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."
This report analyzes the worldwide markets for Sports and Fitness Clothing in US$ Million by the following Product Segments: Sports Apparel, and Fitness Clothing. The report provides separate comprehe...
Sportswear giant Adidas has launched a mobile phone communication pilot to monitor labour rights at one of its footwear suppliers in Indonesia. ...
- New American Apparel CEO sees solid platform
- Outlook 2015: What's happening with sourcing?
- George at Asda on responsible retail journey
- Outlook 2015: Challenges and opportunities
- Outlook 2015: What keeps you awake at night?
- EU exploring responsible garment supply chains
- Gap to close Piperlime division
- Adidas sells Rockport for $280m to focus on sports
- Tommy Hilfiger digital showroom to reduce samples
- Adidas and Timberland commit to responsible down
- Myanmar's Garment Sector - Opportunities & Challenges in 2015
- Outdoor performance apparel: peaks, valleys, and green fields
- Li & Fung Limited (494) - Financial and Strategic SWOT Analysis Review
- Management briefing: Outlook 2015: Apparel industry issues in the year ahead
- E-Textiles: Electronic Textiles 2014-2024