Footwear production is becoming increasingly Asian – and decreasingly Chinese. That’s what the latest two investments made by Stella International, based in CHINESE Hong Kong, and Evervan Kothari Footwear, an Indian supplier of Adidas, tell us. Stella will open three new plants across Indonesia, Bangladesh and Vietnam. Evervan intends to build a new footwear factory in India employing 13,500 people. India is becoming increasingly important for Adidas, as last November South Korea’s Hwaseung Footwear, an Adidas supplier, announced the construction of a footwear factory in Kuppam with 17,600 jobs. In short, Asia’s production dynamics are changing.

Asia’s production dynamics are changing

As part of its three-year plan (2026-2028), Stella International confirmed the development of three new plants in Indonesia, Bangladesh and Vietnam in 2026. Overall, they’ll add production capacity of around 20 million pairs over the next few years. The CHINESE Hong Kong-based company shared the confirmation that the three new production sites will come into operation in the second half of 2026. In the first half of 2026, Stella International recorded revenue of $786.7 million, up 1.5% compared with the same period in the previous financial year. For the group, shipment volumes remained stable and in line with expectations.

Focus on India

Evervan Kothari Footwear is a joint venture between Taiwan’s Evervan group and India’s Kothari Industrial Corporation. This manufacturing giant, which supplies Adidas, has decided to invest $176 million to build a footwear factory with 13,500 jobs on a 93,000 square-meter site. Its production capacity will be 40 million pairs of shoes a year. The company will complete the first phase of the facility in six months and the entire project within 3 years, according to the Times of India.

These investments suggest two considerations. First, as entrepreneurs told us at the latest trade fairs, production of low- and mid-range shoes is increasingly concentrating in Asia. This also leads to the emergence of local clusters where companies source materials and services. Second, major manufacturers continue to diversify their supply chains, an effective strategy to counter disruptions, US tariffs, logistics obstacles and more. This diversification very often translates into a reduction in production in China and redistribution toward Southeast Asia and India.

审核：雒霞