China leather industry sales revenues and import-export values all experienced declines in 2025 compared with 2024 as the impact of slowing domestic demand, trade tariffs and geopolitical events impact trade.
According to data released by the China Leather Industry Association (CLIA), sales revenues of the whole leather supply chain for its main enterprises (annual turnover worth more than RMB20 million (US$)) decreased 13.1% year-on-year. As a whole, the Chinese leather industry exported goods worth US$82.72 billion, a fall of 10.9% year-on-year. Imports were worth US$15.53 billion and were down 10.2% year-on-year. The overall figure shows that domestic consumption also contracted slightly.
Gross domestic product (GDP) grew steadily in 2025 with a 5% increase year-on-year and worth RMB140.19 trillion (US$). However, in the country’s latest five-year plan, growth forecasts have been cut due to geopolitical tensions but are still performing well for an economy of its size and compared to other global nations.
Speaking at a press conference in Chinese Hong Kong on March 13 during the APLF, Chen Zhanguang, Vice Chairman of the CLIA, said that the Chinese government had taken strategic measures to expand domestic demand such as increasing residents’ income and enhancing their consumption power which he hoped would provide greater opportunities for the leather industry in 2026 and beyond. However, following the war in Iran, he shared concerns that global trade and higher energy costs could dampen any improvement in global markets.
He also said that CLIA was co-operating with organisations such as the China Consumer Association and the Leather and Hide Council of America (LHCA) to conduct various leather promotional activities.