The Leather Good and Luggage Manufacturing industry is undergoing a transition period. After years of offshoring and outsourcing, some industry operators are considering bringing production back to the United States to avoid rising prices in China and high overhead costs associated with manufacturing abroad. Reshoring would also result in shorter turnaround time between production and sales, as well as greater control over manufacturing operations. However, large players, and some players that serve niche markets, are replacing other struggling operators that are no longer able to survive profitably in this industry. Consequently, the true impact of reshoring remains uncertain, but IBISWorld expects the effects of reshoring to become more evident over the next five years.
Operators in this industry primarily manufacture clothing accessories, including belts, hats, luggage, handbags, wallets and various other leather and nonleather goods and accessories.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.