FAQ: Where Is The Nike Factory In Indonesia?

Is there a Nike factory in Indonesia?

An Indonesian factory that produces shoes for American company Nike has sacked 4,985 workers as the economic impact from the Covid-19 pandemic continues to take its toll. Victory Chingluh is a Taiwanese sportswear company that runs two factories in Indonesia.

Where are the Nike factories in Indonesia?

Indonesian Industry Minister Saleh Husin inaugurated the new USD $60 million shoe factory of Changshin Reksa Jaya in Garut (West Java) which will produce Nike branded shoes. The shoe factory has an annual production capacity of 15 million pairs and will provide employment to 5,500 people.

Where are Nike’s factories?

Most of the factories are located in Asia, including Indonesia, China, Taiwan, India, Thailand, Vietnam, Pakistan, Philippines, and Malaysia. Nike is hesitant to disclose information about the contract companies it works with.

Who makes Nike shoes in Indonesia?

Adis Dimension Footwear, the local Indonesian unit of the US-based multinational footwear and sportswear manufacturer Nike Inc, announced a new 60 million US dollars factory in Majalengka (West Java).

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How does Nike affect Indonesia?

Over the years, Nike expanded its factories across the country. They found labor in almost inexhaustible supply especially in poor urban areas around the island of Java. Tapping this labor, they trained and raised the industrial efficiency of Indonesian workers.

How many Nike factories are in Indonesia?

Indonesia is the third biggest producer of Nike goods, after Vietnam and China, with 40 factories employing 171,000 people.

What is the minimum wage in Indonesia?

Minimum Wages in Indonesia is expected to reach 4.42 IDR Million/Month by the end of 2021, according to Trading Economics global macro models and analysts expectations.

Who is the CEO of Nike?

Early in his career, Nike President and CEO John Donahoe heard a speaker at a Bain & Company training program make an observation that immediately clicked with him: Elite athletes tend to view getting help as a sign of strength.

Are sweatshops illegal in Indonesia?

Indonesia: low wages in the textile and garment industry undermine workers’ rights. The minimum wage is legally fixed and resolved at the district level, ranging from US $80 to US $200 per month. However, the minimum wage is not applied in many factories, which request exemption for financial reasons.

How many countries does Nike use 2020?

We sell our products in 170 countries. We have more than 30,000 worldwide employees. We have a dozen brands that serve more than 30 major sports and consumer lifestyles.

Is Nike owned by the Chinese?

Nike CEO John Donahoe called the sportswear apparel giant a “brand of China ” this week, following a fiasco it was involved in earlier this year over concerns about human rights abuses committed by the communist government. “We are the largest sport brand there, and we are a brand of China and for China,” Donahoe said.

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Does Nike have any factories in the United States?

According to the latest data we have from November 2020, Nike has 35 U.S. factories (30 focused on apparel), which makes up 6.4% of their total number of worldwide factories. Those 35 factories employ 5,430 workers, a measly 0.5% of Nike’s total workers across their entire manufacturing footprint.

How much do Nikes cost in Indonesia?

“The retail price of Nike shoes in the U.S. is between $50 and $175, on average $75,” the study said. “But the production cost in Indonesia is $5.60 a pair.

What were the issues for employees at the Nike factory in Indonesia?

In 1991, American labour activist Jeffrey Ballinger published a report on Nike’s factory practices in Indonesia, exposing a scandal: below-minimum wages, child labour and appalling conditions likened to a sweatshop – a factory or workshop where employees work long hours for low money in conditions that are hazardous to

Who makes Nike shoes?

Almost all Nike shoes are manufactured outside of the United States. The leading manufacturer of Nike shoes is China and Vietnam each accounting for 36% of the total manufactured world wide. Indonesia accounts for 22% and Thailand for 6% of the Nike shoes that are being produced world wide.

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