Yue Yuen Industrial (Holdings) Ltd. on Monday gave a profit warning for the nine months ended Sept. 30, 2026.

The Taiwanese shoe manufacturer said it expects a profit decrease of between 50 percent to 55 percent following a preliminary review of unaudited consolidated financial statements of the Group. That compares with a profit of $278.7 million in the same year-ago period in 2025.

Yue Yuen attributed the profit decline to “multiple headwinds in the operating environment” of its manufacturing business. “Weak demand led to a contraction in sales scale, which coupled with rising costs and increasing pressure on product efficiency, weighed on the gross profit margin of the Group’s manufacturing business during the period,” the company said.

To be sure, new tariff policies and geopolitical tensions last year created uncertainties for Chinese manufacturers. The uncertainties began in April 2025 when U.S.…