Taiwanese footwear manufacturers reported robust first-quarter performance even as shares plummeted amid concerns over former U.S. President Donald Trump’s aggressive new tariff policies.
Sports Gear Co. posted record-breaking March revenue of NT$2.52 billion ($79 million), soaring 40.07% year-on-year and pushing its first-quarter sales to an all-time high of NT$6.01 billion. Feng Tay Enterprise Co., a major Nike supplier, reported Q1 revenue of NT$20.72 billion with net income of NT$1.15 billion, while Taiwan Paiho Co. saw Q1 revenue jump 19.57% to NT$4.25 billion.
The strong results came just days before Trump announced tariffs targeting footwear production hubs in China, Vietnam, Indonesia and India, sending the industry into turmoil. Taiwanese manufacturers’ shares recorded their third consecutive daily limit-down on April 9 as investors fled the sector.
Sports Gear executives attempted to reassure the market, noting that while 41% of its shoes go to American markets, only 28% specifically target the U.S. The company emphasized that no clients have canceled orders or requested price adjustments, with first-half bookings appearing secure.
Taiwan Paiho, which derives about 5.5% of consolidated revenue from American markets, stated it has received no order adjustments from brand partners or factories. Unlike direct exporters, Baihe primarily supplies materials to shoe manufacturers who then export finished products.
Taiwan’s footwear sector had anticipated recovery in 2025 after prolonged inventory adjustments, but Trump’s tariff announcements have forced companies to accelerate diversification strategies beyond their traditional Asian manufacturing bases.
