising wage...
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