by QIN Lixin

Adidas is deepening its China push, highlighting the market's growing role in product design, manufacturing and long-term growth.

During a visit to Shanghai on Oct. 13 — his fourth trip to China in three years — CEO Bjorn Gulden called the country "very, very important," noting it now accounts for about 15% of global sales.

After a €75 million (about US$87 million) loss in 2023, the Germany-based sportswear maker swung back to profit last year with €764 million in net income and €23.68 billion in revenue, up 12%. Revenue in Greater China rose 11% in the second quarter and 13% in the first half of 2024 to €1.83 billion, marking nine consecutive quarters of growth.

Adidas's China team operates with a high level of autonomy. More than 60% of products sold in China are designed by local teams, with 95% made in China. The company will relocate its Greater China headquarters next year to a new 1,500-employee campus in Shanghai's West Bund, underscoring its deepening presence in the market. "You need to be close to the consumer to make the right decision," Gulden said.

The company's Shanghai Creative Center, established 20 years ago, has produced hit collections such as the "New Chinese Style" line blending Tang-inspired jackets and cheongsam details. To boost efficiency, Adidas opened an automated distribution center in Suzhou in 2023 — its most advanced globally — shifting from production-led to demand-driven logistics.

The company is also expanding its engagement in Chinese sports. It sponsors Olympic champions SU Yiming and PAN Zhanle, supports China's national volleyball team, and partners with the Chinese Wushu Association. Adidas has launched college running and dance competitions to align with the country's "Fitness for All" campaign.

"China will be one of the most important sports markets in ten years," Gulden said, adding that the country will remain central to Adidas's long-term growth strategy.