Phan Thi Thanh Xuan, vice chairwoman and general secretary of LEFASO, told a trade promotion conference on May 30 that Asia accounts for 87% of global footwear production, with approximately 23 billion pairs produced annually. Of the total, China produces about 13 billion pairs, India over 2.6 billion, and Vietnam over 1.4 billion.

It’s noteworthy that Vietnam exports 90 - 95% of its total production, a much higher rate compared to other manufacturing countries, which primarily serve their domestic markets, Xuan said.

She cited LEFASO statistics saying in the first four months of 2025, Vietnam’s footwear and handbag exports increased by over 16%, targeting major markets such as the United States, the European Union, and Japan. The US market alone accounts for nearly 40% of the industry’s total export value.

Vietnam has become a major manufacturing hub in the global supply chain, chosen by leading international brands such as Nike, Adidas, Puma, and Skechers as a key production base. It currently produces around 50% of Nike’s products and approximately 30% of Adidas’s output.

Notably, the share of exports from domestic enterprises rose to 28% in early 2025, signaling a gradual strength of domestic capacity, as the industry becomes less reliant on foreign direct investment (FDI) than in the past.

Despite these achievements, the industry faces several challenges, including global economic volatility, trade barriers from key markets, especially the US, and rising costs for labour, raw materials, and logistics. It heavily relies on imported materials, with the localisation rate just reaching about 55% for the entire industry and nearly 70% for sport shoes.

In addition, the industry is coping with pressure to meet green production standards, emission reductions, and supply chain traceability, particularly in light of the EU’s Carbon Border Adjustment Mechanism (CBAM) regulations

Nonetheless, LEFASO emphasises that Vietnam retains significant advantages in terms of geopolitical position, manufacturing capacity, and credibility in global supply chains. With over 30 years of industry development, a skilled workforce, and a modern production system, Vietnam is well-positioned to sustain its role as one of the world’s leading footwear exporters, provided it can strategically capitalise on opportunities and overcome existing challenges.

Leather and footwear exports grow steadily despite mounting pressure

VOV.VN - Vietnamese leather and footwear exports during the opening four months of the year rose by 5.7% year on year to US$6.542 billion, according to statistics from the Vietnam Leather, Footwear and Handbag Association (LEFASO).