Chinese tyremakers turn to OTR tyre production

Starting from 2022, Chinese tyre manufacturers have chosen to strategically enter the OTR market. ZC Rubber and Zaozhuang Mining Group chose the merger to expand their power in the OTR field. More leading Chinese tyre companies have chosen to significantly increase their OTR production capacity through new construction or production expansion.

At the beginning of 2023, Guizhou Tyre terminated its all-steel radial truck tyre expansion plans and invested the funds raised in an OTR production line with an annual output of 380,000 units. In January 2024, the first tyre of this project rolled off the production line.

In February 2023, Chaoyang Long March launched the OTR project and built a new annual production capacity of 200,000 units. The tyre manufacturer said the project was also rolled off the first tyre in January 2024.

In addition, Yong’an Rubber, a manufacturing centre under Sailun, has launched an engineering tyre project with an annual output of 70,100 tons. In 2024, Sailun said it plans to build a new factory in Indonesia with an increased production capacity, including 37,000 tons of OTR tyres.

Double Coin’s Jiangsu factory renovated its production line, eliminating 300,000 TBR tyre production capacity and raising OTR production capacity by 80,000 units.

Large-size tyres with higher entry barriers are more favoured by Chinese tyre companies. In January 2023, Sailun said that it would adjust the structure of its OTR product line at its Qingdao factory, and tyres with specifications of 49 inches or more (including 49 inches) replaced the original products. On 18 November 2023, Sailun’s Vietnam factory rolled off the first giant tyre.

Not only Sailun but Linglong also attaches great importance to giant tyres. This manufacturer’s Jilin factory recently rolled off the first 49-inch tyre and 57-inch tyre.

The Aelous giant tyre project has basically completed all approval procedures and is expected to start construction in June 2024.