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Leather Pipeline: Mixed fortunes and rumours of big price correction at ACLE

There were mixed reports from the All China Leather Exhibition, with the show itself seeming quieter and hides sellers reporting disappointment, but it appears to have been successful for some segments.
The author of the Leather Pipeline reports that chemicals and machinery companies said they had some positive conversations. He notes that it is often in less busy periods that tanners look for innovations and new machinery.

There was good news for upholstery, bag leather and automotive tanners, as orders for winter look at least steady.

He suggests one of the biggest problems now will be discussions on price, as raw material prices have fallen, but not uniformly. He suggests leather buyers will be quick to ask for discounts. 

“Raw material markets react and move quickly, but leather prices are far more inelastic and generally only change in seasons,” says the report.

Read the Pipeline in full on the Market Info page, where you will also find reports from a US and German perspective. 

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