CHINA: Adidas reiterates commitment to sourcing in China
Sportswear giant Adidas says it remains committed to sourcing in China and will continue to work with more than 300 suppliers there despite shutting its only company-owned Chinese apparel factory earlier this year.
The factory in Suzhou, which employed 160 people, was closed in October to give Adidas a more consistent sourcing structure. The company said workers were given a notice period and would receive a package with benefits.
Adidas is also facing legal action after it terminated contracts with several Chinese suppliers. They say they are not satisfied with the compensation they received because machines and software systems were tailored for Adidas, according to China Business News.
However, in a statement issued to just-style today (20 December), Adidas said: "We have given fair and proper legal notice to our partner suppliers with regards to the termination of our business contracts.
"We have fulfilled all of our contractual obligations, but will nevertheless support supplier partners with consultative advice in their communication and transition plans."
The company added: "China has been, and will remain, a key sourcing market for the Adidas group.
"It is true that we are rationalising our sourcing structure but this will not impact the total volume of Adidas production in China. Adidas partners with 300+ supplier factories in China and our commitment to China continues."
Sportswear giant Adidas has launched a mobile phone communication pilot to monitor labour rights at one of its footwear suppliers in Indonesia. ...
Campaigners are set to stage protests outside Foot Locker outlets across the UK, Europe and the US today (22 April), calling for it to cut ties with Adidas over the sportswear group's failure to pay f...
- Why Inditex is "clear winner" in fast fashion
- Brexit blow to global apparel industry confidence
- Sir Philip Green blamed for the collapse of BHS
- Why fast fashion isn't a case of one size fits all
- North Face has holistic view on harmful chemicals
- US Q2 in brief - Columbia Sportswear, Rocky Brands
- Vietnam mulls wage freeze to boost competitiveness
- VF Corp cuts guidance as Q2 profit plunges 70%
- Teijin launches polyester hook-and-loop fastener
- Ananta Group hits back at Bangladesh union claims
- Central America strategic sourcing review - a focus on Guatemala, El Salvador and Honduras
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- World Textile and Apparel Trade and Production Trends: the EU - June 2016
- Primark Stores Limited: Retailing - Company Profile & SWOT Analysis
- Global market review of lingerie - forecasts to 2020