Taiwanese sports shoe maker Feng Tay Enterprise Co Ltd on Wednesday revealed plans to set up a production joint venture in Vietnam.

The company said the $8 million pact with Uei Tong Shoes Co will result in a new factory opening later this year aimed at major US brands.

Feng Tay currently has three plants in Vietnam, two of which make shoes for Nike. It plans to establish at least five plants in Vietnam in the future to boost its output level to the same as those at its plants in mainland China.