From leather capital to pet product hub: Story of E China's Pingyang county

A live streamer promotes pet products via livestreaming at the livestreaming base of Pingyang pet town, a multifunctional base of pet supplies industry and pet tourism in Shuitou township, Pingyang county, Wenzhou city, east China's Zhejiang Province, Jan. 9, 2025. (China Youth Daily/Zhao Limei)

Pingyang county, located in Wenzhou city, east China's Zhejiang Province, has undergone a remarkable transformation, emerging from the ashes of its once-dominant leather industry to become a world-renowned export base for Chinese pet products.

Pingyang county used to be China's leather capital. In Shuitou township alone, which was the core of Pingyang's leather industry, there were more than 1,200 leather processing businesses, generating nearly 4 billion yuan ($551.27 million) in annual output value and accounting for a quarter of China's total pig leather production in the heyday of the local leather industry.

However, the industry's success came at a steep environmental cost. The leather tanning process, particularly the chromium tanning stage, caused severe pollution, turning local rivers into stinking streams.

By 2003, Shuitou's environmental degradation had become so severe that its leather production base was listed among China's top 10 environmental violation cases.

Pingyang's journey of transformation began in the early 2000s, when the local authorities initiated a sweeping overhaul of the leather industry and pushed for a transition from leather production to the manufacturing of leather goods to promote environmental remediation.

Local leather processing companies were either shut down or merged, and the number of tanning drums was drastically reduced from over 3,300 to just 732 by 2007, resulting in remarkable results in pollution control.

As many owners of leather processing companies felt uncertain about their future direction, some entrepreneurs saw a new opportunity in the emerging pet industry. They began to produce pet supplies such as leashes, pet clothing, and chew toys to adapt to market changes and new consumer demands.

At the time, the entrepreneurs who took this step faced similar challenges: insufficient funds, the need to explore a new field, and a lack of professional talent, according to an industry insider.

During that period, many local entrepreneurs worked essentially as a "one-person team," according to the industry insider, who explained that they had to learn everything from scratch—sourcing materials, product research and development, and finding markets.

One such entrepreneur is Zhou Jinyu (pseudonym), a former leather business owner who now operates a successful pet supplies company in Shuitou township.

Recalling the early days of the shift, Zhou said he was working around the clock, yet his spirits were high. This cycle repeated itself, and through persistent efforts, his company finally got on track, with orders increasing steadily.

By 2018, Zhou's company had secured a major contract with a global pet product brand, marking a turning point in his business. Today, his company is one of many in Shuitou that export pet products worldwide, contributing to Pingyang county's annual pet industry revenue of 5 billion yuan.

Zhou's experience epitomizes that of many other local leather industry entrepreneurs who had shifted to pet products.

Thanks to these entrepreneurs' unyielding spirit and spirit of solidarity, strong government support, as well as the country's thriving pet market that has expanded continuously, Pingyang county has witnessed rapid evolution of its pet industry, with the number of local pet product companies growing to nearly 100.

In 2017, Peidi, a Shuitou-based pet food producer, was listed on a stock exchange, becoming the first pet food stock in China. Soon after, another local pet supplies company in Shuitou township, Wenzhou Yuanfei Pet Toy Products Co., Ltd., went public.

Today, Pingyang county is a world-famous hub of pet products, where one can find manufacturers producing a wide variety of pet products.

Not only does it boast the status of the only export base for pet products in China, but it also enjoys the authority to formulate national and industry standards for pet products.

Pingyang's transformation has also brought a generational shift. Younger entrepreneurs, many of whom grew up in families tied to the leather industry, are now leading the charge in the pet sector.

Zhong Hao (pseudonym), a post-2000s entrepreneur, is a typical example of a young entrepreneur in Pingyang's pet industry. After struggling to secure his first order, Zhong eventually landed a major deal with a U.S. client, marking the beginning of a successful career in pet product exports.

Riding on the wave of the country's burgeoning e-commerce industry, Zhong and many other young entrepreneurs have leveraged online marketing channels to further tap into both domestic and international markets.

Based on keen insights into the rising proportion of young people in China's pet-owning population, they have actively developed new products, such as special pet biscuits with Christmas motifs to cater to the demand of young pet owners, who pay attention to creating a sense of occasion for pets.

Zeng Yao, an executive of the livestreaming base of Pingyang pet town, a multifunctional base of pet supplies industry and pet tourism in Shuitou township, Pingyang county, Wenzhou city, east China's Zhejiang Province, watches pet clothing exhibits in the reception hall of Pingyang pet town, Jan. 9, 2025.  (China Youth Daily/Zhao Limei)

For young people born in Pingyang, returning to their hometown to build careers at the Pingyang pet town, a multifunctional base of pet supplies industry and pet tourism in Shuitou township, would be a great choice, since they enjoy the most important advantage of a robust pet industry supply chain built by the older generation, according to Zeng Yao, an executive of the Pingyang pet town's livestreaming base.

Zeng has worked closely with nearly 400 young people to transform the complex of Pingyang pet town into a livestreaming hub integrating online and offline operations.

The livestreaming base, opened last May, is not just a place for livestreaming, said Zeng, who noted that he envisions turning it into the "Walmart of the pet industry" where products from Pingyang pet town as well as pet products from across the country will be gathered, allowing consumers to shop freely for their pets.

As Pingyang pet town continues to evolve, more and more local young people have returned to the town, especially the post-95s and post-2000s generations, according to Zeng.

Meanwhile, the product portfolios of the local pet industry have been increasingly enriched and diversified, with some companies beginning to develop pet supplies with smart features, Zeng said.

The industrial development and upgrading has been accompanied by significant environmental improvement.

The local rivers now offer beautiful views with clear waters, according to Zeng, who added that he often takes a walk by the rivers with his family and friends in the evening.