Making the Right Impression
All ten of the world’s top ten tyre manufacturers were present in China in some shape or form by 2005, and each of these global giants has its own big plans for this market. Michelin intends to increase its car and light commercial tyre market share to 4 per cent of its worldwide sales by 2010 and to double this share again within another decade, and Bridgestone’s mid-term target in China is to grab a 20 per cent market share in 2008.
So the obvious question for local tyre manufacturers in China is what place do they have in this huge and growing market? The OE market is dominated by the international brands that have a long history of cooperation with global vehicle manufacturers, making it a market that local tyremakers have difficulty penetrating. This leaves the aftermarket as the main avenue for pursuing sales, and this sector poses its own set of problems for Chinese manufacturers.