Good news from Chinese tanneries: leather has survived CRV. In response to LeatherMag’s questions, China Leather Industry Association (CLIA) president Li Yuzhong explains that the leather processing industry has returned to 90% of its production capacity. In short, the supply chain is recovering quickly after the so-called lockdown. The measures to contain the spread bring inconveniences and problems for the industry, but recovery is possible and not too long times.
Leather survived CRV
“Tanneries started to resume production after the Lantern Festival (February 8, ed), but production was less at than 40%. It has improved since March, and some companies have operated at over 70% of capacity”, explains Yuzhong, adding shortly after that “according to our survey on the sector, as of March 10, over 90% of Chinese tanneries have started activities again”. Problems remain, such as restrictions on the movement of workers, and in some cases, delays in the provision of individual protections. But the system is starting up again. In the province of Hubei, in particular, the few companies present in the sector are ready to start, and are just waiting for the green light from the authorities.
Active ports and footwear at full capacity
“Ports are following normal customs procedures on imported goods, and no special restrictive measures have been taken – continues Yuzhong -. After the Lunar New Year holidays, imports and exports went back to normal after the staff returned to work”. The production of footwear has now resumed normally in the whole country, excluding the province of Hubei. Also in this case the reopening followed the return to the factories of those workers that have returned to their villages. “La Belle (one of the most popular brands in China, ed.) went back to business on February 24 with employee participation rate of about 70% in early March and 90% in mid-March – concludes Yuzhong -. Jihua 3515 (another well-known local brand) resumed business at the end of February and employee participation rate at the moment has reached almost 100%”.