Adidas wants to win back Chinese market with ‘patriotic production lines’
Sporting goods group Adidas plans to recapture China’s market with “patriotic production lines,” in which international design is combined with the country’s traditional culture. As reported by the newspaper “Handelsblatt”, the company’s head for China, Adrian Siu, declared that within the next year the company will design at least 30 percent of the clothing sold on the local market in this state. Before the corona crisis, the share was less than 10 percent. In addition, Adidas plans to expand cooperation with Chinese athletes and move more of the production to China in order to be able to react faster to fashion trends.
As “Handelsblatt” notes, in this way the group could face an increase in production costs, since labor is more expensive in China than in Vietnam, Indonesia or Cambodia. Like competitors Puma (Germany) and Nike (United States), Adidas has been affected by the decline in consumption in China, due to the restrictions for the containment of Covid-19 implemented by the Beijing government. At the same time, competition from Chinese clothing brands is growing
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