Two Major Businesses Of BASF Textile And Leather Combine Into One.

Nowadays,

With the textile industry becoming more and more closely linked, the application of leather materials in the textile industry has become popular.

Recently, BASF has made textile chemicals business and leather chemicals business the two part of its important development.

It is understood that BASF has confirmed that its global textile chemicals business was acquired by Singapore's archroma acquisition.

The two sides agreed to keep secret the amount of the deal. Archroma said it hoped to complete the acquisition in the first quarter of next year after the completion of the registration and approval.

It is emphasized that the sale of textile chemicals business will continue to attach importance to leather chemicals business.

It is reported that this time

If the business is successfully completed, achroma's textile dyeing and chemicals business will be replenished, and the international exposure rate of the company will also increase.

In addition, the elite team of BASF textile chemicals business department and its recognition in Asia and other high growth markets will contribute to achroma's business development.

BASF said that the sale of textile chemicals business in line with the company's global strategy, the company will focus on leather chemicals including "customer demand driven growth" chemical business.

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"China has more than 1 billion 300 million people, and consumers who are active in the luxury market now have about 75 million. Even a small increase in wealth and spending can have a big impact."

Elwan Lenburg, head of HSBC consumer and retail research department, thinks that luxury consumption is not only related to GDP growth and fiscal policy, but also to social and cultural trends.

Because of this, very rich countries do not necessarily spend a lot of money on luxury goods.

In many Western cultures, showing off wealth is considered improper.

In contrast, the Chinese show their wealth is considered "appropriate".

In recent years, as the proportion of Chinese outbound travel has increased significantly, luxury goods abroad have the advantage of "low price and high quality", which has led to a blowout of overseas luxury goods consumption.

"Luxury brand has experienced nearly 20 years of development in China, and has already laid a broad sales network in China, but it has not provided quality service to consumers, and has not provided more competitive product prices based on Chinese consumer demand."

Zhou Ting, director of the Institute of wealth and quality analysis, believes that, first of all, some luxury brands in China do not have their services and experience in place, especially when many brands exist price discrimination in China. Secondly, many luxury goods are covered by all channels, so that consumers do not feel Fei Anquan away, so they will prefer to buy high-quality, original luxury goods from their origin. Third, more and more Chinese consumers hope to have more new products and new experiences, compared with foreign choices more diversified.

However, the trend of increasing consumption of luxury goods in China is unlikely to continue this year.

The global luxury market survey report released by Bain consulting and Italy luxury industry association shows that the consumption growth rate of the mainland's luxury market is 10% in the first 8 months of this year, a significant decrease compared with the same period last year.

By the end of this year, sales of luxury goods in mainland China will reach 117 billion 800 million yuan, down 2% from 2013.

This is the first negative growth since the start of the survey in 2000.

In Zhou Ting's view, the main reason for the poor performance of luxury goods in China is the change of consumption demand.

The sales volume of luxury goods has been increasing rapidly in China in recent years. It is entirely driven by market demand.

With the popularity of the Internet, information is becoming more and more full and pparent. China's emerging consumer groups are gradually maturing, and the demand for fashionable consumer goods has become more rational.

At this point, the brand operators did not do well in service and pformation, which led to the subdivision and cooling of the luxury goods market.

"The trend of Chinese purchasing luxury goods overseas will fade away in the future."

Chen Fengying, director of the Institute of world economics of the Institute of modern international relations, believes that when people are rich enough, they will not worship luxury goods so much.

When they can buy products that are basically the same price as foreign countries, they will not go abroad to buy them; besides, when China develops to a certain extent, the brand effect of China will also develop, and the fanatical demand for luxury goods in the future may decline and fade away.