Vietnam’s Industry Ministry established the state-owned Vietnam Leather and Footwear Company in mid-May from the remnants of companies affiliated to the Vietnam National Leather and Footwear Corporation, according to the Vietnamese News Agency. The Corporation was recently liquidated because it was loss-making.

A Ministry spokesperson said the new Vietnam Leather and Footwear Company, which has a registered capital of US$2 million, will avoid the mistakes made by their predecessor. The affiliate companies forming the new company include the Vinh Leather Tanning Company, the Phuc Yen Footwear Company, the Leather and Footwear Trading Company and the Leather and Footwear Import and Export Company.