'Trump Shock' and Footwear Companies: Busan Holds On-Site Meeting with Local Firms on U.S. Tariff Policy

President of the Footwear Industry Association and Representatives from Four Footwear Companies Attend
Discussion on Reciprocal Tariff Burdens and Management Challenges for ODM Companies

How should the footwear export industry respond to the 'Trump shock'?

On April 17, Busan Metropolitan City (Mayor Park Hyungjoon) held a meeting at the Advanced Footwear Convergence Hub Center with Busan-based footwear companies that are facing export challenges due to U.S. Trump administration tariff policies and other related issues.

The meeting, chaired by the Director of the Advanced Industry Bureau of Busan City, was attended by the president of the Korea Footwear Industry Association, as well as vice presidents and executives from Changshin INC, Hwaseung Industries, Parkland, and Hak San, bringing together a total of 10 participants.

These companies are major players that have entered into original design manufacturing (ODM) contracts with global firms that have established factories in countries such as Vietnam and Indonesia to reduce labor costs.

This meeting was organized to listen to the voices of businesses amid growing uncertainty caused by changes in the trade environment, including reciprocal tariffs imposed by the U.S. government.

The discussion addressed the tariff burdens faced by ODM companies exporting to North America from Vietnam, Indonesia, and other countries, as well as the long-term management difficulties that companies exporting to Europe and other regions may encounter. The participants also discussed the potential impact of these changes on the Busan economy.

On this day, Busan City introduced various business support initiatives, including policy funding and the operation of a one-stop business support center, to help alleviate the burden on companies.

Park Dongseok, Director of the Advanced Industry Bureau of Busan City, stated, "To ensure the stable operation of Busan's key footwear industry, we will actively review the suggestions made by companies during this meeting and propose them to relevant institutions."

On the 17th, 10 people, including the president of the Korea Footwear Industry Association and vice presidents of four footwear companies, attended a field meeting on U.S. tariff policy held in the conference room of the Advanced Footwear Convergence Hub Center, chaired by the Director of Advanced Industry Bureau of Busan City.