Leather in small cars can boost manufacturer margins - leatherbiz: Lea Leatherbiz

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Leather in small cars can boost manufacturer margins

05/05/2010
The promise that automotive manufacturers might turn to leather to make smaller, more fuel-efficient cars attractive to consumers with a little more money to spend appears to be coming true.

Kent Niederhofer, the US head of automotive consultancy Ricardo, has told the Financial Times that new "engine technology solutions" are allowing car manufacturers to improve their margins on smaller cars.

However, he believes that automotive companies will also be looking to make extra money from extras, including leather upholstery in their car interiors. "Small will no longer be equated with tinny and cheap," he told the newspaper.



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