Vietnam announced it would extend lockdowns in Ho Chi Minh City until the end of September. New pandemic restrictions in multiple countries were leading to average delays of one to three weeks for fabrics, but companies is adapting by pulling forward deliveries and using airfreight, among other tactics.
Still, many executives emphasized that weekslong losses in production from delayed deliveries can translate into out-of-stocks at retail shops, and, in turn, into lost sales. Nonetheless, the range of reactions and strategies shows how various companies in similar situations may use different tactics to manage their supply chain in response to pandemic-related lockdowns.
Some companies were able to shift production outside of Vietnam to avoid product delivery delays.
