Summary
In the bag: Import competition is anticipated to increase despite growing downstream demand
Abstract
Backpack & Courier Bag Manufacturing
Similar to most apparel and accessory industries in the United States, the Backpack and Courier Bag Manufacturing industry is up against intense competition from lower-priced imports. Goods manufactured domestically tend to command higher prices, largely due to the comparably high labor costs domestic producers pay compared with their international counterparts. However, over the five years to 2018, IBISWorld expects industry revenue to have grown, due to weakening import penetration and strong per capita disposable income growth. Over the five years to 2018, loosening competition from imports has represented an opportunity for industry growth. Traditionally, production costs, such as wages, are substantially lower in manufacturing countries like China. However, China’s recent manufacturing slowdown has improved the industry’s international trade position. Industry revenue growth is expected to continue over the next five years, albeit at a decelerated rate. While disposable income and demand from retailers carrying industry products are expected to continuing rising, import competition is anticipated to increase, as the US dollar is slated to appreciate over the next five years.
Operators in this industry manufacture backpacks and courier bags from a variety of materials, including canvas, rubberized fabric and plastic-based materials. Backpacks are typically designed for school or outdoor use and typically have two straps that go over each shoulder. Courier bags, which are often called messenger bags, are worn across the body.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
