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Brazilian Leather Exports See Higher Volume but Lower Revenue

May, 02, 2025 Posted by Denise Vilera

Week 202518

Brazilian leather exports closed in the first quarter of 2025 with an increase in volume but a drop in revenue. National tanneries shipped 49.8 million square meters of leather — an 8.2% increase compared to last year. In weight, exports totaled 173.1 thousand tons, up 25.3% from the first three months of 2024. However, the total export value reached only USD 298.8 million, representing a 4.3% decrease compared to the January–March period of 2024. The data comes from the Secretariat of Foreign Trade (Secex) of the Ministry of Development, Industry, Trade and Services and was analyzed by the Centre for the Brazilian Tanning Industry (CICB).

Rogério Cunha, from CICB’s Market Intelligence team, highlighted the United States’ behavior in importing Brazilian leather during Q1. While the U.S. began the year having dropped from second place in 2024 to fourth place in January and February 2025—prior to Donald Trump’s tariff hike—it recovered one position in March and is now in third place.

Cunha cautioned that it’s still too early to assess the full impact of the new U.S. tariffs. “But any evaluation should take a cross-market approach, considering changes in production and consumption dynamics that the new duties could bring to markets like Asia and the European Union — also major clients of the Brazilian tanning industry — in addition to Chinese manufacturing,” he noted.

International Markets

In Q1 2025, China (excluding Hong Kong) remained the top international market for Brazilian leather. The Asian country accounted for 31.4% of export value (previously 32.6%) and 46.3% (47.2%) of area, with increases of 2.1% (+8.0%) in value and 27.3% (+33.9%) in area.

Italy ranked second, with a 13.4% (13.9%) share in value and 15.3% (15.7%) area. It recorded a 9.5% (+19.1%) increase in value and 20.0% (+33.5%) in area.

The United States, now in third place, represented 12.9% (11.4%) of the export value and 6.3% (5.6%) of the area. However, it saw drops of 16.8% (-27.8%) in value and 10.3% (-18.7%) in area.

Top Leather Exporting States

Rio Grande do Sul remained the leading Brazilian state for leather exports in Q1 2025, accounting for 27.6% of total export value. It was followed by Paraná (15.1%), São Paulo (14.6%), Goiás (12.4%), and Mato Grosso do Sul (8.3%).

Minuano Tannery, located in Lindolfo Collor, Rio Grande do Sul, specializes in hair-on hides and reported stable export levels during Q1 2025. “It was within expectations, very much in line with last year,” said the company’s business manager, Mateus Leão Enzveiler. He emphasized that the export distribution was “balanced across continents, particularly in North America and Europe — not just China.”

Source: Exclusivo

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