AS Covid-19 cases rise in Vietnam, concerns are mounting that lockdowns and other restrictions will disrupt the supply chains of various global brands with production lines based in the country.
To highlight the concern, the American Apparel & Footwear Association (AAFA) recently wrote to the United States and Vietnam governments to speed up distribution of vaccines.
This is to inoculate workers involving suppliers of Adidas, Gap and other brands.
In the letter, AAFA president and CEO Steve Lamar urged the US to ramp up distribution of vaccines, including America's stockpile of AstraZeneca vaccines, to countries like Vietnam.
In a separate letter to Vietnamese Prime Minister Pham Minh Chinh, Lamar urged the Vietnamese government to take emergency actions to help control the spread of Covid-19, particularly in the south.
He asked Vietnam to prioritise inoculations for workers in the garment and shoe sector, as surging cases has seen a number of factories in industrial parks being shutdown.
Vietnam is the second biggest exporter of clothing and shoes to the US after China.
Nikkei Asia reports that with the lowest vaccination rate in Southeast Asia, Vietnam has put health care workers and the military at the top of its priority list for jabs.
"Tangible expressions of support by the Vietnamese government for the workers in this industry, which is so important for both our countries, helps us make the case in the US for rapid relief," Lamar said in the letter.
Nike said it has 200 vendors with half a million employees in Vietnam and they produced 50 per cent of its shoes last year.
Indonesia accounts for about 25 per cent of the production.
However, Nike said it can "navigate these near-term dynamics" and expected its suppliers to prioritise the health and livelihoods of their employees.
The current Covid-19 wave first started in northern Vietnam, which has tech companies such as Samsung and Apple supplier Foxconn.
Nikkei said those companies were added to the vaccine list and donated to a national fund to secure jabs.
The Health Ministry said shots were also given to employees of Intel, Sabeco brewery, and the country's biggest conglomerate Vingroup.
More than 5.2 million people in the country have been vaccinated, including 496,630 fully vaccinated with two shots.
According to a Vn Express report, the US has already provided five million doses of vaccines, but the AAFA now wanted the government to supply more on an urgent basis.
Vietnam, particularly the southern provinces, has recorded close to 120,000 infections since April.
Ho Chi Minh City accounts for 66 per cent of the cases and is the worst hit area.
The city also said it may extend its social distancing measures by another two weeks after Aug 1 as cases were still rising.
On July 22, Ho Chi Minh City decided to continue the social distancing period which had begun July 9 to Aug 1.
Since Monday, the city has also banned people from leaving their houses after 6 pm except for emergencies.
With close to 80,000 Covid-19 cases, the city is now letting most patients isolate themselves at home in order to reduce the burden on the medical system.
Meanwhile, Vietnam recorded 2,821 new cases on Thursday morning, sending the ongoing wave's caseload to 119,812.
Ho Chi Minh City recorded 1,715, followed by its neighbouring provinces of Binh Duong (406), Long An (179), Dong Nai (159), Tay Ninh (139), and Ba Ria - Vung Tau (52).
HCMC accounted for most cases, 78,904, followed by Binh Duong with 9,946.