Nike, Gap, Urban Outfitters and other retailers are warning lockdowns in Vietnam are wreaking havoc on supply chains



Aleeya Mayo | Business Insider

Clothing companies are having a hard time meeting customer demand amid strict lockdowns in Vietnam as COVID-19 continues to spread, Axios first reported. 

Vietnam is a huge manufacturer for many American clothing brands, and as the virus continues to spread, companies are having trouble getting inventory in stock to keeping up with the demand for clothes now that restrictions have been lifted in the US. 

“I would say our biggest concern right now is actually getting the inventory,” Richard Hayne, CEO of Urban Outfitters said in an earnings call Tuesday. “Not when it’s going to come in, or how much it’s going to cost. We are — we have a situation in Vietnam. I’m sure other people have the exact same situation where the country is completely closed.”

Vietnam had fewer than 2,000 cases prior to July of this year, but has since reported numbers topping 10,000 since the beginning of August, according to data from Our World Data.

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