Apparel, Fashion & Retail | News & Insights

Nike and Adidas have been affected by manufacturing closures in Vietnam

Published: August 6, 2021
Author: Manali bhanushali
Vietnam’s industrial hub is shut down, affecting supply lines that deliver Nike sneakers and Adidas running shoes to customers all over the world.
In July, the nation that was a pandemic success stories the previous year saw a significant spike in COVID-19 cases. Over the last month, over 88% of the 189,066 cases documented since the epidemic began had been detected.
Strict lockdowns, first in Hanoi and later in Ho Chi Minh City in the south, appear to be reducing the number of new infections, but they have paralysed non-essential industries.
Vietnam has been hit by a new strain of the COVID-19 disease, which has affected its industrial and garment industries. The country’s communist government is already trying to redirect vaccine supplies towards Ho Chi Minh City from other regions. Up to one-third of the nation’s garment factories were closed this week. This could mean prices for goods like Nike shoes and Apple phones will rise. Many manufacturers spread their work across a range of suppliers.
The number of containers in the Port of Londonderry is close to 100 per cent capacity, according to the latest figures. It is a similar story at ports across the country, with some operators forced to make do with just half their regular workforce.

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