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Chinese shoe factory navigates US tariff turbulence through close partnership

China

China

China

Chinese shoe factory navigates US tariff turbulence through close partnership

2026-05-13 17:18 Last Updated At:05-14 12:51

A shoe factory in Wenzhou City, east China's Zhejiang Province, has been working closely with its American partners to weather the sharp ups and downs in US tariff policies over the past year.

The city of Wenzhou is home to thousands of shoe factories, many of which focus on exports. About 1 in 12 pairs of shoes worldwide are made in the city.

Xuda Footwear in Wenzhou City, which manufactures for several major U.S. brands, saw its US orders drop about 40 percent year on year after tariff hikes began last year, according to vice general manager Lin Zhihua.

Then, despite widespread criticism and high volatility in U.S. stock markets after tariff hikes, last April, the White House clarified that the total effective tariff rate on Chinese imports had climbed to 145 percent.

The uncertainty prompted American clients to make practical adjustments. Yuan Weimin, head of Xuda Footwear's foreign trade department, said that clients asked the factory to leave retail prices blank on shoe tags, as final shelf prices in the U.S. remained unpredictable.

"The client felt the tariffs were going up and down, and were very unstable. So they started making some adjustments. For example, on the shoe price tags, we used to print the retail price. But they asked us to remove the price and just leave it blank," said Yuan Weimin, head of the foreign trade department of Xuda Footwear, as the sale price would probably be different when the shoes appeared on the U.S. shelves for customers.

Yuan said the uncertainty was also hitting the factory hard. While fearing last-minute order cancellations, Xuda continued production at the urging of its U.S. partners, who worried that halting orders would quickly empty American store shelves.

Some Americans showed solidarity with Chinese partners and chose to shoulder the risk of keeping things running. In one case, an American client paid for a large order but requested that the shoes not be shipped amid the high tariffs.

The moment of relief came in May, 2025. China and the United States reached a temporary agreement in Geneva, with U.S. tariffs on Chinese goods dropped from 145 percent to around 30 percent.

"By the end of June, production was back at scale. Because a 145 percent tariff isn't really workable for anyone," said Yuan.

Looking back on last year's turbulence, Lin said both he and his U.S. clients and partners were feeling stressed.

"It was a stressful time. Things were very unpredictable. Not just for us, but for the trading companies and the US clients too. Everyone was anxious," Lin said.

At the invitation of Chinese President Xi Jinping, U.S. President Donald Trump will pay a state visit to China from May 13 to 15.

Lin said he is looking forward to the U.S. president's visit.

"I'm actually looking forward to it. Him coming to China is in itself a sign that things might look up," said Lin.

Chinese shoe factory navigates US tariff turbulence through close partnership

Chinese shoe factory navigates US tariff turbulence through close partnership

Emergency measures are being put in place to help urban areas across China cope with sweltering daytime temperatures as a severe heatwave grips multiple regions of the country, with local community rest stations being set up to shield residents and provide much-needed respite to outdoor workers amid the scorching weather.

Large swathes of the country are baking as the summer heat takes hold. According to the Central Meteorological Observatory of China, eight of the top ten hottest areas nationwide on Wednesday were in northwest China's Xinjiang Uygur Autonomous Region, where Turpan and Toksun both recorded temperatures above 44.5 degrees Celsius.

The intense heat is unlikely to let up anytime soon, as Hami Meteorological Station has issued a red alert and is forecasting that temperatures in Hami City will exceed 40 degrees Celsius from Wednesday to Sunday.

In an effort to combat the heatwave, the local sanitation department has deployed multiple sprinkler and spray trucks to cover major roads in downtown Hami to help with dust suppression and road surface cooling, while upping the frequency of operations.

Persistent high temperatures have also affected many areas in the southwestern Sichuan Province, with some weather stations recording maximum highs exceeding 42 degrees Celsius and weather alerts being issued in numerous cities.

In Guang'an City, the mercury had already soared to 38 degrees Celsius by 10:00 Wednesday morning, pointing to a long, hot day ahead.

However, the county has opened nearly 350 'rest stations' to help local people escape the heat. These air-conditioned cooling points, equipped with fans, drinking water, emergency medicines, and seating, provide much-needed rest areas for outdoor workers such as delivery drivers and couriers, as well as to the elderly and other passersby.

"This round of high temperatures is characterized by its long duration, high temperatures, and the oppressive, muggy conditions, impacting outdoor workers and the elderly the most," said Yu Jilin, Secretary of the Party Leadership Group at the Wusheng County Federation of Trade Unions.

In the neighboring Chongqing Municipality, a red alert for high temperatures was issued on the same day.

At the exit of a busy highway in Wuxi County, heat waves shimmered on the road surface amid heavy traffic. Police officers on duty were busy checking vehicles under the scorching sun, focusing on any potential safety hazards in passenger and freight vehicles, while enduring the sizzling weather themselves.

"The main issue is the high temperature -- surface temperatures can reach over 50 degrees Celsius. Whenever we are on duty, the exhaust from passing fuel-powered vehicles feels scorching hot against our bodies," said Lin Xianyong, an auxiliary police officer.

Air-conditioned "rest stations" set up to provide respite as scorching heatwave grips China

Air-conditioned "rest stations" set up to provide respite as scorching heatwave grips China

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