Manufacturing migration: Trade spat shifts business from 'Factory of the World'

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HANOI: From socks and sneakers to washing machines and watches, Asian countries are hoping the US-China trade war will permanently boost ...

HANOI: From socks and sneakers to washing machines and watches, Asian countries are hoping the US-China trade war will permanently boost manufacturing as brands dodge the row by choosing cheaper locations to make their goods.

That"really became a kicker to force people to move", said Trent Davies, manager of international business at the advisory and tax firm Dezan Shira & Associates in Vietnam.A surge in relocations from China or plans to scale up production has strengthened the manufacturing hubs of Southeast Asia and beyond.

Vietnam's exports to the US during the first three months of 2019 reached nearly $16 billion, up 40 percent from last year AFP/Manan VATSYAYANASome Vietnamese suppliers say the trade dispute has fast-tracked the trend as companies scramble to dodge fresh tariffs that could affect some 4,000 categories of exports to the US.

"We want to open more factories, we want to expand our capacity," he said at one of his facilities where an army of workers made shirts destined for American shopping malls and department stores.

 

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