HS Code:
The category 'Of textile materials of which over 50 percent of the external surface area (including any leather accessories or reinforcements such as those mentioned in note 4(a) to this chapter) is leather' falls under the Harmonized System (HS) Code related to articles of apparel and clothing accessories. This category primarily includes products such as gloves, jackets, and other apparel items where leather constitutes more than half of the external surface area, often combined with textile materials for functionality or design. These products are typically classified under HS Chapter 42 (articles of leather) or Chapter 62 (articles of apparel), depending on specific characteristics. They are widely traded globally due to their use in fashion, sports, and protective gear industries, with significant production in countries with strong leather processing capabilities.
Total Trade Volume
Approximately $2.5 billion USD
Data from 2022
Source
United Nations Comtrade Database and International Trade Centre (ITC)
$650 million USD
26% of total trade of total trade
Increasing
$480 million USD
19% of total trade of total trade
Stable
$400 million USD
16% of total trade of total trade
Increasing
$350 million USD
14% of total trade of total trade
Stable
$200 million USD
8% of total trade of total trade
Increasing
Average Rate
12% ad valorem
Highest Rate
25% (applied by certain countries for protective measures)
Lowest Rate
0% (under free trade agreements such as EU-India FTA or USMCA)
Growing demand for sustainable and ethically sourced leather
Increased production costs due to compliance with environmental standards, but also higher market value for certified products
2021-2023
Shift towards synthetic leather alternatives
Reduced demand for traditional leather-textile products in some markets, pushing manufacturers to innovate with hybrid materials
2020-2022
Rise in e-commerce for apparel and accessories
Expanded market reach for exporters, especially in developing countries, leading to a surge in direct-to-consumer sales
2019-2023
The European Union introduced new regulations under the REACH framework, requiring leather products to meet stringent chemical safety standards, impacting exporters from developing countries.
January 2023
Increased compliance costs for exporters, potential reduction in trade volume to EU markets for non-compliant producers
Ongoing geopolitical tensions have led to reduced bilateral trade, with both countries seeking alternative markets in Europe and North America for their leather-textile products.
Mid-2022
Diversification of export destinations, but also increased competition in third markets
The United States-Mexico-Canada Agreement has facilitated duty-free access for leather-textile products among member countries, benefiting North American manufacturers and exporters.
July 2020 (ongoing impact in 2023)
Increased trade volume within North America, reduced reliance on Asian imports for specific product categories