Giant shut down factories in China for 1.5 months when Covid-19 broke out in the country. After that, Europe and America also started to blockade, importers canceled their orders.
Ms. Tu said that sales in the US started to increase again in March. Currently all of Giant’s factories are operating at almost full capacity. However, despite people rushing to buy bicycles, she calmly did not increase the scale of production. This female leader does not believe that the new love that the world for cycling can last longer than the pandemic. It was only sooner or later, she said.
Ms. Tu’s careful business is evidenced by her carefree lifestyle. At the age of 70, she is full of energy and spirit. She cycles three times a week and has completed four laps on the island of Taiwan. She also boasts that she had completed triathlon for the first time at the age of 60.
Like any good long-distance cyclist, Ms. Tu knows how to adjust her speed by herself. She did not worry that Chinese rivals might try to take advantage of cheap bicycles. The pandemic revived one of China’s largest bike-producing towns, which was shut down last year after the country’s bike-sharing bubble exploded.
Ms. Tu said it is difficult to understand why Chinese business owners seem to believe their customers are only concerned with price, not quality. Her concern when it comes to China is only how to maintain Giant’s workforce. Younger interest in factory jobs is declining. Currently, recruiting in China seems difficult despite the widespread layoffs. She said Giant is trying to find the best use of Chinese resources in the context of geopolitical turmoil.
Apart from that, many other manufacturers have set up factories in Vietnam. But for Giant, the Southeast Asian market is not large enough to reach.