Report predicting 'steady growth' for auto leather is wrong, say local firms
Published: 13th Jan 2022
South Africa's 2 automotive leather tanneries have reacted with scepticism to a report by Market Growth Reports which paints a picture of 'steady growth' for automotive leather globally over the next 5 years.
The report, on offer for US$2900 to $5800, says the global automotive leather market "is expected to grow at a steady growth during the forecast period 2022-2027".
A press release on 29 December 2021 reads: "Global Automotive Leather Market Research Report 2021 : The increasing use of Automotive Leather in Headliners, Seats, Door Trims, Consoless [sic] and other industries is driving the growth of the Automotive Leather market across the globe.
"Global Automotive Leather Market is expected to grow at a steady growth during the forecast period 2022-2027, Automotive Leather Market report offers insights into the latest trends. It summarizes key aspects of the market, with focus on leading key player’s areas that have witnessed the highest demand, leading regions and applications. It offers qualitative as well as quantitative information regarding the factors, challenges, and opportunities that will define the growth of the market over 2022-2027, The Report Contain 122 Pages With Detailed Analysis."
The publishers name 15 automotive leather producers interviewed, including GST Autoleather (now Pangea) and Bader GmbH, but neither local subsidiary was aware of the report.
Bader SA COO Robert O'Connell said: "I'm not familiar with this report nor did I partake in the survey.
"With the information at hand at the moment, I do not see the reported 'ever increasing demand for leather interior'. We actually see quite the opposite.
"What has been experienced lately was a distinct migration from leather to other alternatives. Therefore even with a constant increase on automotive manufacturing, the demand for leather is going the opposite way."
Pangea SA MD Shalen Sewnandan said: "After reading the introduction, it certainly sounds promising [but] GST / Pangea would not disclose such information publicly."
Asked whether S&V African Leather should publicise the report, he said: " I would personally not do it."
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