Analysis of China's furniture industry business data in 2018 and trend forecast for 2019

The furniture industry is an important civilian production industry and an industry with significant international competitiveness in China's national economy. It plays an important role in meeting consumer demand, improving the quality of life, promoting international trade, fully absorbing employment, promoting regional economy, and building a harmonious society. The "13th Five-Year Development Plan for China's Furniture Industry" proposes the main goal of the furniture industry during the "13th Five-Year Plan" period: after entering the stage of medium- and high-speed development, steady progress will be the overall tone of the development of the furniture industry, maintaining the income of the main business. An average annual growth rate of 9%-10%. The furniture industry should further strengthen trade exchanges, adapt to the new international situation, fully build industry synergies, actively respond to trade frictions, and increase product added value and foreign trade. It is necessary to continue to consolidate and enhance the leading position of Chinese furniture in the international market and maintain an average annual growth rate of 3%-5% of furniture exports.

The development status of the furniture industry in 2018

?? 1. Number of companies in the furniture industry

With the increase in the income level of residents and the gradual emphasis on the living environment, consumers' individualized demand for furniture and household items is increasing. Customized furniture has become a new and rapid growth point in the field of furniture consumption in recent years by virtue of the efficient use of home space, the ability to fully reflect the consumer's personalized consumption needs, and the sense of modernity.

?? Data show: By the end of 2017, China's furniture industry has reached 6,000 enterprises above designated size, an increase of 39 compared with the previous year. At the same time, there were 608 loss-making enterprises, an increase of 108 over the same period of the previous year, and the loss was 10.13%. The overall loss of the furniture industry in China has been increasing. The total loss in 2017 has reached 2.25 billion yuan, an increase of 320 million yuan over the same period in 2016. By the beginning of January to October 2018, the number of furniture manufacturing enterprises in the country has increased to 6,236, including 919 losses, with a loss of 14.7% and a total loss of 2.08 billion yuan. (Data source: China Merchants Research Institute)

2. Furniture industry income

According to the monitoring data of the China Industrial Research Institute, from January to October 2018, China's furniture industry above designated enterprises achieved a main business income of 595.9 billion yuan, a year-on-year increase of 5.4%. Looking back at the operating income of furniture manufacturing industry in 2012-2017: In the past six years, the operating income of China's furniture manufacturing industry has maintained a steady increase, but in 2013-2016, the growth rate of China's furniture manufacturing business revenue has decreased year by year, but the growth rate in 2017 has unexpectedly rebounded. , an increase of 0.5 percentage points.

3. Furniture industry profit statistics

In recent years, the total profit of China's furniture manufacturing industry has kept pace with its operating income and has maintained a steady rise. In 2017, the total profit of the furniture industry reached 56.52 billion yuan, a year-on-year increase of 9.3%, an increase of 1.4 percentage points compared with the previous year. By the end of October 2018, the national furniture industry's total profit reached 33.21 billion yuan, an increase of 3.1% over the same period last year.

4. Furniture manufacturing profitability

In recent years, the profitability of China's furniture industry has stabilized. In 2017, China's furniture industry gross profit margin reached 15.5%, an increase of 0.4 percentage points compared with the previous year, and the furniture industry sales profit rate reached 6.2%. Compared with the previous year, it dropped by 0.1 percentage point. From January to October 2018, the gross profit margin of the furniture industry was 15.3%, and the sales profit margin was 5.6%. (Source: China Merchants Research Institute)

2019 furniture industry retail forecast

From 2012 to 2017, China's furniture retail sales maintained a steady growth trend. In 2012-2017, the national retail sales of furniture continued to grow. In 2017, the total retail sales reached 280.9 billion yuan, an increase of 2.8 billion yuan compared with 278.1 billion yuan in 2016. According to the China Industrial Research Institute, the national furniture consumption in 2018 will be We will continue to maintain a stable and long-term trend. According to preliminary statistics, the national retail sales of furniture will exceed 300 billion yuan in 2018, and the retail sales in 2019 will exceed 320 billion yuan.

In 2017, China’s total commodity consumption was 326.618 billion yuan, a year-on-year increase of 10.2%. According to statistics, the proportion of furniture consumption in the retail sales of goods in 2012-2017 is relatively stable, and the proportion is basically maintained at around 0.9%. It is estimated that the proportion of furniture consumption in commodity retailing will be around 0.86% in 2019.