Trade war: Vietnam ends up in Trump’s sight

Trade war: Vietnam ends up in Trump’s sight

Vietnam ends up in Trump’s sight. The United States are already fighting a difficult trade war with China (other than with Europe). Now Vietnam could join the group. American footwear manufacturers who are running from China, and had chosen Vietnam to relocate their supply chain to Vietnam.

Vietnam ends up in Trump’s sight

The Trump administration is conducting an inquiry over Vietnam’s commercial practices, while US fashion is increasingly concerned. Vietnam was the one country replacing, more than others in South-East Asia, China as the place in which to move American footwear businesses’ supply chain. Their goal: escaping the tariffs.

FDRA “very concerned”

Ina  statement made to Footwear News, the president of Footwear Distributors and Retailers of America (FDRA), Matt Priest, explained that the association is “very concerned” by the potential inquiry over Vietnam. The country is the 2nd largest supplier of footwear for the US after China. “Any action that aims at Vietnam’s footwear segment could have devastating effects on US companies and consumers during a time in which they can least afford it”.

AAFA joins in the conversation

Steve Lamar, CEO of AAFA (American Apparel & Footwear Association) speaks similar words. “Vietnam is a very important commercial partner for the US clothing industry, as well as the footwear one and travel accessories. Additionally, the country has become even more important since US businesses have chosen to diversify their supply chain away from China”, he said to WWD.

NCTO’s appreciation

Kim Glas, CEO of NCTO (National Council of Textile Organizations) sided in favor of the new tariffs. “The commercial relation between the USA and Vietnam already suffers from many issues that we have already had with China”. The association concluded by saying that it’s right to battle unfair practices that damage US companies.

Images from Shutterstock

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