High Point, NC–The report from the fall 2021 High Point Market is great for U.S. manufacturers and frustrating for importers.
The furniture industry returned for the fall market with thousands of exhibitors and retail buyers and designers eager to see new product. Most domestic producers reported very strong sales for 2020 and 2021 because they have had furniture to sell.
Many importers are struggling with the supply chain providing finished goods and components from Asia, Vietnam and other countries. There were fewer Asian exhibitors and their showrooms had lower volumes of introductions.
“It was a great market for us and other American manufacturers because we have product,” said Doug Bassett, president of Vaughan-Bassett Furniture. “We have reduced our number of lines to focus on what we can make and deliver that is profitable.”
COVID-19 has kept many U.S. consumers at home as cities and states enforced quarantines over the past two years of the pandemic. These consumers quickly tired of the look or comfort or design of their existing furniture and when retail stores opened, they were ready to buy.
Orders placed in the first quarter of 2021 were up 50 percent over the same period in the previous year. March 2021 orders recorded a 40 percent increase over those of March 2019, and 1Q21 orders posted a 38 percent increase compared with 1Q19.
Many retailers have sold out of existing inventories and those that are dependent on imported goods are delayed because of supply chain issues. Foreign manufacturers are struggling to get furniture into the U.S. because of freight backlogs.
Vietnam has become the sixth largest source of U.S. imports overall and in 2020 was the second-ranked source for inbound shipments of furniture. Vietnam accounted for 19 percent by value of this trade in the period from January through April 2021, behind only China with a 37 percent share. Just five years ago, Vietnam ranked third with a 7 percent share, while China supplied 50 percent.
Significantly, Vietnam is the top source for U.S. imports of wood furniture with a 43 percent share of this market, followed by China with 15 percent.
American companies with plants in Ohio, Indiana, Mississippi and North Carolina echoed the same success as Bassett. Their showrooms at High Point had new products and retailers were purchasing goods to fill warehouses and showrooms.
Copeland Furniture in Vermont had introductions in Cherry and Walnut that were well-received by retailers and designers who cater to high-end consumers. President Tim Copeland said their customers appreciate solid wood furniture from domestic species with excellent design.
Roy Miller of Country View in Ohio reported continued success with its dining and bedroom programs. The company produces solid Hardwood lines in Maple, Oak and Elm and the response in the past 12 months has been exceptional.
“We have focused on pieces that we can move through the plants quickly and get delivered to customers,” he said. “We have cut back on the styles to focus on our top sellers.”
Maple, Walnut and White Oak were the American species that dominated at Market. A few lines were introduced in Cherry with the manufacturers taking advantage of lower raw material pricing.
The High Point Market Authority (HPMA) announced Alex Shuford, III to the role of chair for its board of directors. Shuford, CEO of Rock House Farm Family of Brands and Century Furniture, has served on the HPMA board and executive committee since 2018.
The next High Point Market is scheduled for April 2-6, 2022.
