leather

The leather garments industry in China is in the process of consolidation. Many small companies are expected to stop operations in the next few years as various industry challenges are making it more difficult for them to compete against midsize and large suppliers. In addition, exports are expected to continue their downward slide. To survive, a number of leather garment manufacturers in China are expanding their markets and diversifying product lines. China is said to be the largest volume manufacturer of leather garments in the world. It is difficult to obtain the exact number of leather garment makers in the country, but industry estimates reach up to 10,000. The majority of these suppliers are small companies, some of which have only 40 to 50 sewing machines at their workshops. In 2005, the industry suffered an 8 percent drop in export volume sales. Exports have continued to fall, going down 21 percent in the first eight months of 2005 compared with the previous corresponding period.