Bags / Shoes & Accessories

On May 3, the shoe manufacturer Yuqi-KY announced that in accordance with the Cambodian government policy, although the company's Cambodian shoe factory is not in the official blockade, it still adopts a preventive suspension of operations, from May 4 to May 16. Work will be suspended for 13 days, which is expected to affect 5% to 10% of the group's total output value in May.

Yu Qi issued a message on May 4 that in response to the development of the epidemic, the Cambodian government took control measures from April 15 to May 5, covering Phnom Penh and Da Jin Ou, but the company’s Cambodia plant (Qiding The factory) is not within the officially announced blockade area in April, so it maintains normal operations (the production progress rate in April is nearly 100%). However, taking care of the health of all employees is the first priority for operation, so the resolution has been made on May 4. The “preventive suspension of operations” will be adopted from January to May 16. The group will continue to closely observe the follow-up development status and flexibly carry out production scheduling.

Yu Qi said that the Cambodian plant currently accounts for about 20% of the group’s total output value. Before other subjective and objective conditions remain unchanged, it is estimated that it will affect approximately 5% to 10% of the group’s total output value in May. Under the business strategy of multinational production bases and customized production, the preventive suspension of operations in Cambodia this time will not have a significant impact on annual orders, production capacity, finances, and business.