Synthetic Leather Market Size, Share, and Analysis by 2028

[Research Report] The synthetic leather market was valued at US$ 27,533.71 million in 2021 and is projected to reach US$ 42,742.65 million by 2028; it is expected to register a CAGR of 6.5% from 2021 to 2028. 

MARKET ANALYSIS

Synthetic leather is a man made leather obtained from synthetic process. It is made of different materials such as polyurethane and polyvinyl chloride. Synthetic leather is in high demand due to its widespread use in footwear, furniture, clothing, bags and purses and automotive industries. Moreover, growth of the global footwear industry owing to rapid rise of global population and rising urbanization is driving the demand for synthetic leather. Growing concerns regarding animal treatment for natural leather tanning is likely to boost the utilization of synthetic leather in apparel, bags& wallets, sports accessories and   other stationery goods. Furthermore, growth of automotive sector is also expected to drive the demand for synthetic leather.

GROWTH DRIVERS AND CHALLENGES

It is used in various industries, including footwear, clothing, furniture, and automotive. The most common use of synthetic leather is in clothing, luggage, and cases. There is increasing use of synthetic leather in jackets, coats, handbags, purses, belts, etc. Moreover, there is a high demand for synthetic leather in the footwear industry. In the footwear industry, synthetic leather is frequently used in shoes. Synthetic leather is suitable for shoes due to its low cost, abrasion resistance, and water resistance. Synthetic leather has become more popular for furniture items. Synthetic leather is used for upholstery purposes, such as covering chairs, lining the tops of writing desks and tables. It is commonly used in sofas, chairs, headboards, etc. As synthetic leather is available in various colors, styles, textures, and patterns, it is increasingly used in decorating residential or commercial interiors. This is further fueling the growth of the synthetic leather market. Synthetic leather is used in the automotive industry, especially in making automotive interiors. Synthetic leather is used for car seating as it helps in cost reduction. The demand for automotive interior materials is increasing with the growing automotive industry. The growing demand for automotive interior materials from economies like India, China, Mexico, the US, and Germany is boosting the growth of the synthetic leather market. Hence, the increase in demand for synthetic leather from various end-use industries such as footwear, furnishing, clothing, and automotive is driving the synthetic leather market. Polyvinyl chloride (PVC) and polyurethane (PU) are two of the most widely used synthetic plastic polymers to make synthetic leather. Synthetic leather made by using plastic is not eco-friendly. The production process of plastics used in most synthetic leathers is often a relatively energy-intensive and chemical-filled process that also produces significant waste. Hence, the harmful effects of PVC and PU, coupled with less durability of synthetic leather compared to leather, may restrain the market growth.

Published Report - Synthetic Leather Market: Strategic Insights

REPORT SEGMENTATION AND SCOPE

The "Global Synthetic Leather Market Analysis to 2027" is a specialized and in-depth study with a major focus on the global synthetic leather market trends and growth opportunities. The report aims to provide an overview of the global synthetic leather market with detailed market segmentation by product, application, and geography. The global synthetic leather market has been witnessing high growth over the recent past and is expected to continue this trend during the forecast period. The report provides key statistics on the consumption of synthetic leather worldwide along with their demand in major regions and countries. In addition, the report provides the qualitative assessment of various factors affecting the synthetic leather market performance in major regions and countries. The report also includes a comprehensive analysis of the leading players in the synthetic leather market and their key strategic developments. Several analyses on the market dynamics are also included to help identify the key driving factors, market trends, and lucrative synthetic leather market opportunities that would, in turn, aid in identifying the major revenue pockets.

Further, ecosystem analysis and Porter’s five forces analysis provide a 360-degree view of the global synthetic leather market, which helps understand the entire supply chain and various factors affecting the market growth.

SEGMENTAL ANALYSIS

The global synthetic leather market is segmented based on type, and application. Based on type the synthetic leather market is segmented as polyurethane, polyvinyl chloride, silicone, and others. On the basis of application, the market is segmented as footwear, furniture, automotive, clothing, stationery goods, and others.

 On the basis of type polyurethane led the synthetic leather market with a largest market share. Polyurethane-based leather is created by coating a fabric such as polyester or cotton with a flexible polymer. It is then treated by various processes to make it look like real leather. Polyurethane-based leather is waterproof, lightweight, and soft. It does not fade or crack when exposed to sunlight. Based on application footwear segment is dominating the synthetic leather market. Synthetic leather is increasingly being used in the footwear industry as a replacement of traditional leather. It is used in shoe uppers, sandals, shoe lining, and insoles. There are several benefits of wearing synthetic leather shoes instead of actual leather. Synthetic leather shoes exhibit great waterproof qualities, as it is combined with a few chemicals that impart waterproof features to this leather. The synthetic leather manufacturing is a straightforward and automated process, which lowers the cost of shoes made from synthetic leather. Thus, there is a high demand for synthetic leather in the footwear industry.

REGIONAL ANALYSIS

The report provides a detailed overview of the global synthetic leather market with respect to five major regions, namely, North America, Europe, Asia-Pacific (APAC), Middle East and Africa (MEA) and South & Central America. Asia Pacific accounted for a large portion of the global synthetic leather market share and is valued at more than US$ 12440 million in 2020. The Asia Pacific footwear market is primarily driven by rapid urbanization and industrialization in countries such as China, Indonesia, and India. Also, the increasing penetration of e-commerce platforms such as Amazon and Alibaba have facilitated consumers to choose from a wide variety of footwear available online. Europe is also expected to witness considerable growth valued at approximately US$ 9123 million in 2028. The increasing demand from the automotive industry in Europe is the major driver for the automotive interior materials market, which indirectly drives the synthetic leather market. Furthermore, in North America, there has been a widespread usage of synthetic leather in footwear industry. The synthetic leather market in North America is augmented to grow at CAGR of 6.5% during the forecast period.

INDUSTRY DEVELOPMENTS AND FUTURE OPPORTUNITIES

Partnership, acquisitions, and new product launches were found to be the major strategies adopted by the players operating in the global synthetic leather market.

In Aug 2021, Guardian Glass had added a new jumbo production line of synthetic leather  at Ryazan, Russia plant. This investment had enabled the strong growth in the commercial and residential sectors.

Synthetic Leather

Published Report - Synthetic Leather Market Players Density: Understanding Its Impact on Business Dynamics

The Published Report - Synthetic Leather Market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.

IMPACT OF COVID/IMPACT OF GEOPOLITICAL SCENARIO/IMPACT OF RECESSION

Lockdowns, travel restrictions, and business shutdowns due to the COVID-19 pandemic adversely affected economies and industries in various countries in North America, Europe, Asia Pacific (APAC), South & Central America, and the Middle East & Africa (MEA). The crisis disturbed global supply chains, manufacturing activities, delivery schedules, and essential and nonessential product sales. Various companies announced possible delays in product deliveries and a slump in future sales of their products in 2020. Further, the international travel bans imposed by various governments in Europe, Asia Pacific, and North America forced several companies to discontinue their collaboration and partnership plans. All these factors hampered the chemical & material industry in 2020 and early 2021, thereby restraining the growth of synthetic leather market.

COMPETITIVE LANDSCAPE AND KEY COMPANIES

Some of the key players operating in the synthetic leather market include Kuraray Co., Ltd., SAN FANG CHEMICAL INDUSTRY CO., LTD., TEIJIN LIMITED, NAN YA PLASTICS CORPORATION, FILWEL Co., Ltd., Alfatex Italia, Mayur Uniquoters Limited, H.R. POLYCOATS PVT. LTD., FUJIAN POLYTECH TECHNOLOGY CORP.,LTD., and BASF SE among others.