Covid-19 has wreaked havoc on the promotional products industry and the problem won’t automatically resolve itself. The New York Times reports that factories in Vietnam, a major apparel and footwear supplier to the US, have closed or operate at reduced capacity, complicating the all-important holiday season due to the pandemic.

In recent years, Vietnam has grown to become the second-biggest supplier of apparel and footwear to the United States after China. Retailers relocated their manufacturing to the country from China due to rising costs and new tariffs on China instituted under former President Donald J. Trump. While Vietnam made it through the early part of the pandemic relatively unscathed, the Delta variant taking its toll, showing the perils that new outbreaks pose to the world’s economy.

Many American retailers are anticipating delays and shortages of goods as we approach the holiday season. Nike cut its sales forecast, citing the loss of 10 weeks of production in Vietnam since mid-July and reopenings set to start in phases in October.

Read more HERE

#supplychain #pandemic #shortage #madeinusa #covid19