PVH, Li & Fung Ink Strategic Supply Chain Pact

Apparel maker PVH Corp. has entered into a new supply chain relationship with Hong Kong-based exporter Li & Fung, the companies announced.

The new deal changes the companies' existing non-exclusive buying agency agreement into a new strategic partnership through which Li & Fung will provide PVH with additional value-added services. The deal is expected to close on July 1.

A media release announcing the pact said it will "be mutually beneficial to both companies and focus on applying the latest technology and know-how into the PVH supply chain."

“Our focus is to create a more effective and efficient supply chain that will enable us to adapt and evolve so we can stay ahead in our rapidly changing industry," said Daniel Grieder, chief executive officer of Tommy Hilfiger Global and PVH Europe. "This transformation in our sourcing strategy is an important step in our initiative to improve speed to market and for the faster integration of consumer insights into our new collections.”

“We’ve had a long-standing relationship with PVH and we’re excited to continue building on that under this new strategic partnership where we’ll have an opportunity to create what we see as the Supply Chain of the Future, ” said Spencer Fung, group CEO of Li & Fung.

PVH Corp. ranks 62nd on CGT's list of Top 100 Consumer Goods Companies for 2016. Brands include Calvin Klein, Tommy Hilfiger, Van Heusen, Izod, Arrow, Speedo, Warner's and Olga.