Buffett-owned footwear maker moves output from China to Vietnam

[Viet]

Your attempt to be sarcastic fell flat on its face. Show me where I have stated that making a shoe in Vietnam will cost 130 USD? Do you think that your hypothetical Adidas 1 Dollar Shoe will be produced by paying liveable wage to workers, providing better working facilities to workers including a sustainable system to not destroy the environment during this so called manufacturing.

I have no dog in this fight, and stop harping such non-sense, we already have lot of Indians for this kind of clownish behaviour. As I said earlier, low cost production Industry is moving out of China as the Chinese economy is moving towards advanced industries and these industries will end up in Malaysia, Thailand and Vietnam and other South East Asian countries. Kindly get this through your head.


You are a Chinese Citizen! Dude your sentence made less sense than your previous claim.

Correction: I am not chinese citizen either.

You are correct. Certainly I know China moves from making bicycles to making hightech. Vietnam will follow suit, moving from making shoes to making ICBM.

Or do you expect we will make shoes forever?

 

[macnurv]

Correction: I am not chinese citizen either.

You are correct. Certainly I know China moves from making bicycles to making hightech. Vietnam will follow suit, moving from making shoes to making ICBM.

Or do you expect we will make shoes forever?

Yeah sure, keep on dreaming. It doesnt work that way. Chinese were not only manufacturing shoes by the way, they were also manufacturing lot of high tech equipment and pretty much everything under the sun. The size and population of China is something unique to China along with rare elements monopoly that China enjoys which by the way are an integral part of Tech industry development. In the past any company wanting to start production in China had to comply with Transfer of Technology policies of China, this did gave Chinese a huge advantage along with acting as incubators for innovation in China.
I am not sure if Vietnam have any such policies in place. I am aware some microchip and motherboard production might already be taking place in Vietnam but I am not familiar with the scope and size of it. This is a very important distinction everyone must understand.

 

[Brainsucker]

Brooks Running fears US tariffs on shoes will surge to 45% as trade talks grind on

MARRIAN ZHOU, Nikkei staff writerMAY 04, 2019 05:36 JST

Jim Weber, CEO of Brooks Running, said May 2 that the shoe company is in the process of moving some of its production out of China. © Reuters

NEW YORK -- Brooks Sports will move the bulk of its manufacturing operations from China to Vietnam as the trade talks between Washington and Beijing drag on with no certain conclusion, CEO Jim Weber said Friday.

The shoes and sports apparel company, known as Brooks Running, is a unit of Warren Buffett's Berkshire Hathaway.

"We believe the trade discussions are muddying the water," a Brooks Running spokesperson said. "We needed to begin making plans in order to future-proof our business."

Brooks Running was especially concerned about tariffs on shoes, following President Donald Trump's remarks last year that he would slap an additional 25% tariff on Chinese goods on top of the 20% tariff that has existed for years.

For a $130 pair of running shoes, a 45% tariff would be "significantly detrimental" to Brooks, according to the spokesperson. The company made a joint decision with its vendor partners in China at the beginning of this year to move some production out of the country.

China accounts for one-third of Brooks' factories worldwide, while 19% of the company's production is done in Vietnam, Brooks data on contract manufacturers from last year shows. It is unclear exactly how much production Brooks will move to Vietnam.

The U.S. and China are still in trade negotiations, though U.S. Treasury Secretary Steven Mnuchin this week said the conversations were "productive." Beijing and Washington had cited progress on issues, including ways to help end tariffs that have burdened the economies of both countries, disrupted supply chains and financial markets.

Trade talks will continue in Washington next week.

https://asia.nikkei.com/Economy/Tra...wear-maker-moves-output-from-China-to-Vietnam

Congrat to Vietnam. So this Brooks Sport can teach Vietnamese how to make a pair of shoes. That's good! You must learn hard, Vietnam! So you can make a good shoes in the future.

 

[Viet]

Congrat to Vietnam. So this Brooks Sport can teach Vietnamese how to make a pair of shoes. That's good! You must learn hard, Vietnam! So you can make a good shoes in the future.

No reason to laugh. The move shows VN ability to lure factories. Many other manufacturers will follow suit. I will be happy if we make shoes for the entire world. Western shoes are mostly hightech, produced in machines, not hardwork anymore. Brooks shoes cost $130 a pair, not $1 plastic piece.