Guangrao introduces 10 policies to promote ‘high-quality tyre development’

Recently, Guangrao County authorities, Shandong Province, held a press conference and stated that it would launch 10 policies to support the high-quality development of the local rubber tyre industry.

Information released by the local government shows that one of the ideas for developing the local tyre industry is to form large-scale development around several large enterprises. Guangrao authorities aim to encourage key enterprises to expand their scale and integrate and reorganise via that approach, stating their desire to: “Guide companies, including Jinyu, Jiamei, and Yongsheng, to build new high-end projects around new energy vehicle tyres, high-performance multi-purpose truck tyres and others.”

Tyrepress China noted that authorities repeatedly mentioned the concept of “industrial chain” when discussing expansion and emphasised that crucial support would be given to “projects that ‘make up for shortcomings’ and ‘fill in gaps’ in key areas of the industrial chain”.

From a broad perspective, the concept of “industrial chain” not only involves raw materials such as carbon black, steel cord, and synthetic rubber but is also closely related to downstream sales channels. The Guangrao authorities encourage tyre companies to participate in overseas exhibitions actively, delve deeply into traditional markets, and vigorously explore emerging markets. It is worth noting that the spokesperson specifically mentioned at the press conference that companies will be organised to participate in “export credit insurance” to improve their risk prevention and control capabilities. At the same time, the Guangrao government encourages tyre companies to set up tyre trading companies locally.

Brands and talents are another highlight of the policies introduced by Guangrao County. The Guangrao authorities emphasised that they support enterprises in increasing brand creation and standardisation of tyre products and speed up the construction of innovation platforms and the introduction of talent.

Meanwhile, in line with the high-quality development ideas advocated by Shandong Province in recent years, Guangrao authorities support local tyre manufacturers in developing in an intelligent and green direction. At the press conference, the spokesperson mentioned Yongsheng as a critical case of “stock improvement” and said that the company is accelerating “the rate of implementation of some technical transformation and improvement projects such as the transformation and upgrading of Yongsheng’s artificial intelligence-based high-performance green and environmentally friendly semi-steel radial tyre equipment.”

In addition, the Guangrao authorities also mentioned at the press conference how they would provide resources and financial support to local tyre companies. The government emphasises that for new high-end projects with critical technologies that to break foreign monopolies and fill domestic gaps, they will optimise projects, accelerate approvals, and provide essential support in terms of project land and environmental capacity.