There is a paradox that runs through the global footwear industry, and the Portuguese have understood it better than anyone else: at a time when almost 24 billion pairs of shoes are produced every year, 88% of which are concentrated in Asia, the future could be written by those who produce less but produce better. This is the challenge that Portugal is throwing down to the global industry, armed with technology, tradition and a strategic vision that few other European countries can boast.

«We do not believe that this situation is sustainable; on the contrary, we believe that there is room in the market for players such as Portugal», said Luís Onofre, president of APICCAPS, the association of Portuguese footwear, component and leather goods manufacturers. A statement that sounds like a programme manifesto, not just a simple declaration of intent.

The figures speak for themselves: in 2024, the Portuguese footwear cluster achieved exports worth €2.1 billion, with 68 million pairs sold in 170 different countries. Exports account for 90% of national production, with Germany, France and the Netherlands as the main European markets. But it is in the United States that Portugal has recorded its most impressive performance: 109% growth over the last decade, with over €90 million worth of footwear exported in 2024 alone.

Behind these results is an industrial strategy that combines craftsmanship excellence and cutting-edge technology. And the beating heart of this transformation is called FAIST: Fábrica Ágil, Inteligente, Sustentável e Tecnológica.

THE FAIST REVOLUTION: ANATOMY OF A €50 MILLION PROJECT

When it comes to industrial innovation, we too often get lost in empty slogans and promises that are never kept. The FAIST project, on the other hand, represents something different: a concrete investment of €50 million, part of the Portuguese Recovery and Resilience Plan (PRR), involving 45 co-promoters including footwear companies, component manufacturers, software developers and scientific and technological institutions.

Coordinated by the Portuguese Footwear Technology Centre (CTCP) and led by Carité as consortium leader, FAIST has set itself ambitious but measurable goals. «The aim is for the Portuguese footwear industry to remain at the forefront and consolidate its position as the most modern in the world», says Luís Onofre with conviction. This is not rhetoric: it is the translation of numbers into vision.

The project was created to respond to the concrete needs of the sector: to prepare the industry for future challenges by investing in digital technologies, process and product sustainability, with the aim of achieving greater efficiency and profitability, rapid response to the market, better working conditions and product differentiation.

Florbela Silva, FAIST project coordinator and director of the CTCP’s Innovation and Digital Manufacturing Unit, points out that 75% of the project has already been completed. «The market is evolving and we must keep pace with this change, both in the way we produce and in the products we offer», explains Silva. This statement encapsulates the essence of an industry that is not content to merely survive but wants to drive change.

The philosophy behind FAIST is that while Portuguese companies are already recognised for their ability to innovate and produce small orders efficiently, now is the time to optimise processes and improve efficiency to ensure further gains in competitiveness. In particular, the sector will acquire the skills to produce on a larger scale, innovating throughout the entire production chain, from component manufacturing to the creation of modular assembly units.

RESULTS IN FIGURES: FROM THE LABORATORY TO THE FACTORY

A project of this magnitude is measured by concrete results. And FAIST can already boast impressive figures.

In terms of technological solutions, the consortium has committed to developing over 30 innovative machines and equipment, more than 20 software solutions, 5 integrated production lines and over 15 innovative products, including footwear and components. In addition, there are 3 pilot units for testing and demonstrating new technologies, which will serve as test and training sites for human resources in the sector.

But FAIST is not just about technology: it is also about human capital. According to Florbela Silva, the project will generate 300 new jobs, 100 of which will be highly skilled. This figure overturns the common misconception that automation destroys jobs, showing instead how innovation can create quality employment.

The project also focuses on knowledge sharing: over 130 dissemination actions, more than 10 webinars, 30 podcasts, 10 videos and over 80 training actions are planned. A learning ecosystem involving universities, polytechnics, technology centres and companies, creating the synergy between research and production that is the real driver of innovation.

On the sustainability front, the goals are equally ambitious: a 50% reduction in greenhouse gas emissions and a 100% increase in the use of renewable energy. 

FROM AUTOMATION TO ARTIFICIAL INTELLIGENCE: INNOVATIONS THAT ARE CHANGING THE INDUSTRY

While the numbers reveal the scale of the project, it is the individual innovations that reveal its revolutionary scope. FAIST has created an ecosystem of solutions covering the entire footwear value chain, from design to logistics, from production to training. Here are just a few examples.

Digital platforms for integrated management

One of the most significant innovations is eCODICEC, a digital ecosystem for the footwear business community. It is a private cloud platform specifically designed for the sector, which aims to systematise and integrate documents, processes and communications within organisations. The goal is to create a culture of digital collaboration based on three pillars: fluid internal communication, agile digital processes and cybersecurity.

Alongside eCODICEC, the SADIC (Footwear Industry Performance Evaluation System) is another fundamental component. By integrating performance evaluation into process management, it ensures consistency, transparency and administrative efficiency, transforming what was once a paper-based HR procedure into a true strategic management tool.

Intelligent production management

Visualgest’s planning module represents the state of the art in strategic and anticipatory production management. Leveraging real-time data and artificial intelligence, it efficiently allocates resources in the factory, forecasts needs and dynamically adjusts processes. The system centralises information and integrates workflows, simplifying complex decisions into concrete actions and ensuring uninterrupted production flow.

For warehouse management, the WMS (Warehouse Management System) developed by JPM offers a modular web-based platform for automated operations. Built with a modern architecture, it supports project and item-level tracking, intelligent stock allocation, QR and DataMatrix labelling, and even 3D visualisation of the warehouse. The system manages both “visible” and “invisible” materials, improving stock utilisation and reducing unnecessary purchases.

Personalised training with artificial intelligence

TUTORIC represents a revolution in the field of professional training. It is an e-learning platform that uses advanced digital content (videos, simulations, animations and interactive quizzes) to fill the skills gaps of footwear company employees. The platform uses artificial intelligence to define personalised training paths for each employee, allowing many workers to be trained simultaneously without the need for physical space, respecting factory shifts and ensuring uniformity in training content.

Advanced Product Lifecycle Management

Mind’s PLM (Product Life Management) solution represents the evolution of PDM systems, designed to centralise product lifecycle data across design, manufacturing and supply chain. It introduces modular workflows for approvals, document versioning, change management and secure data exchange between systems. Built with a scalable backend, the platform supports both legacy and new applications with minimal operational disruption.

A MODEL FOR EUROPE: BETWEEN REINDUSTRIALISATION AND SUSTAINABILITY

«The footwear sector has always set itself the goal of becoming a leading international benchmark», recalls Luís Onofre. «Now is the time to prepare for a new decade of growth by strengthening skills, accelerating the integration of new skilled workers into companies and increasing investment in R&D to deliver highly differentiated products».

The Portuguese Footwear Cluster Strategic Plan 2030 sets ambitious goals: to become the international benchmark for the footwear industry, to strengthen Portuguese exports by combining sophistication and creativity with production efficiency, based on technological development and international value chain management, thus ensuring the future of a sustainable and highly competitive national production base.

To achieve these goals, the sector plans to invest €600 million by 2030. In addition to FAIST’s €50 million, other major investments are already underway: €60 million in the BioShoes4All project, focused on the development of more sustainable materials, products and processes, and €80 million in the bioeconomy.

A LOOK TO THE FUTURE

We started with the question that runs through all reflection on the global footwear industry: is it reasonable that almost 90% of world production is concentrated in Asia? Is this model sustainable?

Portugal has chosen to respond with facts, not words. It has chosen to differentiate itself in one of the most competitive industries in the world, not through geography or raw materials, but through knowledge, tradition, craftsmanship and quality.

«We have created an entire ecosystem in Portugal that promotes production innovation and strengthens the link between universities and companies», says Florbela Silva. For the FAIST project coordinator, the Portuguese footwear industry is already one of the most advanced in the world, but the ambition remains unchanged: to continue to grow, innovate and set new standards.

The rest of Europe is watching closely. In an era of geopolitical tensions, fragmented supply chains and a growing focus on sustainability, the Portuguese model could be the answer that European manufacturing has been looking for.

VISITING THE FACTORIES OF THE FUTURE

The FAIST project is not just theory: it can be seen first-hand by visiting the companies that are implementing the new technologies. During the “Welcome to the Industry of the Future” event, held at the Palácio da Bolsa in Porto on 18 and 19 November 2025, international journalists had the opportunity to attend conferences, but also to visit some of the most innovative companies in the Portuguese manufacturing district. These visits allowed them to see first-hand the automated production lines, RFID tracking systems, innovative workstations and software solutions developed as part of FAIST.

AMF Safety Shoes – Founded in 1999, the company started out providing outsourcing services to local factories, before becoming a world-leading manufacturer of safety footwear. Through the TOWORKFOR brand and private label projects for major European brands, AMF is now an example of how tradition and innovation can coexist.

Bolflex – Since 1991, the company has been dedicated to building lasting partnerships, specialising in the production and processing of footwear components, mainly rubber soles.

Carité – Leader of the FAIST project, it focuses on high-quality products and an aggressive commercial approach on international markets. Since 1995, it has exported virtually all of its production to a clientele made up of major international brands, which purchase footwear under their own brand names.

Kyaia – Founded in 1984 by Fortunato Frederico, it leads a group with over 600 employees and a turnover of €55 million. Its business model extends beyond footwear production to include distribution, retail, real estate and information technology.

Vapesol – Specialising in the production of soles for the footwear industry, Vapesol was founded in 1998 out of a passion for soles and a desire to innovate. Today, it is a leader in the sector, with a constant focus on product quality and customer satisfaction.

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APICCAPS CELEBRATES 50 YEARS – HALF A CENTURY OF HISTORY AND INNOVATION

2025 marks a historic milestone for APICCAPS, the Portuguese Association of Footwear, Components and Leather Goods Manufacturers: fifty years since its foundation in Porto in 1975.

Founded during a period of profound change for Portugal – just a few months after the Carnation Revolution of 1974 – APICCAPS has accompanied the Portuguese footwear industry on an extraordinary journey: from the labour-intensive production of the 1970s to the premium positioning of the 2000s, to the technological and sustainable leadership of today.

Today, the association represents around 500 companies, responsible for 80% of Portuguese production. The sectors covered include the footwear industry, components, leather goods (bags, wallets, gloves, belts) and machinery for the sectors.

Its main areas of action include internationalisation, research and consulting, technical support, professional training, technology and innovation. The promotional campaign “The Sexiest Industry in Europe” has helped to reposition Portuguese products globally, while the World Footwear Yearbook has become a benchmark for global industry analysis.

Under the presidency of Luís Onofre, an internationally renowned designer, APICCAPS has led the largest investment cycle in the history of the Portuguese footwear industry: €120 million over the last three years in automation, robotics and sustainability.

“It’s time to rewrite history” is the motto of the international campaign launched by the association. After half a century, APICCAPS continues to look ahead, convinced that the future of footwear is being built today, one step at a time.

Tanning sector trend

The first part of 2025 closes with the confirmation of a slight overall increase (+1%) in the slaughter volumes of adult cattle in the monitored areas (EU, Americas, Oceania). The specific variation of the European area (-3%) is always negative, with rare exceptions at the level of individual countries (positive sign only in Ireland and Poland). Outside Europe, there is a contraction in the USA and a contraction in the USA and New Zealand, while Brazil and Australia show a positive trend (stable in Argentina).

A decidedly negative half-year for the slaughter of calves (-10% compared to 2024) at global level. Europe shows an overall decrease in line with the general variation and negative data in all major producer countries. The US appears to be in free fall, and only the ocean countries are showing positive trends.

The overall picture of sheep slaughtering is down by 5% in the first half of 2025, with some recovery trend in the European Union, but the general figure remains down (-5%) and all major producer countries show declines (double digit in France). Only positive sign in the UK and USA, negative sign in Australia and New Zealand.

Although there are still differentiated trends in the leather results of the main producer countries in the first half of the year, in general a negative sign continues to prevail and uncertainty does not seem to slow down. The average trend is slightly less suffering for small skins (bovine and ovine aprons) than for medium-large cows. Although the overall picture for the six-month period remains varied, ovicaprines recorded interesting quarterly increases in Italy, France and India.

Accessories and components sector

In the first half of 2025, compared to the same period of 2024, the six-month trend for accessories and components appears rather gloomy: the fall in Italian and German exports plunges the EU average (-5%), with all major EU producers falling outside of Romania. All sectors of the industry suffer, without exception.

In the second half of 2025, the difficulties of the sector persist, with the European average falling by 6% compared to 2024. Widespread and generalized losses are reported in all sectors of the sector, with no major exceptions.

Textiles and synthetics

In the first half of 2025 compared to the same period of 2024 we find a reality made of lights and shadows. The slowdown of major European producers is a negative factor, despite the resilience of Italians and Portuguese. The trend of the segments reflects the overall performance, where declines in synthetic fibre fabrics are accompanied by a stagnant synthetic result.    Well, instead, the regenerated leather fibers, which appears to be on the rise.

Regarding the second semester, there is opacity for the sector despite the reduction of losses in Germany and Spain which, after the disappointing results of the first quarter of 2025, are confirmed to decline also in the second quarter of the year. Uneven the picture by compartments: good the trend of regenerated, discrete performance of synthetic, bad the fabrics of synthetic and artificial fibers.

Footwear sector

The half-yearly comparison shows mixed results for European footwear (-3%). The French and Italians are in trouble, while the Spaniards limit the damage. Difficulties for Turkey. Stable results for China and Mexico. New dynamism for the Brazilians. Rise for India and Vietnam.

The result of the EU footwear sector in the second quarter of the year is coloured red, with declines becoming more marked and widespread. Beyond the borders of Europe, Turkey and China are also suffering. Flat the trend of Brazilians and Mexicans.   Rise for Vietnam and India.

Leather goods sector

In the first half of 2025 compared to 2024, the cumulative partial confirms the signals from previous quarters, with all major EU producers of leather goods in deep red and even double-digit declines for Italians. Positive signs, however, for Turkish leather goods, which appears to be expanding, and Indian. Uncertainty for China and Pakistan, the latter in negative stability.

There is no peace in EU leather goods, which closes the second quarter of the year down 6% on the same period of 2024 and with heavy declines widespread in all major European countries. The extra-EU picture is also weak, with the exceptions of Turkey (+7%) and India (stable).