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Zhejiang saw a surge in factories when 14 coastal cities were opened in 1986. The development of many small businesses led to the construction of processing facilities for leather and luggage. Sanyuanli in Guangzhou, Tangxia in Huadu and Tangxi and Shiling among others, are all home to both large and small wholesale leather product businesses. The leather goods industry has grown rapidly since then. More than 5,000 leather goods manufacturers, over 300,000. A daily average of more than 300,000 bags and an export of over 200 thousand bags.

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