Retailers’ Latest Headache: Shutdowns at Their Vietnamese Suppliers

09/29/2021

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Sapna Maheshwari and Patricia Cohen | New York Times

Factories in the country, a major apparel and footwear supplier to the U.S., have been forced by the pandemic to close or operate at reduced capacity, complicating the all-important holiday season.

After a bruising 18 months of the pandemic, this fall represented a fresh start for the apparel company Everlane. It was preparing to release a slew of new products, with September marking the beginning of an ambitious marketing campaign around its denim.

Instead, Everlane has spent this month scrambling just to get jeans — along with other products like bags and shoes — out of Vietnam, where a surge in coronavirus cases has forced factories to either close or operate at severely reduced capacity with staff living in on-site bubbles.

“At this point, we have factories in 100 percent lockdown,” Michael Preysman, Everlane’s chief executive, said in an interview. “Do we fly things over? Do we move things? Do we adjust in the factory? It’s a nonstop game of Tetris.”

Vietnam has grown in recent years to become the second-biggest supplier of apparel and footwear to the United States after China. Vietnam made it through the first part of the pandemic relatively unscathed, but now the Delta variant of the coronavirus is on a rampage, highlighting the uneven distribution of vaccines globally and the perils that new outbreaks pose to the world’s economy.

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