HANOI, July 14 (Reuters) – Taiwan’s Pou Chen Corp 9904.TW, the world’s largest producer of branded athletic and informal footwear, suspended on Wednesday operations at its plant in Ho Chi Minh Metropolis as COVID-19 curbs hit factories within the nation’s enterprise hub.
Manufacturing at its Pouyuen Vietnam enterprise in Ho Chi Minh Metropolis, the epicentre of the nation’s worst coronavirus outbreak, shall be suspended for 10 days, the well being ministry mentioned in an announcement.
After efficiently containing the illness for a lot of the pandemic, Vietnam has confronted a extra cussed outbreak since late April, with day by day infections climbing to document ranges.
Firms in Vietnam’s enterprise hub and its neighbouring industrial provinces have been struggling to maintain operating, after strict motion curbs have been imposed throughout a lot of the realm.
Pouyuen Vietnam, the most important employer within the metropolis with 56,000 employees, couldn’t organize for its employees to sleep on the website as required by authorities to permit the enterprise to stay open, the ministry mentioned.
Pou Chen, which manufactures footwear for corporations akin to Nike NKE.N and Adidas ADSGn.DE, didn’t instantly reply to an electronic mail looking for remark.
In April final 12 months, Pouyuen Vietnam was additionally ordered to droop its manufacturing for 2 days after failing to fulfill native guidelines on social distancing.
Earlier this week, state media mentioned metropolis authorities additionally ordered 29 corporations within the Tan Thuan Export Processing Zone, an industrial park, to droop manufacturing because of the outbreak.
On the neighbouring Saigon Hello-Tech Park, which homes worldwide corporations, greater than 700 infections had been detected in latest days, state media reported.
Metropolis authorities had ordered corporations to close models with contaminated employees, the Thanh Nien newspaper reported.
“The best goal in the meanwhile is to include the outbreak,” the paper cited the vice chairwoman of the park’s administration board Le Bich Mortgage as saying.
In Could, the outbreak additionally pressured corporations within the northern industrial provinces of Bac Ninh and Bac Giang to scale down manufacturing, together with Samsung Electronics 005930.KS and Foxconn 2317.TW.
Regardless of the newest outbreak, Vietnam has recorded far decrease caseloads that many different nations with 35,409 infections in complete and 130 deaths.
(Enhancing by Ed Davies)
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