Core Insights - The North Face has shifted 80% of its production away from Türkiye due to rising costs, which have reportedly doubled compared to competitors in the Far East [1] - Gelisim Tekstil, previously a major producer for The North Face, is facing a drastic reduction in business, with orders dropping from approximately €30 million to between €4 million and €5 million [2][3] - The workforce at Gelisim Tekstil, currently at 1,200 employees, may be halved due to the cutback in orders, with production capacity utilization plummeting from 1 million pieces in 2022 to 400,000-500,000 pieces [5] Production and Workforce Impact - Gelisim Tekstil was the second-largest global producer for The North Face and the largest within the EU, but has seen a significant shift in production to countries like Bangladesh and Vietnam [3] - The company has multiple facilities, including a factory in Corlu with 300 workers, an Adiyaman plant with 350 staff, and an Istanbul facility employing 500 individuals [4] - The chairman of Gelisim Tekstil indicated that if business conditions do not improve, the company may need to part ways with employees, potentially leading to a workforce reduction by half starting in May next year [5] Economic Factors - The minimum wage in Türkiye has surged by 302% and inflation has increased by 290% over the past three years, significantly outpacing the growth of the US dollar, which rose by only 132% [6] - As a result, the company's expenses in dollar terms have more than doubled, contributing to the decision to reduce production in Türkiye [6]