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    Yuyuan Shoe Factory Massive Strike Dispute Nike Wants To Pfer Base

    2014/5/5 14:55:00 1132

    ProtestNikeSports ShoesBrand

    < p > according to the voice of the economy "world company" reported that since March, there have been frequent downtime protests. Large companies such as IBM, Tencent, Samsung and NOKIA have been deeply trapped in the whirlpool of labor disputes. Nike, who has been in trouble, took the lead in taking the initiative to consider moving production out of China.

    < /p >


    < p > mid April, 40 thousand workers of Yuyuan Dongguan shoe factory, Nike's foundry factory, began to stop working and protest for more than 10 days, resulting in more than ten million dollars loss.

    The reason for the downtime is that employees have questioned the factory's standards of temporary employment for many years, and for social workers who work for more than 10 years.

    < /p >


    < p > today, Nike CEO Mark Parker responded for the first time. He said in the us that Nike was considering pferring the production base due to a large strike dispute among its suppliers.

    < /p >


    < p > Nike CEO: even if there was a large-scale shutdown, we did not pfer production orders to other countries immediately. However, we will pay close attention to the progress of events and choose to move production from China.

    In fact, we have been considering shifting the factory.

    Next, Nike and Yuyuan and factory workers maintain close contacts to ensure that factory conditions meet Nike's working standards.

    < /p >


    Jerry, director of investor relations at Yuyuan group, said today that Nike and Yuyuan cooperation are very good. The two sides have long-term cooperation plans. P

    < /p >


    < p > Jerry: it should be said that we have worked with Nike for a long time. Even now, there is nothing wrong with what is going on in the long run.

    Customers have confidence in China's production capacity < /p >


    < p > reporter: there are several brands in this field. If a brand withdraws, will it cause unemployment? < /p >


    < p > Jerry: in the long run, they still feel that China is very important in manufacturing.

    What happened in our factory recently is a very small thing in our history. We have many years of history in China, and the guests will continue to produce in China, and will not change in the long run.

    < /p >


    < p > now Yuyuan Dongguan factory has basically returned to normal production order, but according to staff, social security problem has not been solved, most employees are forced to return to work, and several workers who took the lead off work were taken away to assist in the investigation.

    < /p >


    < p > Yuyuan group is the world's largest manufacturer of sports shoes, Taiwan and Hongkong. In 2013, its net profit was 435 million US dollars. Its customers include Adidas, Nike, Puma, Reebok, new Bai Lun and many other famous companies, with nearly 160 thousand employees.

    < /p >


    Jerry, director of investor relations at Yuyuan group, did not respond directly to the progress of the company's P. He stressed that Yuyuan would make countermeasures according to the requirements of the environment and government: < /p >


    < p > what we are doing now is according to the local government, they say what we do, we do as much as possible, and cooperate with the government as much as possible.

    In view of the possibility of future downtime, we will respond to environmental changes.

    < /p >


    < p > due to the more than 10 day stoppage and unstable production capacity of Yuyuan Dongguan plant, Adidas has begun to redistribute future orders, and some of the orders originally belonging to Yuyuan will be pferred to other suppliers.

    Earlier, Nike, Adidas, and Zara, gap and other fast fashion brands moved the factory in succession, some went to Vietnam, Bangladesh, Indonesia, and some went to Africa.

    < /p >


    < p > in the face of the loss of orders and the pfer of foundry bases, Jerry, head of investor relations at Yuyuan group, said that everyone was making decisions based on changes in the economic situation, but Yu Yuan still preferred to set up factories in China.

    < /p >


    < p > from an economic standpoint, we make products popular consumer goods, and customers want to maintain stable products to consumers. Finally, we need to see changes in the market.

    For example, China will make an economic strategic change, for example, if RMB can depreciate by 20% as the Japanese yen, then the situation will be different.

    In short, we still want to make manufacturing in China.

    < /p >


    < p > although Yuyuan has repeatedly stressed that he is willing to leave the factory in China, they are also speeding up the new production line in Southeast Asia.

    At the end of the first quarter of this year, the footwear production lines in Vietnam and Indonesia increased to 150 and 136 respectively, while the production lines in the mainland only increased by 4 in nominal terms this year.

    < /p >

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