Due to an economic slowdown in China and globally in 2012 and2013, leather shoe manufacturers and retailers are under increased operational pressure, which is accelerating a general mood among Chinese consumers who aren’t buying non-essentials like leather shoes.
As a result, price increases of raw materials, increased exchange rates and soaring labour costs, combined with an ever-competitive business environment is resulting in pessimistic attitudes toward the future.
In 2012 through 2013, the Chinese leather shoes industry declined, with output growth rates down to 5.3% and 7.5%, respectively, while the consumption growth rates were down to 9.2% and 8.4%. And considering reserved consumer and entrepreneurial confidence, it’s expected that rates for output and consumption will further decline between 2014 and 2015.
