Furniture manufacturing and export
Traditionally, furniture manufacturing was a labor-intensive process. China's furniture manufacturing industry is highly competitive owing to its low technology requirements and high lumber production levels. As of 2022, China had more than 7,200 manufacturing enterprises engaged in furniture production. The majority of China’s furniture manufacturing factories profit from providing OEM and ODM services to foreign furniture brands. As part of these services, Chinese factories produce products would later be rebranded for sale to the end consumer. As a result, the three leading Chinese furniture companies accounted for only five percent of the total market. In 2022, Oppein Home ranked first among Chinese furniture producers in terms of market capitalization, followed by Kuka Home, and Suofeiya Home. In 2021, China remained the world’s largest furniture exporter, ahead of Poland in second place by a large margin. That year, the majority of furniture exported from China was made from wood , with an export volume of more than 35.8 million pieces.Furniture retail in China
For Chinese consumers, traditional channels such as construction material markets remain the most common means of purchasing furniture. Recently, however, e-commerce has emerged as a viable alternative. In 2022, the online retail value of furniture in China is estimated to surpass 650 billion yuan. One reason for this was the key demographic of this segment - millennials and Generation Z. Additionally, many e-commerce platforms in China offer one-stop services, from shipping to installment, making it easier to shop for furniture. Also, the internet has grown to be the most significant channel for consumers to acquire information on furniture and furnishing.Despite international retailers like IKEA taking up a larger portion of the Chinese furniture market, domestic brands like Red Star Macalline and Juran Furniture remain the biggest players. At the end of 2022, Red Star Macalline owned 378 retail outlets in China, compared to 36 stores owned by the Scandinavian furniture giant.
