Reifen China 2009 Aims to Connect Far Eastern and European Businesses

At the start of 2009, the Chinese Rubber Industry Association reported that, despite the global economic meltdown, China remains the world's fastest growing market. The Chinese tyre business is reportedly worth about $8 billion and accounts for 9 per cent of the world tyre market share. However with most of the world’s markets either struggling to recover or still nose-diving, the fact that July figures suggest Chinese passenger car tyre OE and replacement demand are actually up 10 and 20 per cent respectively is truly impressive. With this in mind, Messe Essen’s third Reifen China exhibition running from 11 – 13 November is likely to pique the interest of buyers, manufacturers and traders from around the world.

Last year’s show attracted 110 exhibitors from 17 countries and 5,500 trade visitors from 72 countries. According to organisers, over 90 per cent of exhibitors and 98 per cent of visitors decided to attend the next fair immediately after attending the 2008 show. In addition 75 per cent of international exhibitors who came to the last Reifen China with the intentions of developing new markets said their results were “very good to satisfactory.” And crucially 83 per cent of international exhibitors said they successfully addressed their target groups.

One thing that has singled out Reifen China in previous years and has been the strong support of China’s leading tyre manufacturers for the exhibition. This year some of the biggest names in Chinese tyre manufacturing including Cooper Chengshan (Shandong) Tire Company Ltd, Triangle Tyre Co., Ltd., Hangzhou Zhongce Rubber Co., Ltd., Double Coin Holdings Ltd. will once again be in attendance. Reifen China’s relationship with such largescale manufacturers is only likely to increase in importance in the years to come, as most sources agree that the currently quite fractured market is due for consolidation.

At present there are something like 300 tyre production enterprises in China, but according to a recent Research and Markets report, 70 per cent of them are small factories whose annual output is under 500,000. This research states that the average production capacity of China’s tyre manufacturers is only 400,000/year, with just 15 larger manufacturers whose production capacity is over 1 million/year.
In addition to the best known new tyre manufacturers in China, the show will also play host to a number of retreading material and equipment producers; and a whole host of potential product sources. One new name that stood out is Road Scenery Holding (U.K.) Ltd, which describes itself as a “specialist pneumatic tyre producer and a trading company based in UK, with our own sourcing and procurement office in China.” Road Scenery purchase on a large scale from manufacturers and aim to supply competitive pricing its clients, which mostly buy OTR radials and TBB and LTB tyres.

From the retreading business the more familiar “Newera International (Shanghai) Co., Ltd.” will be exhibiting its range retreading products. Newera, a leading regional retreading supplier, has 40 years experience and the Newera Group has earned a reputation for being an effective distributor for many global (and European made brands).

More importantly, Newera Group is recognized as a reliable supplier of quality products and comprehensive services, including aftersales maintenance, training, consultancy and retreading factory turnkey project implementation.

Also, Tyres & Accessories/tyrepress.com will once again be present with a stand in the European pavilion.

TireTech Forum to examine the impact of ITC ‘protectionism’

Judging by experiences other Chinese tyre trade shows this year, one effect of the United States’ proposal import tariffs on Chinese tyres has been to put off some North American visitors from attending this kind of show. However, Reifen Essen’s intrinsic connection with the Europe’s (and arguably the world’s) largest dedicated tyre trade show means there are plenty more interested parties outside of the US. Furthermore, in light of the whole quota/tariff discussions, exhibition organisers have arrange for a seminar on this very topic at November’s show. “Reading and Analysis the ITC calls on Chinese Tires” will see professionals from the Chinese ministry of commerce interpret the “significant trade protectionism measures” in the tyre industry for 2009.

The concurrent seminars, known as TireTech Forum, are being organised by CURC, under the guidance of China Rubber Industry Association, which is cooperating with Beijing Rubber Research Institute and DE Global Consulting Ltd Corporation. According to promotional literature, this forum seeks to discuss the current industry developments, trends and the latest advances in tyre production technology and products. The forum is also open to discussion over the products and technology exhibited at the show. In addition, the forum is intended to serve as an opportunity for better communication and interaction between technology experts in the tyre and other relevant industries. Here are selection of the topics under discussion:

“2008-2009 Rubber Market Analysis and Forecast” – This seminar will see professionals from the China Rubber Industry Association analyse rubber industry trends and developments in the face of the current financial crisis and trade protectionism tendencies. This idea is to prepare and equip forum participants (and tyre companies) to be better able to deal with market changes.

“Understanding China’s Tire Retreading Trade via International Tire Retreading Practices” – The Chinese tyre retreading trade has faced many difficulties in the recent years. Policy issues, market demands and business models have contributed to these difficulties. With discussion from as yet unnamed market professionals, this seminar seeks to review the past developments in this trade and subsequently understand the future direction of the market.

On the raw materials side there are seminars on “The Impact on Tire Oil due to Base Oil Refining Trend” and “Material Traction and Elasticity Research.”

Reifen China 2009 again takes place parallel with Rubber Tech China, the international trade fair for rubber processing and rubber manufacturing. Both shows and the seminar series run from 11-13 November at the Shanghai New International Expo Centre in the Pudong region of Shanghai.