Welcome to the ILM Covid-19 hub

These are unprecedented times with an ever evolving and rapidly changing news landscape, which is why we have created a dedicated 'Covid-19 hub' where we gather all relevant news stories, updates, expert opinions and other relevant content in one easy to view place.

Stay informed and connected through expert, authoritative journalism from ILM's experienced editorial team and high-profile contributors. To subscribe to premium content please click here.

Over to you

In order to give an accurate and diverse overview of how the Coronavirus crisis is affecting the global leather industry, we want to hear from you. What impact is the situation having on your business? What measures are you putting in place to mitigate long-term effects? Has something positive come out of this situation? Please share your views, news and opinions by emailing isabella@edifydigitalmedia.com. Be part of the conversation.

Isabella Griffiths

Let’s focus on the positives

First published in the May/June edition of ILM
Published:  11 August, 2020

I know what you’re thinking – it seems strange to promote optimism in a situation that appears rather bleak. For most of us, the spread of the coronavirus pandemic has been pretty grim, both on a personal level, with our lives turned upside down and catapulted into what has become a new ‘normal’, as well as, perhaps more profoundly, on a business level, with international trade disrupted and entire economies brought to a standstill.  With all that being said, I am a believer that in every situation there are always some positives to be found and that even now, as we are still very much in the midst of the Covid-19 outbreak, it is not all doom and gloom. 

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Credit: Porsche

ILM Automotive Leather Conference postponed to May 2021

Germany
Published:  10 August, 2020

In light of the continued health and safety implications due to the ongoing Coronavirus pandemic, ILM has taken the decision to postpone the Automotive Leather Supply Chain Conference once more. 

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Hides and skins dumped in Bangladesh following Eid al-Adha

Bangladesh
Published:  10 August, 2020

The number of sacrificed livestock during this year’s Eid al-Adha Islamic holiday was more than anticipated, despite being lower than that of the earlier years due to the Covid-19 pandemic.

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Kenyan apparel manufacturers close due to Covid

Kenya
Published:  10 August, 2020

More than 100 apparel manufacturers located in Nairobi, Mombasa, Kisumu and Machakos have temporarily stopped operations, it has been reported.

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Demand for Australian hides picking up

Australia
Published:  07 August, 2020

Demand for Australian hides is resuming as lockdown restrictions begin to ease in some international markets and the country’s tanneries resume shipping.

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Credit: Adient

Adient expects progress in fourth-quarter results

Worldwide
Published:  07 August, 2020

The U.S. headquartered automotive seating and components manufacturer said its third-quarter results for fiscal 2020 “mirrored the overall industry”, with zero sales in April and a steady improvement into May and June.

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Capri Holdings Q1 revenues down 66.5%

Worldwide
Published:  06 August, 2020

The owner of the Jimmy Choo, Michael Kors and Versace brands posted a revenue decline of 66.5% for the first quarter of the Group’s fiscal year 2021.

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Ralph Lauren’s net revenue down 66%

Worldwide
Published:  06 August, 2020

Patrice Louvet, President and CEO of the U.S. apparel brand, said the company’s financial performance in the first quarter of its fiscal year 2021 “reflects an unprecedented three months of Covid-19-related impact around the world”.

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Lear sales halve in second quarter

Worldwide
Published:  06 August, 2020

The automotive seating and components manufacturer said its second-quarter results were significantly impacted by the Covid-19 pandemic as global vehicle production declined 46% compared with the same period in 2019.

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Hides prices drop 50% in Pakistan

Pakistan
Published:  05 August, 2020

Hide prices in Pakistan are reported to have reached historical lows during the Eid al-Adha Islamic festival, which took place July 30 – August 3 this year.

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330 exhibitors confirmed for Lineapelle - A New Point of View

Italy
Published:  05 August, 2020

The organisers said that 330 exhibitors coming from 15 countries have applied to participate in the event, which takes place September 22-23.

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Kanpur-Unnao leather cluster gradually recovering from pandemic

India
Published:  05 August, 2020

India’s Council for Leather Exports (CLE) said the tanneries in the leather cluster of Kanpur, state of Uttar Pradesh, are gradually recovering from the challenge posed by the Covid-19 pandemic.

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Tyson’s results negatively impacted by Covid-19

United States
Published:  04 August, 2020

Beef sales volume for the U.S. meat processor decreased in the third quarter and the first nine months of the company’s fiscal 2020 primarily due to lower production and a reduction in live cattle harvest capacity.

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Prada records net loss of €180 million

Worldwide
Published:  03 August, 2020

The Italian luxury fashion label said retail sales were significantly impacted by store closures in the first half of 2020 due to the Covid-19 pandemic.

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Sharp drop in exports of leather and leather goods from India

India
Published:  27 July, 2020

The Council for Leather Exports (CLE) in India has published export data for leather and finished leather goods for the current year, which shows a steep decline compared with the same period last year. The export numbers underline the impact of the Covid-19 pandemic on trade during April to June 2020. 

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U.S. meatpackers install air cleaning tech in processing plants

United States
Published:  21 July, 2020

JBS USA and Tyson Foods are reported to have installed air cleaning technology as a means to increase employee protection during the Covid-19 pandemic.

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Pittards’ Yeovil tannery

Pittards secures US$1.26 million coronavirus loan

United Kingdom
Published:  21 July, 2020

The UK headquartered manufacturer of specialty leather said that, in order to supplement its existing facilities and strengthen its liquidity, it has successfully secured and drawn down a Coronavirus Business Interruption Loan Scheme (CBILS) of £1 million (US$1.26 million).

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Picture: Church Footwear

ILM webinar: Indian and UK perspective on a post-Covid-19 leather marketplace

Worldwide
Published:  20 July, 2020

Two industry experts from India and the UK will give overviews of their respective markets in the second instalment of the two-part webinar series titled ‘Preparing for a post-Covid-19 global leather marketplace’, organised by ILM in partnership with Brazilian hide and leather supplier JBS Couros and the National Wildlife Federation (NWF), which will be broadcast July 29, 2020 at 2pm UK time (3pm CET). To attend, please register here. 

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Richemont quarterly sales halve as luxury sector takes significant hit

Switzerland
Published:  17 July, 2020

The Swiss luxury leather goods, watch and jewellery maker has reported a sales drop of 47% to €1.99bn in the quarter to the end of June, stating the business had suffered “unprecedented levels of disruption”, despite most of its stores outside of the U.S. having reopened after post Covid-19 lockdowns. 

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Picture: Ferragamo

Ferragamo raises prices to compensate for Covid-19 impact

Italy
Published:  17 July, 2020

The Italian luxury goods company has reportedly raised its prices for a number of its products by 5 to 7% in order to offset a fall in revenues and profits resulting from a slump in demand during the coronavirus pandemic.

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Picture: Kelvin Yup

U.S. footwear sector remains under pressure

United States
Published:  17 July, 2020

U.S. trade association Footwear Distributors and Retailers of America (FDRA) has released latest data from the North American shoe marketplace, revealing a continued difficult trading climate for the sector. 

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Peugeot 508

EU car registrations decline 38.1% in first half

Europe
Published:  16 July, 2020

EU demand for new passenger cars contracted 38.1% as the result of four consecutive months of unprecedented declines across the region.

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ACLE 2020 cancelled

China
Published:  15 July, 2020

The next edition of the All China Leather Exhibition (ACLE) is now scheduled to take place August 31 – September 2, 2021, at the Shanghai New International Expo Centre.

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Burberry’s sales decline 45% in first quarter

Worldwide
Published:  15 July, 2020

Comparable sales for the British luxury brand declined 45% in the first quarter, easing to -20% in June. Growth in Mainland China and Korea in June was allegedly ahead of pre Covid-19 levels, with sales of full-price leather goods up strongly in these regions.

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Magic Live Event cancelled

United States
Published:  14 July, 2020

Scheduled to take place September 30 - October 2, the Magic Live Event, which includes Micam Americas, has been cancelled due to continued uncertainty around international travel and border restrictions.

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SLTC 2020 conference cancelled

United Kingdom
Published:  13 July, 2020

The 123rd edition of the UK Society of Leather Technologists & Chemists’ conference has been cancelled.

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Lineapelle launches Virtual Networking project

Italy
Published:  13 July, 2020

Taking place July 14 – August 7, the Lineapelle Virtual Networking consists of a series of webinars, thematic e-forums and live presentations.

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Covid outbreak at ten Brazilian meat processing plants

Brazil
Published:  13 July, 2020

Brazil’s Ministry of Labour (MPT) announced it is investigating ten meat processing plants in the state of Mato Grosso after a record outbreak of Covid-19 infections.

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Covid-free certifications no longer needed from U.S. exporters

China/United States
Published:  10 July, 2020

According to the Leather and Hide Council of America (LHCA), U.S. exporters no longer need to submit a certification to Chinese importers to attest that the products shipped to China are not contaminated with Covid-19.

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TCLF social partners outline impact of Covid-19

Europe
Published:  10 July, 2020

The European Textile, Clothing, Leather, and Footwear (TCLF) social partners said the disruption of supply chains and the shutdown of retail outlets due to the Covid-19 pandemic completely destabilised these industries by dramatically reducing sales, leading to extreme contractions of revenues and financial distress for companies across all value chains.

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Italy’s footwear exports down 14.7% in first quarter

Italy
Published:  10 July, 2020

In the first three months of the year, Italy exported a total of 52.7 million pairs of footwear, a 14.7% decline compared with the same period in 2019.

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Pentland Brands to cut 350 jobs

United Kingdom
Published:  09 July, 2020

Pentland Brands, a division of privately-owned family business Pentland Group, has warned of 350 job cuts as part of a strategic review.

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Bangladesh’s annual leather exports decline 22%

Bangladesh
Published:  09 July, 2020

Exports of leather and footwear from Bangladesh declined 22% in fiscal year 2019-20, which has just concluded.

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Covid-19 pandemic forces New Zealand tannery to lay off workers

New Zealand
Published:  08 July, 2020

The Covid-19 pandemic is said to have caused a significant decrease in orders for finished leather from the automotive and aviation sectors.

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Capri Holdings fourth-quarter revenue down 11.3%

Worldwide
Published:  08 July, 2020

The owner of the Jimmy Choo, Michael Kors and Versace fashion brands has reported an 11.3% decline in revenue for its fourth quarter, but a 6% revenue growth for its full year ended March 28, 2020.

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India’s leather exports down 10.89% in fiscal 2019-20

India
Published:  07 July, 2020

India’s leather exports are said to have been severely affected so far into the current financial year due to the Covid -19 pandemic.

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CEC to focus on helping small businesses become more resilient

Europe
Published:  07 July, 2020

Following a partners meeting in June, the European Footwear Confederation (CEC) said the project consortium composed of national and regional authorities and business associations from Greece, Spain, Lithuania, and Poland are moving forward with planned activities to help small businesses become more resilient.

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Australian auto leather supplier forecasts profits down 25%

Australia
Published:  07 July, 2020

The company said its operations have been significantly impacted by market volatility resulting from the ongoing Covid-19 pandemic.

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Volvo XC60

Volvo sales return to growth in the U.S. market

Worldwide
Published:  07 July, 2020

Volvo Cars sold a total of 61,483 units worldwide in June, down 2.1% compared with the same month in 2019. The premium carmaker said sales in the U.S. returned to growth, while China continued to show positive trends.

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Tanning sector requests suspension of wage increase

South Africa
Published:  06 July, 2020

Associations from South Africa’s tanning, footwear and handbags sectors have allegedly received requests to suspend wage increases this year.

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Prada to raise prices

Worldwide
Published:  06 July, 2020

The Italian fashion label, which is also raising the prices of some products, said that Prada sales in Asia are returning to normal, pre-lockdown levels, while sales in the U.S. remain unpredictable.

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Vietnam could miss leather and footwear exports target

Vietnam
Published:  03 July, 2020

Vietnam’s leather and footwear exports are likely to reach US$15 billion in 2020, missing the target of US$20 billion set earlier for this year.

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China asks for evidence that U.S. hides are free of Covid-19

China/United States
Published:  03 July, 2020

In mid-June, China had requested that meat, dairy and other foods entering the country from the U.S. be accompanied by a document declaring that they are not contaminated with Covid-19.

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Indian companies seek to reduce duty on EU machinery imports

India
Published:  03 July, 2020

Companies from various sectors in India have reportedly started submitting proposals to the government in a move that seeks to reduce import dependence on China.

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Natuzzi’s net sales down 22.4% in first quarter

Worldwide
Published:  02 July, 2020

The premium leather furniture manufacturer said its net sales for the first quarter of the year were greatly affected by the Covid-19 pandemic.

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Spanish footwear association to hold virtual fair

Spain
Published:  01 July, 2020

More than 20 brands, members of the Footwear Association of the Northwest of the Region of Murcia (CALZIA), will showcase their creations, samples, and manufacturing videos during a virtual event taking place in July.

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India’s CLE to sign MoU with U.S. associations

India
Published:  30 June, 2020

India’s Council for Leather Exports (CLE) said it will sign a Memorandum of Understanding (MoU) with the Footwear Distributors and Retailers of America (FDRA) and the U.S. Fashion Industry Association.

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Argentina temporarily suspends duty on hide exports

Argentina
Published:  30 June, 2020

The impact of the Covid-19 pandemic in Argentina is said to have generated an accumulation of hides in cold storage.

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Faurecia expects a 50% drop in revenue in Q2

Worldwide
Published:  29 June, 2020

The announcement was made during the French seating and car parts manufacturer shareholders’ meeting, held in Paris on June 26.

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Nike classic CR7 range

Nike’s revenue down 38% in fiscal fourth quarter

W
Published:  26 June, 2020

The global sportswear manufacturer posted revenues of US$6.3 billion for the fourth quarter of its fiscal 2020, ended May 31, a decline from the prior year as the majority of Nike-owned and partner stores in North America, EMEA and APLA were closed due to the Covid-19 pandemic.

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