SPANISH FURNITURE TRADE2013 ANNUAL REPORT

JANUARY – DECEMBER 2013: SPANISH FURNITURE EXPORTS, IMPORTS AND SECTORIAL BALANCE

According to ESTACOM statistics, Spanish furniture exports grew at an annual rate of +15.4% to 1,603 million euros last year.

in million euros Source: ESTACOM

On the import side, figures indicate that, compared to 2012 results, Spain’s furniture imports showed a slight increase by +0.2% to 1.955,9 million euros.

Import and export figures reveal that the deficit of the Spanish trade balance for 2013 amounted to -352.7 million euros, while the import/export coverage ratio made up 82%.

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

2012 2013 % 13/12January-December 1,389 1,603 15.4%

MAIN MARKETS FOR SPANISH FURNITURE

In 2013, four UE countries, France, Portugal, Germany, United Kingdom maintained their leading position among Spain’s major markets, making up almost 50% of total exports.

With the exception of Italy, whose imports of Spain’s products dropped by -17%, exports increased remarkably to all the other top ten importers. Netherlands, in particular, registered the best result with an increase of +103.6%. Sales to United Kingdom, which now ranks 4th, registered a rise by +32.7% due to the increase of the prescriptions of Spanish furniture for interior design projects and to the re-export of part of the furniture to other markets.

Having increased its purchases by +37.6%, Russia confirms itself as a promising market for Spanish furnishing products, ranking now 5th among top importers from Spain.

Among main destination markets, significant increases have been also registered in exports to the U.S.A. (+30%) and Saudi Arabia (+22,1%). High rates of increase in minor markets, such as Mexico (+14%), Turkey (+69.7%), Qatar (+69%) or Brazil (+50%), show the effort that Spanish companies put in expanding in less saturated markets and in diversifying their client base.

Ranking now 9th, Morocco has almost reached the same amount of purchases as Italy, which is one of the main traditional market for Spain’s furniture.

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

Ranking of main destination markets for Spanish furniture exports

in million euros Source: ESTACOM

France

Portuga

l

German

y

United Kingd

omRussi

a

The Netherla

ndsUSA Ita

ly

Moro

cco

Saudi A

rabia

0

100

200

300

400

500

2012

2013

On the whole, it should be pointed out that Spanish furniture sales have shown a stimulating upward trend in 2013. Sales to most EU countries have increased significantly, while Spain’s furniture exports have picked up also in the United States (+30%) and in some Latin American countries, such as Mexico (+14%) and Brazil (+50%), due to the growth of the real estate and hospitality sectors in these countries.

Spain’s furniture is also highly appreciated in the Middle East, with exports doing well in Saudi Arabia, Turkey, UAE and Qatar. Sales to Turkey, in particular, rose dramatically by 69,7% to 22 million euros.

As for Africa, Equatorial Guinea expanded its purchases of Spain’s furniture by + 27.3%, ranking now 17th.

The increase of exports to traditional as well as emerging markets reveals how hard Spain’s companies are working to compensate the fall of domestic sales by strengthening their presence in international markets. The ranks of destination markets shows also an encouraging trend toward the diversification of markets in Europe, America, Africa and Asia.

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

MAIN TRENDS IN SPANISH FURNITURE EXPORTS

As far as the main furniture supplier countries are concerned, China, whose furniture purchases from Spain amounted to 410,9 million euros (-9.3%), consolidates itself as the main origin market, concentrating the 21% of Spain’s imports of furniture.

Four countries of the EU (Portugal, Germany, Italy and France) rank 2nd to 5th just behind China, representing 42.4% of total imports.

As it can be observed, imports from Spain’s main furniture suppliers have registered negative results (China, Italy, France). On the other hand, purchases from minor markets registered better results, although volumes remain low.

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

IMPORTS

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

Main furniture trading partners: origin of furniture imports

in million euros Source: ESTACOM

Countries Imports 2013 % of total imports

% VAR. 13/12

China 410.9 21.0% -9.3%Portugal 261.8 13.4% 1.3%Germany 244.0 12.5% 4.9%Italy 186.8 9.5% -5.5%France 136.4 7.0% -5.2%Poland 127.5 6.5% 9.2%Czech Republic 69.7 3.6% 52.4%Romania 63.4 3.2% 37.8%Morocco 55.3 2.8% 34.8%Slovakia 40.9 2.1% 57.5%TOTAL 1.955.9 100% +0.2%

Looking at results by Autonomous Communities (Regions), despite its negative result (-3,6%), Catalonia keeps on playing a leading role in the national furniture exports. The Valencia Community, that ranks second and is diversifying its destination markets , is gaining positions with furniture exports registering a sharply increase (+24.5%) and totalling almost the same amount as Catalonia. It is worth to point out that both Communities represent 48.9% of the national furniture exports, showing that sales to foreign markets are largely concentrated in only two regions.

Among main export regions, Galicia, Andalusia, Madrid and Aragon have also registered significant increases.

With exports amounting to 50.2 million euros, Murcia (+14.1%), one of the main Spain’s furniture producer clusters, consolidate its ninth position in the ranking.

ANIEME - Spanish Association of Furniture Manufacturers and Exporters

EXPORT RESULTS BY AUTONOMOUS COMMUNITIES (REGIONS)