VIETNAM LEATHER SHOES INDUSTRY

95% of the world’s leather material comes mainly from the food industry and is directly affected by meat and dairy consumption. Over the years, China has become the largest leather producer in the world, followed by India, Brazil and the US.

In 2019, Vietnam imported US $ 1.18 billion of leather with a slight increase of 1.8% compared to the previous year due to increased footwear export orders, resulting in increased demand for leather. 70% of enterprises producing shoes and bags will follow the method of using raw materials and designs provided by foreign customers and branding products according to customers’ requirements. Vietnam is ranked in the group of 4 largest footwear and footwear producing countries in the world.

 

Pou Yuen Vietnam Co., Ltd (HCMC)

TaeKwang Vina Industrial JSC (Dong Nai)

Chang Shin Vietnam Co., Ltd (Dong Nai)

Pou Sung Vietnam Co., Ltd (Dong Nai)

Pou Chen Vietnam Co., Ltd (Dong Nai)

Dona Standard Vietnam Footwear Co., Ltd (Dong Nai)

Thai Binh Footwear Investment and Production JSC (Binh Duong)

Ty Xuan Co., Ltd

Phuong Dong Dong Nai Co., Ltd

Moc Bai

 

List of figures

Figure 1: GDP growth, 2016 – 2019

Figure 2: Monthly CPI fluctuations 1/2015 – 3/2019

Figure 3: Total disposable income and household expenditure, 2010 – 2017f

Figure 4: Average population and population growth, 2006 -2018

Figure 5: Import and export of goods, 2016 – Q1/2019

Figure 6: Most exported goods, Q1/2019

Figure 7: USD/VND exchange rate, 1/2013 – 3/2019

Figure 8: FDI attraction by sector, Q1/2019

Figure 9: Retail sales of goods in Vietnam, 2010 – Q1/2019

Figure 10: The market share of modern retail in total retail revenue 2014

Figure 11: Consumer confidence index – 2014 – Q3 / 2018

Figure 12: Number of cow, buffalo, sheep, goat and other animals providing soft leather, 2010 – 2015e

Figure 13: Cowhide, buffalo hides, sheepskin and goat skin, 2010 – 2015e

Figure 14: Leather production, 2010 – 2015

Figure 15: Leather consumption, 2010 – 2014

Figure 16: Leather consumption structure by products, 2013

Figure 17: Export of hides HS 41 – 43, 2012 – 2018e

Figure 18: Hides export structure by type, 2017e

Figure 19: Rawhide price fluctuations in the US, 1/2012 – 6/2017

Figure 20: Import and export leather industry in China HS 41-43, 2012 – 2018

Figure 21: Footwear material import, 2010 – 2018e

Figure 22: Footwear production structure by region, 2017

Figure 23: Global footwear output, 2011 – 2017

Figure 24: Footwear consumption by type, 2015 – 2018e

Figure 25: Footwear consumption value, 2012 – 2017e

Figure 26: Market share by region (output), 2017

Figure 27: World footwear export by type, 2017

Figure 28: Footwear exports, 2010 – 2018e

Figure 29: Market share (import value) by region, 2018

Figure 30: The movement of average global footwear export price, 2007 – 2017

Figure 31: CPI of footwear in urban areas of the world, 1/2012 – 3/2019

Figure 32: Retail sales of footwear, 2010 – 2023

Figure 33: Revenue from footwear by subjects, 2014 – 2018

Figure 34: Revenue structure by enterprise, 2018

Figure 35: Import and export of footwear, 2014 – 2018

Figure 36: Footwear sales in USA, 2012 – 2023

Figure 37: Sales of footwear by object, 2014 – 2018

Figure 38: Revenue structure by enterprises, 2010 – 2017e

Figure 39: USA’s footwear import and export, 2014 – 2018

Figure 40: Market share by enterprises, 2018

Figure 41: Localization ratio by enterprises and sectors (%)

Figure 42: The number of buffalo, cow, goat and other animals supplying soft leather, 2010 – 2015

Figure 43: Products of buffalo and cow leather and unprocessed leather, 2010 – 2015

Figure 44: Total output of some tanned leather products, 2012 – 2018e

Figure 45: Tanned leather imports, 2010 – 2018e

Figure 46: Tanned leather import structure by country, 2018e

Figure 47: Leather exports, 2012 – 2018e

Figure 48: Leather export structure by country, 2018e

Figure 49: Leather inventory by type, 2010 – 2018e

Figure 50: Import of textile and leather – footwear materials, 2010 – Q1/2019e

Figure 51: Import structure (value) of raw materials by country, 2015

Figure 52: Import structure of textile and garment materials, footwear by country, 2018e

Figure 53: Export of textile and leather materials and footwear, 2012 – Q1/2019e

Figure 54: Export of raw materials, Q1/2019e

Figure 55: Number of enterprises and employees in footwear production, 2010 – 2017

Figure 56: Footwear production revenue, 2010 – 2017

Figure 57: Production output of main products, 2012 – Q1/2019e

Figure 58: Domestic footwear consumption, 2010 – 2016e

Figure 59: Retail sales of footwear, 2012 – 2018e

Figure 60: Sport shoes retail sales, 2012 – 2018e

Figure 61: Sales of some major sport shoes types, 2018e

Figure 62: Consumption structure by value, 2018e

Figure 63: Consumer structure by shoe spending per month, 2013

Figure 64: Footwear consumption structure, 2014

Figure 65: Footwear consumption segments in Vietnam

Figure 66: Footwear exports, 2012 – Q1/2019e

Figure 67: Footwear exports by country, 2017 – Q1/2019e

Figure 68: Contribution structure of enterprises in leather – footwear export, 2012 – Q1/2019e

Figure 69: Footwear imports, 2010 – 2018e

Figure 70: Footwear import structure by country, 2018e

Figure 71: CPI of apparel, headwear and footwear group, 2012 – Q1/2019e

Figure 72: Export price of average shoes, 2014

Figure 73: Inventories, 2012 – 2018e

Figure 74: Export of bags, suitcases, wallets, etc, 2012 – Q1/2019e

Figure 75: Export structure of bags, purses, backpacks, hats … by business sector, 2013 – Q1/2019e

Figure 76: Machinery imports, 2010 – 2018e

Figure 77: Machinery import structure, 2018e

Figure 78: Growth rate of product output (%/year)

Figure 79: Total investment capital in planning period (VND billion)

Figure 80: Compare labor costs in some major footwear producing countries

Figure 81: World shoe consumption forecast, 2011 – 2020f

Figure 82: Forecast of shoe industry size, 2010 – 2020f

Figure 83: Net revenue, 2017 – 2018

Figure 84: Gross Profit, 2017 – 2018

Figure 85: Selling expenses, 2016 – 2017

Figure 86: Administrative expenses, 2017 – 2018

Figure 87: Self-financing rate, 2016 – 2017

Figure 88: Fixed assets/Total assets, 2016 – 2017

Figure 89: Total asset turnover, 2017 – 2018

Figure 90: Payables, 2017 – 2018

Figure 91: Days in inventory, 2017 – 2018

Figure 92: Days of sales outstanding, 2017 – 2018

Figure 93: Profit margin, 2017 – 2018

Figure 94: Solvency, 2017 – 2018

 

List of tables

Table 1: Legal documents related to leather quarantine

Table 2: Current leather – footwear import taxes of some countries

Table 3: Tax reduction schedule for footwear products and footwear materials of Vietnam

Table 4: Some regulations of EVFTA and GSP

Table 5: Some regulations of the EU with imported leather – footwear products

Table 6: Top hides importing and exporting countries HS 41-43, 2018e

Table 7: Top importers of footwear materials, 2016 – 2018e

Table 8: Sport shoes consumption value, 2015 – 2018e

Table 9: Top 10 footwear exporting countries by value, 2016 – 2018e

Table 10: Top 10 footwear importing countries by value, 2016 – 2018e

Table 11: General information about the leather and footwear industry of Vietnam

Table 12: Materials supply capacity, 2015

Table 13: Competitive comparison between Vietnamese and Chinese products

Table 14: Market share of shoes brands in Vietnam, 2014 – 2018

Table 15: Typical shoe export enterprises, 2018

Table 16: Top major importing markets of EU-28, 2012 – 2017

Table 17: Top major importing markets of the US, 2012 – 2017

Table 18: Export value divided by HS code, 2010 – 2018e

Table 19: Tanning technology in Vietnam

Table 20: Tanning technology in Europe

Table 21: Production volume

Table 22: 10 enterprises having the highest revenue in the leather and footwear industry 2018