Synthetic Leather Market, Demand, Volume, Price Range, and Industry Outlook Report

Introduction

Synthetic leather (or artificial leather) is a man-made material designed to resemble natural leather both in terms of appearance and texture. It is produced via the use of synthetic polymers like polyurethane (PU) or polyvinyl chloride (PVC). Compared to its natural counterpart, synthetic leather is cheaper, versatile, and easy to maintain. Thanks to its durability and flexibility, it is widely employed across various end-uses, including fashion, automotive, furniture, and footwear.

Synthetic leather production involves the processing of materials like PU and PVC to mimic the look and feel of natural leather. While PU is applied to a fabric backing, PVC is mixed with plasticizers and additives to create a flexible sheet. Bio-based synthetic leather uses plant fibers or agricultural waste combined with bio-polymers for a more eco-friendly option. These materials undergo processes like embossing, colouring, and coating to achieve the desired texture and durability.

Synthetic Leather Market Segmentation

The Synthetic Leather market is segmented by type into Polyurethane-based, PVC-based, and Bio-based & Others. Known for its soft texture, high durability, and eco-friendliness, polyurethane-based synthetic leather is preferred in fashion, automotive, and furniture, while PVC-based synthetic leather is cost-effective and used in mass-market products such as upholstery and footwear due to its wear and water resistance. Other types include silicone-based, acrylic-based, and natural fiber-based synthetic leather, catering niche applications that require high performance, heat resistance, or unique aesthetics.

In terms of application, the Synthetic Leather market is segmented into Automotive, Furnishing, Footwear, Wallets, Bags, & Purses, and Others. Synthetic leather volumes in the automotive sectors are employed in vehicle interiors, offering durability, comfort, and aesthetic appeal. In furnishing, they are used for furniture upholstery, while the footwear sector relies on synthetic leather for its both high-end and everyday footwear. Wallets, Bags, & Purses are another key outlet. Other applications include sports equipments, electronics, and home décor.

The demand (consumption) split by application and by end-use has been provided for each of the countries/regions considered in the scope in Volume (kilo tons) and Value (USD Million).

Key producing companies in the global Synthetic Leather market include Kuraray, Teijin Limited, Mayur Uniquoters Limited, San Fang Chemical Industry, Nan Ya Plastics Corporation, Filwel Co., Zhejiang Hexin Holdings, and Wanhua Chemical.

Synthetic Leather is a USD 42.2 billion dollars market as of 2024. Market is poised to reach over USD 84 billion by 2034, registering a CAGR of 7% between 2025 and 2034.

Recent Developments in the Synthetic Leather Market

• In July 2024, BASF launched its 100% recyclable polyurethane-based synthetic leather Haptex® 4.0. Thanks to its recyclability, it is produced without any waste residue. It is also relatively affordable and durable, making it the go-to choice for consumers across the applications like automotive interiors, footwear, fashion, and furniture.
• In January 2022, Kuraray collaborated with Nissha Co. to jointly develop a Material Insert using its synthetic leather CLARINO. Material Insert is Nissha’s insert molding technology, and it will be used in the mobility sector, thanks to rising demand for seamless automotive interiors.

Synthetic Leather Market Dynamics

Driver: Increasing Demand for Sustainable and Cruelty-Free Products

The growing consumer preference for eco-friendly and cruelty-free products is expected to augment synthetic leather volumes over the forecast period 2025-2034. With rising consumer awareness regarding sustainability, more consumers and industries are turning to synthetic leather as a viable alternative to animal leather. Synthetic leather, particularly bio-based options, aligns with the rising demand for sustainable materials in industries like fashion, automotive, and furniture, which will likely accelerate its adoption in the coming years.

Restraint: High Cost of Bio-Based Synthetic Leather Production

While bio-based materials offer an eco-friendly alternative, the production processes and raw materials involved can be more expensive compared to traditional synthetic leather made from PVC or PU. As manufacturers face pressure to reduce costs while meeting sustainability goals, the cost of bio-based synthetic leather may likely deter its widespread adoption and limit its market growth.