Synthetic Leather Enters Functional High-End Market

2011~2014 years, synthetic leather.

Judging from the current trend,

The main driving force for future business revenue growth

In the first three quarters of 2011, Amway realized operating income of 724 million yuan, an increase of 18% over the same period last year, operating profit of 45 million 510 thousand yuan, an increase of 11% over the same period last year.

The net profit of the owner of the parent company was 47 million 40 thousand yuan, up 8.8% from the same period, and the basic earnings per share of 0.52 yuan per share.

The company's main products are eco functional synthetic leather and ordinary leather, which are mainly used in high-grade sports shoes, high-end sofa furniture, sporting goods and synthetic leather for automobile interior decoration.

The gradual release of the company's future functional synthetic leather production capacity is the main driving force for operating revenue growth.

The company put into operation capacity of 15 million meters in June 2011. According to the construction cycle of the project, it is expected that part of the capacity will be put into production in the second half of 2012. By 2013, it is expected that the total investment will be 66 million 500 thousand meters, and the production capacity of the polyamine resin will reach 30 thousand tons, which will basically meet the production of synthetic leather. It is expected that the operating income of 2013 will exceed 1 billion 500 million yuan, and the annual compound growth rate of 2010~2013 will reach 22% in the year of 2010~2013.

Consumption identification of fixed Island microfiber PU synthetic leather

Microfiber PU synthetic leather is divided into amorphous Island microfiber and fixed Island microfiber PU synthetic leather.

Among them, the fixed Island microfiber PU synthetic leather is a high-end product, its fiber distribution is more uniform, dyeing performance is better, the handle is closer to the genuine leather, and the additional value is higher.

In Japan, some manufacturers are able to produce products with similar performance with fixed Island microfiber synthetic leather by process control and variable Island technology.

Because of its unique environmental and physical properties, microfiber leather has been widely applied in foreign countries.

In China, people generally do not know enough about microfiber leather. They think that microfiber leather is a kind of non natural product. It has been widely used in the field of leather and has not recognized its excellent performance. Therefore, its application has not been universally recognized. However, with the continuous efforts of microfiber leather manufacturers, its effectiveness has been gradually achieved.

The scale of eco functional PU leather will double.

The rapid increase of raw material cost in 2011 has great influence on the gross profit margin of synthetic leather industry.

Tight monetary policy has made small and medium-sized enterprises in Fujian and Jiangsu and Zhejiang provinces face greater financial pressure and less willingness to expand, resulting in weak demand for synthetic leather products.

However, the demand for high quality PU synthetic leather and microfiber PU synthetic leather will be significantly higher than that of the industry average.

According to China Plastics Processing Industry Association leather synthetic leather Specialized Committee forecast, during the period of 2011~2014, the demand for synthetic leather market will maintain more than 10% growth rate. Among them, the demand for high quality PU synthetic leather will reach an average annual growth rate of 19.75%, and the demand for microfiber leather will increase by 20.56% annually.

It is predicted that the compound growth rate of China's artificial leather industry needs to be 13.37% in 2010~2013, and the demand for Eco functional PU synthetic leather will reach an average annual growth rate of 19.75% over the same period, which is obviously higher than the average level of the industry.

By 2013, China's eco functional PU leather demand will reach 1 billion 32 million meters, compared with 502 million meters in 2009, the industry market scale will grow 1 times.