HDS/L Press info March 12th, 2018 - SPEECH AT THE HDS/L PRESS CONFERENCE ON MARCH 12th, 2018 IN DÜSSELDORF
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Federal Association of the
German Footwear and
Leather Goods Industry
HDS/L Press info March 12th, 2018
SPEECH AT THE HDS/L PRESS CONFERENCE
ON MARCH 12th, 2018 IN DÜSSELDORF
Carl-August Seibel
Chairman
Federal Association of the German Footwear and Leather Goods Industry
Dear Ladies and Gentlemen,
The good economic climate also has an impact on the German shoe industry. According to information from
the Federal Statistics Office, sales of German shoe manufacturers with at least 50 employees increased
by 5.9 percent, going from 2.7 billion to 2.9 billion euros. Companies recorded a 6.7 percent increase in the
employment figures, reaching 14,762. Foreign trade also experienced a significant increase in 2017. Last
year, Germany exported 280 million pairs of shoes, equivalent to a 9.8 percent increase. HDS/L managing
director Manfred Junkert will explain to you in detail the current shoe industry statistics.
Everybody talks about the term digitalization. Although partially overused and even rated as exaggerated
by futurologists, the term describes like no other the technological changes and resulting requirements for
companies. Sales channels must be rebalanced with the platform economy. Producers are not only product
manufacturers, but they must also take care of data, logistics, services and evaluations in this economy.
Nonetheless, of all sales channels, retailers are still the most important channel. For this reason, closer
cooperation with retailers is in demand: The German shoe industry supports specialized retailers in the
digitalization of business processes.
This is reflected in the various projects of the industry and stationary specialized retailers. Thus, the sector
solution is currently being implemented at raw electronic accounting by the industry, ANWR, SABU and the
service provider raw Rechen-Anlage West GmbH. This electronic accounting solution is not only cheaper
than paper invoices but also offers legal security. Among other things, it is characterized by easier handling
for the industry and retailers. The retailer’s incoming invoices are recorded in a centralized location and
configured in a legally compliant retailer archive. However, retailers that are not EDI-capable can also be
included, since only a web browser and e-mail are needed to access the portal. This simplification has
massively increased the acceptance of electronic accounting among retailers.
The digitalization of the sales channels also changes product data requirements and their meaning. As
an industry, in order to offer retailers a centralized control of product data, the German shoe industry is
currently supporting the expansion of a centralized product database through the HDS/L. In this content
society, the HDS/L will represent the interests of the industry as a strategic partner. Through this database,
retailers will receive top quality article information, marketing materials and product photos as quickly as
possible.
Download: http://www.hdsl.eu/Downloads-en
Federal Association of the
German Footwear and
Leather Goods Industry
The changes brought about in the economy by digitalization also place new demands on the political system
and create new regulations. The European General Data Protection Regulation becomes effective on May
25, 2018. New information, reporting and documentation obligations as well as the establishment of an
operational data protection appointee are the result for all companies. To avoid fines of up to 4 percent of
worldwide annual sales, the HDS/L recommends taking advantage of the remaining time to prepare for the
General Data Protection Regulation before it takes effect.
There are also new basic legal conditions in the field of geoblocking. In May 2015, the EU Commission
presented its Digital Single Market Strategy in order to create a uniform internal market from the 28 markets
of the individual EU member states in the area of the digital economy. While implementing this strategy,
European institutions agreed on ending the geoblocking for consumers in November 2017. Now, providers
are no longer allowed to block or limit customer access to their online interface due to their nationality or
place of residence. This poses new challenges for producers with a view to the existing sales structures.
However, not only the German shoe industry is in upheaval, but also Germany’s political system. The 2017
parliamentary elections resulted in a Bundestag with six parties, which dramatically hindered the formation
of a new government. Exploratory discussions about a coalition consisting of the CDU/CSU, FDP and
Greens collapsed after almost four weeks. Finally, after tough negotiations, the coalition agreement for a
Grand Coalition was also accepted by the SPD in the members’ decision. The coalition agreement decided
between the CDU, CSU and SPD revealed in many points an imbalance towards more redistribution and
less market economy. This becomes especially clear in the structuring of the energy transition and the future
topic of digitalization. Furthermore, a clear commitment for R&D tax incentives is missing. We support the
commitment for a strong European Union, paired with the rejection of protectionism. It is now necessary for
the new old government to resume work as quickly as possible in order to make up for lost time and take
measures to strengthen Germany as an industrial location.
Press contact:
Dr. Claudia Schulz
Phone +49 69 829741-10
bund@hdsl.eu
Federal Association of the
German Footwear and
Leather Goods Industry
Reinhardtstraße 14 – 16 The spoken word applies.
10117 Berlin
HDS/L Press info March 12th, 2018 Page 2Federal Association of the
German Footwear and
Leather Goods Industry
HDS/L Press info March 12th, 2018
SPEECH AT THE HDS/L PRESS CONFERENCE
ON MARCH 12th, 2018 IN DÜSSELDORF
Manfred Junkert
Managing Director
Federal Association of the German Footwear and Leather Goods Industry
• Strong domestic business for the German shoe industry
• Employment increase
• Export increases in the European markets
Sales and employment trend
According to the information provided by the Federal Statistical Office, sales of German shoe manufacturers
having at least 50 employees increased by 5.9 percent in 2017, going from 2.7 billion to 2.9 billion euros.
The sales growth is based on domestic business, which increased to 2.3 billion euros in 2017, an 8.2 percent
increase. On the other hand, the significance of foreign markets for the German shoe industry decreased.
Whereas sales abroad reached approximately 595 million euros in 2016, companies achieved foreign sales
of 580 million euros in 2017, which corresponds to a drop of 2.6 percent. This means that in 2017 the share
of foreign business in total sales decreased as in the previous year, specifically from 20.7 to 18.4 percent.
Employment also reflects the positive trend in domestic business. Here, as in previous years, the number
of employees rose. Thus, in the shoe industry, the employment figure went up by 6.7 percent and reached
14,762. However, the lack of skilled workers in the sector is becoming increasingly noticeable. In this year‘s
HDS/L survey, the participating companies reported that it has become noticeably harder to find skilled
workers for the areas of research & development and IT. One third of companies also indicated problems in
securing skilled production workers. These areas, however, are essential for the German shoe industry to
drive innovations and corporate digitalization forward.
Prices
Producer prices for shoes rose an average of one percent in 2017. The increase was higher than in clothing,
but lower than in leather goods (clothing: 0.1 percent; leather goods: 2.1 percent). Total consumer prices
increased by an average of 1.8 percent in 2017, while consumer prices for shoes increased by 2.3 percent.
Download: http://www.hdsl.eu/Downloads-enFederal Association of the
German Footwear and
Leather Goods Industry
Exports
Compared to 2016, the number of exported shoe pairs from Germany rose by 9.8 percent in 2017, going
from 255 million pairs to 280 million pairs. The most important buyer countries in 2017 were France (+19.6
percent, reaching 37.8 million pairs), Poland (+21.0 percent, reaching 35.7 million pairs) and the Netherlands
(-13.7 percent, reaching 26.3 million pairs). The most dynamic and important export markets for the German
shoe industry in 2017 were Italy and Great Britain. Thus, 15.1 million pairs of shoes were exported to
Italy, which corresponds to a 40.5 percent increase. In 2017, 18.2 million pairs of shoes were exported
from Germany to the United Kingdom (+21.5 percent). In 2016, 221 million pairs of shoes were exported
from Germany to the countries of the European Union, which represented a share of 86.4 percent of all
German shoe exports. This share dropped by 2.1 percentage points in 2017, down to 84.3 percent, with a
simultaneous increase of the absolute number of exported shoes in EU member states to 236 million pairs.
These figures illustrate the considerable significance of the European internal market for the German shoe
industry. Outside of the EU, increases of shoe exports to the USA can be seen. In 2017, 7 million pairs of
shoes were exported to the USA, a 14.7 percent increase compared to the previous year. The average price
of a shoe exported from Germany rose from 19.31 euros to 22.04 euros in 2017, a 14.2 percent increase.
The export figures show that the sneaker hype also continued in 2017. For textile upper shoes, exports
grew by 17.9 percent compared to the previous year. The number of exported textile upper shoes rose from
85 million pairs to 101 million pairs. An especially dynamic development was seen in the export business
with textile upper sports shoes, where an export growth from 22.2 percent to 41 million pairs was recorded.
The growing international demand for shoes from German manufacturers is seen in leather upper shoes.
Whereas 73 million pairs were exported from Germany in 2016, the export of leather upper shoes increased
by 15 percent in 2017 to 84 million pairs.
Imports
After stagnating import figures in 2016 compared to 2015, the number of imported shoes rose by 3.5
percent in 2017, going from 669 million pairs to 692 million pairs. The largest shoe importer, as in previous
years, was China with a share of 46.9 percent of all shoes imported into Germany. In 2011, the share of
shoe imports from China in Germany was still 55 percent. In 2017, Germany imported 324 million pairs of
shoes from China. Thus, shoe imports from China increased by 3.6 percent compared to the previous year.
Additional shoe importers important for Germany are Vietnam (+11.5 percent, reaching 109 million pairs),
Indonesia (+9.3 percent, reaching 31 million pairs) and Italy (+5.8 percent, reaching 28 million pairs). Strong
import increases were seen for Portugal (+15.7 percent), Spain (+11 percent) and France (+8.5 percent).
As in exports, the importance of textile upper shoes has also grown in imports. In 2017, 41.6 percent of all
shoes imported into Germany had a textile upper (+8.9 percent, reaching 288 million pairs). With textile
upper sports shoes, the imported quantity rose from 77 million pairs to 88 million pairs, a 14.7 percent
increase. A stronger demand for foreign leather upper shoes was observed in Germany in 2017. For this
type of shoe, the imported quantity rose by 4.6 percent and reached 187 million pairs. Most of the imported
leather upper shoes are street shoes (+6.9 percent, reaching 140 million pairs). The average price for
imported shoes also rose by 3.4 percent in 2017 compared to 2016, and reached 14.35 euros.
HDS/L Press info March 12th, 2018 Page 2Federal Association of the
German Footwear and
Leather Goods Industry
Outlook for 2018
The German shoe industry is cautiously optimistic for 2018 in spite of the constantly changing basic political
and economic conditions. According to a HDS/L survey, roughly 60 percent of the companies surveyed are
counting on an increasing sales trend. The companies that participated in the survey expect medium single-
digit sales growth. The most current economic report of the ifo Institute confirms this outlook. Accordingly,
shoe producers foresee a somewhat more favorable business development in the following six months
compared to the previous months.
In order to do justice to these developments, two thirds of the companies that participated in the HDS/L
survey are planning domestic investments, whereas every third company intends to invest in other EU
countries. 80 percent of the planned investments are replacement investments. The innovation pressure
is also reflected in the investment figures. Thus, roughly 18 percent of companies planned rationalization
investments in 2016. On the other hand, 33 percent of companies in the HDS/L survey reported that they
were planning rationalization investments in 2017.
Press contact:
Dr. Claudia Schulz
Phone +49 69 829741-10
bund@hdsl.eu
Federal Association of the
German Footwear and
Leather Goods Industry
Reinhardtstraße 14 – 16 Source: Federal Statistical Office, 2018
10117 Berlin The spoken word applies.
HDS/L Press info March 12th, 2018 Page 3Federal Association of the
German Footwear and
Leather Goods Industry
Footwear industry: Key figures
Companies with
1 Change vs. previous year
more than 50 employees
2016 39 0.0%
2017 36 -7.6%
2 Employees
2016 13,837 7.4%
2017 14,762 6.7%
3 Gross wages and salaries (in million €)
2016 527 9.8%
2017 584 10.8%
4 Hours workes (in thousands)
2016 24,566 8.4%
2017 25,563 4.0%
5 Total turnover (in million €)
2016 2,777 5.9%
2017 2,941 5.9%
6 Domestic turnover (in million €)
2016 2,181 7.9%
2017 2,360 8.2%
7 Foreign turnover (in million €)
2016 595 -0.6%
2017 580 -2.5%
8 Producer prices (Index, 2010 = 100)
Clothing 2017 112.7 0.1%
Leather goods 2017 114.4 2.1%
Shoes 112.3 1.0%
9 Consumer prices (Index, 2010 = 100)
Shoes 2017 110.1 2.3%
Clothing 2017 108.2 1.3%
Total 2017 109.3 1.8%
FOREIGN TRADE
Annual Annual Annual
value in €
Foreign Trade Pairs percentage percentage Price / pair percentage
change 1,000 change change
Export
2016 255,888,358 7.4% 4,941,632 16.4% 19.31 € 8.2%
2017 280,855,614 9.8% 6,191,858 25.3% 22.05 € 14.2%
Import
2016 669,177,551 2.1% 9,286,805 5.2% 13.88 € 2.9%
2017 692,729,426 3.5% 9,937,715 7.0% 14.35 € 3.4%
HDS/L Press info March 12th, 2018 Source: Federal Statistical Office, 2018Federal Association of the
German Footwear and
Leather Goods Industry
Footwear
Kennziffern
EXPORTS industry:
Schuhindustrie
Key figures
IMPORTS
HDS/L Press info March 12th, 2018 Source: Federal Statistical Office, 2018You can also read
