Analysis of the market development status of the luggage manufacturing industry in 2020

Driven by global economic development and market demand, my country’s luggage industry has developed rapidly in the past ten years, and the increasing market demand has brought most luggage companies on the track of rapid development. From the perspective of business model, the domestic luggage market business model is mainly ODM/OEM, and the industrial chain is concentrated on upstream accessories and midstream foundry. From the perspective of the industry’s sales scale, the sales revenue of the designated luggage companies in 2019 was 141.905 billion yuan, a year-on-year decrease of 1.66%. From the perspective of the size of the luggage market, my country’s luggage market in 2019 is about 253 billion yuan, an increase of 22.64% year-on-year, and the growth rate is ahead of the global. From the perspective of the regional development of the industry, China’s luggage industry has developed most prominently in the coastal provinces of Guangdong, Fujian, Zhejiang, Shandong, Shanghai, Jiangsu, and inland Hebei and Hunan. The luggage industry has now formed the Huadu, Guangdong, Industrial clusters in Pinghu, Zhejiang and Baigou, Hebei.

China is a major manufacturer of luggage, mainly ODM/OEM

Luggage is a commonly used luggage storage tool for our daily travel. Driven by global economic development and market demand, my country’s luggage industry has developed rapidly in the past ten years. The growing market demand has brought most of the luggage companies to the rapid Development track. China’s luggage industry has dominated the world, not only the global manufacturing center, but also the world’s largest consumer market. As the world’s leading manufacturer of luggage and bags, China has thousands of luggage manufacturers and produces nearly one-third of the world’s luggage and bags, and its market share cannot be underestimated.

China Bag Manufacturing

From the perspective of business model, the domestic luggage market is highly competitive, the business model is mainly ODM/OEM, and the industrial chain is concentrated on upstream accessories and midstream foundry. The main market players of my country’s luggage manufacturing industry are processing manufacturers, professional manufacturers and brand operators. At present, most of the luggage and bag enterprises in my country are concentrated in processing manufacturers. Such enterprises are generally small in scale and large in number, with low added value of products and very fierce market competition. Professional manufacturers are large in scale, have certain R&D and design capabilities, and also maintain their own brand products. Luggage product brand operators are mainly from abroad, mastering the R&D, design and sales links with the highest product profit margins.

Custom bag manufacturer

The rapid development of the market, the growth rate leading the world

From the perspective of industry sales revenue, luggage is one of the sub-sectors of the main leather industry. According to data released by the China Leather Association, as of the end of 2018, there were 1,598 luggage companies in my country, with a cumulative sales income of 150.694 billion yuan, a year-on-year increase of 2.98%. In 2019, the sales revenue of luggage companies under the regulations was 141.905 billion yuan, a year-on-year decrease of 1.66%.

backpack manufacturer

From the perspective of the overall scale of the luggage industry, my country’s luggage market is huge and has been in a period of continuous acceleration in recent years. According to Euromonitor statistics, from 2012 to 2019, the market size of my country’s luggage industry increased from 130.2 billion yuan to about 253 billion yuan, with an average annual compound growth rate of 9.96%, which is ahead of the global growth rate.

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Industry production capacity is relatively concentrated, and industry clusters are obvious

According to the regional division, China’s luggage industry has developed most prominently in the coastal provinces of Guangdong, Fujian, Zhejiang, Shandong, Shanghai, Jiangsu, and inland Hebei and Hunan. As the world’s largest luggage producer, China’s luggage products produced by these eight provinces account for more than 80% of the country’s market share. In sharp contrast, the development of the luggage industry in the vast central and western regions is seriously lagging behind.

From the perspective of production areas, domestic production capacity is mainly concentrated in the three major luggage products gathering areas of Shiling in Guangdong Huadu, Pinghu in Zhejiang, and Baigou in Hebei; at the same time professional markets such as Haining Leather City, Shanghai Hongkou Leather Center, and Guangzhou Leather City were born. . These gathering places account for about 70% of my country’s luggage output value.

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The above data comes from the “China Bag Manufacturing Industry Production and Sales Demand and Investment Forecast Analysis Report” by the Qianzhan Industry Research Institute. At the same time, the Qianzhan Industry Research Institute provides solutions for industrial big data, industrial planning, industrial declaration, industrial park planning, and industrial investment promotion.


Post time: Oct-29-2020

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