by Apparel Resources News-Desk
29-October-2018 | 1 min read
Brooks, US-based sports apparel company, is considering moving its manufacturing operations from China to Vietnam to avoid higher taxes.
Speaking on the same, Jim Weber, CEO, Brooks, said that the impact of the ongoing trade war between USA and China on its business was drastic.
He said that the 25 per cent tariffs on the company’s business, in addition to the existing 20 per cent on running shoes, is extremely worrying for the company.
Vietnam will be new possible destination for the sports firm though Weber added that the transition may cost the company millions of dollars.
The company is, however, elated as tariffs are lower in Vietnam.
The tariffs imposed by US on China, on products worth US $ 200 billion, may go from 10 to 25 per cent by the end of 2018. China too strongly retaliated by imposing 5 to 10 per cent tariffs on US $ 60 billion worth US products.