| China
continues to lead the global leather bag and wallet
industry. After a 32 percent increase in export
value in 2004, the country shipped out US$2.3
billion worth of leather bags and wallets in 2005,
up 34 percent from the previous year.
While export sales have risen since we last
reviewed the industry in June 2004, it is important
to note that growth rate in terms of volume has
declined, from 30 percent in 2004 to 20 percent in
2005.
The sustained rise in export value despite the
drop in volume growth shows that many suppliers have
increased export prices, mainly to account for
higher raw material and operating costs.
The growth trend also denotes that more makers in
China are increasing exports of higher value leather
bags and wallets, to avoid price competition in the
low end.
| The following
are some of the key trends we see in China's
leather bag and wallet industry: |
|
More suppliers are expected
to produce midrange and high-end designs in
2006. Fierce competition in the low end and
design copying are the two main factors
propelling the move to produce more value
added models. |
|
|
But because the industry is
still largely OEM-oriented, leather bag and
wallet output overall will remain mostly low
end and midrange as per buyers'
requirements. |
|
|
Most suppliers will be
increasing export prices in 2006, mainly due
to higher production costs. |
|
|
Synthetic leather bags and
wallets will remain popular and continue to
lead production. Aside from the lower cost
of materials, makers can offer a wider range
of styles and colors compared to genuine
leather. |
|
|
In line with the upscale
trend, buyers can expect more eye-catching
design effects on the latest models as this
is the key R&D focus of most makers. |
|
This report covers China suppliers that produce
handbags, shoulder bags, small travel bags,
portfolios and wallets that come in genuine or
synthetic leather.
The Products & Prices section details both
current and continuing trends for leather bags and
wallets. The features and prices of each type are
discussed according to low end, midrange and high
end. The different materials used and where they are
sourced is detailed in this section.
The Manufacturing section provides descriptions
of the different processes involved in production
and QC, discussing how these differ in small,
midsize and large companies.
This report profiles some of the leading leather
bag and wallet makers in China, a number of which
were also featured in our 2004 report.
Wanlima is one of the top makers of leather bags
and wallets in China. The company's annual sales of
these products have grown 54 percent to US$46
million since we last profiled the company.
The report also profiles well established
companies such as Guangdong Apples, Peng's Keyuan
and Ningbo Finestar.
To produce this report, Global Sources surveyed a
wide range of suppliers. Rather than focus simply on
high-profile makers, we profiled a representative
sample of large, midsize and emerging manufacturers.
This includes companies that produce for well-known
OEM brands, retail brands and small importers.
 |
