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Leather is used as a crafting ingredient and is dropped by monsters who die by a hunting weapon like a Hunting Bow, Hunting Knife, or Crossbow type Weapons.

Planets that require Cold Resistant body tech have monsters with a higher leather drop rate.^(Confirm?)

Notes

• Snow Infantry Armor used to be crafted with leather. As of the Upbeat Giraffe Beta update, this is no longer possible, now it is found in chests underground.