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Sportswear brand On launches South Korea robot factory to tackle supply chain risk
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Sportswear brand On launches South Korea robot factory to tackle supply chain risk

#On Running #Robot Factory #South Korea #Supply Chain Risk #Automation #LightSpray Technology #Nearshoring #Tariff Impact

📌 Key Takeaways

  • On opened a robot factory in Busan, South Korea with 32 robots to produce running shoes
  • The factory can produce about 1,000 pairs of shoes daily using the innovative 'LightSpray' method
  • The company plans more robot factories in the U.S. and Europe to address tariff costs and supply chain issues
  • On currently sources 90% of shoes from Vietnam and 10% from Indonesia but is shifting toward automation and nearshoring

📖 Full Retelling

Sportswear brand On Running has opened a factory in Busan, South Korea using robots to make running shoes and plans more robot factories in the United States and Europe as it tries to speed up manufacturing and delivery, the company said on Wednesday. The factory represents a significant expansion of On's automated manufacturing capabilities, featuring 32 robots compared to just four in the company's first such factory in Zurich, which began production in July 2025. This technological advancement allows On to produce approximately 1,000 pairs of shoes daily using its proprietary 'LightSpray' method, where a robot arm sprays material directly onto a mold to create a sock-like upper. The move toward automation and 'nearshoring' manufacturing comes amid increasing challenges posed by U.S. tariff hikes on footwear from traditional manufacturing hubs like Vietnam and China, as well as ongoing supply chain disruptions and geopolitical risks. Co-founder Caspar Coppetti emphasized that automation addresses multiple challenges simultaneously, including the diminishing availability of cheap labor in traditional manufacturing regions while reducing environmental impact and delivery times.

🏷️ Themes

Automation, Supply Chain, Trade Policy, Manufacturing Innovation

📚 Related People & Topics

On (company)

On (company)

Swiss athletic shoe and sportswear company

On Holding AG is a Swiss athletic shoe and performance sportswear company that designs and markets sports clothing and running shoes. In 2019, On products were sold in 6,000 retailers in 55 countries and the company held 40% of the running shoe market in Switzerland and 10% in Germany. The United St...

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Automation

Automation

Use of various control systems for operating equipment

Automation describes a wide range of technologies that reduce human intervention in processes, mainly by predetermining decision criteria, subprocess relationships, and related actions, as well as embodying those predeterminations in machines. Automation has been achieved by various means including ...

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South Korea

South Korea

Country in East Asia

South Korea, officially the Republic of Korea (ROK), is a country in East Asia. It constitutes the southern half of the Korean Peninsula and borders North Korea along the Korean Demilitarized Zone, with the Yellow Sea to the west and the Sea of Japan to the east. South Korea claims to be the sole le...

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Original Source
try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry Gold prices rebound on tariff jitters; silver, platinum and copper rally Nvidia, Salesforce earnings loom large - what’s moving markets AMD stock surges 14% on Meta AI partnership deal U.S. stock futures drift higher; Nvidia earnings to drive direction (South Africa Philippines Nigeria) Sportswear brand On launches South Korea robot factory to tackle supply chain risk By Reuters Stock Markets Published 02/25/2026, 05:18 AM Updated 02/25/2026, 06:01 AM Sportswear brand On launches South Korea robot factory to tackle supply chain risk 0 ONON -1.37% By Minwoo Park and Helen Reid BUSAN, South Korea, February 25 - Sportswear brand On Running has opened a factory in Busan, South Korea using robots to make running shoes and plans more robot factories in the United States and Europe as it tries to speed up manufacturing and delivery, the company said on Wednesday. Tariff hikes imposed by the United States, supply chain disruptions and geopolitical risks are driving some retailers and brands to explore "nearshoring" manufacturing, or bringing it closer to the end consumer. Caspar Coppetti, co-founder of On, said automation enables the brand to make shoes faster, with less environmental impact, and closer to its key markets compared to the standard footwear manufacturing model which relies on shipping finished shoes from factories in South-East Asia and China to shoppers in the U.S. and Europe. "The speed to market and the sustainability of it and also the fact that basically we’re running out of places with cheap labour are all speaking for automation and going closer to where consumers are," Coppetti said. On currently sources 90% of its shoes from third-party manufacturers in Vietnam and 10% from Indonesia, according to its latest annual report. AUTOMATED MANUFACTURING EXPANSION The company first unveiled its "LightSpray" marathon running shoe, made with a robot arm spraying material onto a mold to create a sock-lik...
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