Pou Chen confirms inland moves

16/06/2011
Major footwear production group Pou Chen Corporation has confirmed that it has a strategy in place to relocate its production base from coastal provinces of China to inland areas, as well as to manufacturing countries outside China, in response to high labour costs.

Chairman of the group, Tsai Chi-chien, told a shareholders’ meeting on June 15 that the movement of production would be complete during 2012. He said that, after this, the company will have a brand new production landscape.

Inland production centres include factories in Jiangxi, Hubei, Hunan, Anhui, and Henan. In addition, the company has also been expanding its production bases in Vietnam and Indonesia. A new plant in Bangladesh has been inaugurated.

At the end of March, the company had 509 production lines worldwide and 537,000 workers.