Global sportswear brands shift to local production in India

Global sportswear brands shift to local production in India

Driven by rising fitness awareness- evidenced by active running events jumping from 500 in 2018 to nearly 2,000, global sports goods and apparel majors, including Nike, Asics, and Decathlon, are aggressively expanding their manufacturing footprints and retail store networks in India. As projected by KPMG, India’s sports equipment, footwear, and apparel manufacturing sector is set to expand from $6.7 billion to $10 billion by 2030.

Supply chain localization overcomes regulatory import constraints

Rather than relying purely on global supply networks, brands are localizing product lines and sourcing models to address high import tariffs and stringent Bureau of Indian Standards (BIS) footwear certification compliance. Asics is raising its domestic manufacturing share from 30 per cent to 40 per cent, while Adidas recently inaugurated  Evervan Kothari footwear plant in Tamil Nadu. Simultaneously, Nike launched its first running shoe - the ‘Vegam Run,’  designed specifically for Indian consumers and priced at Rs 3,795 to capture mass-market entry points.

Physical retail and operational agility drive regional market share

Decathlon is committing €100 million to expand its retail footprint to 200 stores by 2030, targeting Tier-II & III hubs like Jaipur, Surat, and Kochi. Downstream converting hubs are optimizing product assortments for localized climate needs and regional foot shapes.

India’s growing running ecosystem requires localized product engineering and direct supply chain agility rather than standard global distribution, notes Sankar Chatterjee, CEO, Decathlon Sports India. In a notable operational shift, a regional athletic wear manufacturer shortened prototype-to-shelf production cycles to 21 days, lowering inventory holding costs while sustaining double-digit sales velocity.

Domestic sportswear manufacturing expansion

Global sports apparel and equipment brands design, manufacture, and distribute athletic performance gear across physical and e-commerce networks. Expanding aggressively across primary metropolitan hubs and emerging regional markets, these enterprises target sustained volume growth through localized manufacturing. Leveraging decades of innovation, the sector maintains strong high-single-digit sales momentum.

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