Kate Taylor/Business Insider
A worker prepares the stuffing for a Lovesac couch.
- Furniture company Lovesac, along with companies like Adidas and Samsung, is shifting product from China to Vietnam and other Asian countries - in part to dodge the impact of the US-China trade war.
- "Trump will try to convince you that these Chinese companies pay those tariffs, but they don't," said Lovesac CEO Shawn Nelson. "It's Lovesac and American companies like mine that pay the tariffs."
- We visited a factory in Ho Chi Minh City, Vietnam that is taking on more Lovesac production as the company attempts to move manufacturing outside of China.
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The trade war is helping convince companies to move manufacturing from China to Vietnam as they attempt to dodge President Trump's tariffs.
In 2019, Vietnam exported almost $47 billion more than it imported from the US. That's a significant increase from the $34.9 billion trade surplus between the countries in 2018. Companies including Samsung, Nike, and Adidas have shifted production into Vietnam from China as tariff concerns have grown.
"Trump will try to convince you that these Chinese companies pay those tariffs, but they don't," Lovesac CEO Shawn Nelson recently told Business Insider. "It's Lovesac and American companies like mine that pay the tariffs."
As they attempt to diversify outside of China, companies like Lovesac are turning to Vietnamese factories. Recently, Business Insider visited Tan Hoang Gia Trading Co., a factory in Ho Chi Minh City that has been taking on more Lovesac manufacturing in recent years.
Here is a look inside a factory taking on more work due to the trade war.