Over the first nine months of the year, the French leather industry recorded a 3% decline in exports to 13.7 billion euros, according to the Economic Observatory of Alliance France Cuir, which cites a drop in orders from Asia and the United States.
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The Observatory’s economic report notes a 7% fall in exports to Asia. This downturn affected China and Hong Kong (-5%), Japan (-8%), Singapore (-27%) and South Korea (-7%). Exports to the United States also contracted by 2%, while European demand strengthened by 0.7%.
By product, exports of raw hides and skins fell by 2%, and those from the tanning and dressing sector by 1%. The decline came to 3% in both the footwear and leather goods markets. However, the leather goods sector was the only one to end the period with growth in cumulative revenue across its companies (+3%).
Imports remained stable over the period, at 10.4 billion euros. The Observatory notes a 7% drop in orders placed in Europe, while supplies from Asia rose by 7%. This situation benefited Vietnam (+13%), Indonesia (+6%), India (+6%), Cambodia (+22%) and, to a lesser extent, China (+3%).
This shift in sourcing from Europe to Asia is pushing down the average prices recorded by customs, with declines of 3% for shoes and 13% for handbags.
By sector, increases in imports were seen in footwear (+2%) and in tanning and dressing (+4%). Imports of raw hides and skins fell by 6%, as did imports of leather goods. In this category, handbag production, all materials combined, is estimated to have fallen by 2.7%.
