Feedback Here

fbook  tweeter  linkin YouTube
Global contents also translated in Chinese

“PVH diversifies sourcing from higher number of vendors in 2022”, as per analysis by Sheng Lu and Ally Botwinick

  

PVH Corporation, the owner of popular fashion brands like Calvin Klein and Tommy Hilfiger, has released its factory lists and detailed sourcing strategies for 2022.

The move has enabled analysts to study the company’s sourcing trends and changes over the past year. According to the analysis done by Sheng Lu and Ally Botwinick , PVH continues to work with an increasingly diverse apparel sourcing base, sourcing from 37 countries across the world in 2022, the same number as in 2021. However, the company increased its total number of vendors from 503 to 553, demonstrating its commitment to diversifying its sourcing base.

The analysis also found that PVH’s dominant sourcing base for finished garments and textile raw materials remains Asia. In 2022, around 56.2% of PVH’s apparel suppliers were Asia-based, followed by the EU at 20.3%. PVH added twenty new Asia-based factories to its supplier list in 2022, increasing its total number of vendors in the region. Moreover, as many as 83% of PVH’s raw material suppliers were Asia-based in 2022, far exceeding any other regions.

The study also revealed that PVH’s sourcing strategies in China are evolving and more complex than just “reducing China exposure.” PVH continued to work with more Chinese factories, adding 17 new ones between 2021 and 2022, potentially due to the company's growing sales in China. PVH’s garment factories in China are smaller than those in other Asian countries, which may be because PVH treats China as a sourcing base for flexibility and agility, particularly for orders that may include a greater variety of products in smaller quantities. Interestingly, PVH priced apparel made in China higher than those sourced from other Asian countries.

Finally, PVH is actively sourcing from “emerging” destinations outside Asia. The company sources from several countries in America, the EU, and Africa, including Portugal, Brazil, Tunisia, and Turkey, for various reasons like serving local consumers, sourcing flexibility, accessing raw materials, and lowering costs.

Sheng Lu is an Associate Professor in the Department of Fashion and Apparel Studies at the University of Delaware. Ally Botwinick is a Research Assistant at the University of Delaware, where she works with Professor Sheng Lu on projects related to international trade and global supply chains in the textile and apparel industry.

 
LATEST TOP NEWS
 


 
MOST POPULAR NEWS
VF Logo