Linglong and Geely establish joint R&D centre
Linglong Tire is partnering with Geely Automobile Research Institute in the establishment of a joint R&D centre called the Geely Engineering Center & Linglong Technology Center TIH Laboratory.
Now one of the largest tyre-producing countries in the world, China has an indisputable influence on the direction of global tyre trade. The home of both fast-growing up-and-coming brands as well as a burgeoning domestic market, this tag chronicles China’s involvement with the tyre business.
Linglong Tire is partnering with Geely Automobile Research Institute in the establishment of a joint R&D centre called the Geely Engineering Center & Linglong Technology Center TIH Laboratory.
Three sources “close to the matter” have shared with Reuters their expectation that Sinochem Holdings will retain its stake in Pirelli despite Italy’s Golden Power Decree restrictions. One commented that China may view an exit from Pirelli as a “reputational setback” at a time of “tenser relations” with Western countries.
Following the closure of the Bridgestone (Huizhou) Tire Co., Ltd. (BSHZ) truck tyre plant in China late in 2021 and the relocation of its manufacturing to Shenyang, the former plant assets in Huizhou, Guangdong Province remained Bridgestone’s property. The company today agreed to sell all shares in BSHZ to Huizhou Zhongkai Xinye Development.
China’s tyre exports continued to grow in May 2023. During the month, the country’s manufacturers exported 53.82 million new pneumatic rubber tyres, 10.3 per cent more than in May 2022. The value of these tyres rose 16.6 per cent year-on-year, to approximately RMB 12.8 billion (£1.4 billion).
On 12 June, Haian Rubber Group (Haian Group)’s application for an initial public offering (IPO) on Shenzhen Stock Exchange was accepted, according to official filings.
Italy’s government has identified tyre sensor technology as a national strategic asset and, with the stated aim of preventing misuse of this technology, has confirmed it will use the Golden Power procedure to limit the influence that shareholder China National Tire & Rubber Corporation Ltd. (CNRC) has upon Pirelli & C. S.p.A. According to statements issued by the government on 16 June and Pirelli two days later, a range of measures will now curtail CNRC’s involvement in the tyre maker.
At the end of May, Sentury published details relating to the development of its overseas factories. The tyremaker said data for April and May 2023 showed that its production capacity was temporarily unable to meet orders. Therefore, the company believes there is an urgent need to increase production capacity in order to meet customer demand. According to Sentury’s statement, the overseas tyre traders and retailers they cooperate with include Discount Tire, OAK Tyres, Inter-Sprint, American Omni and Turbo Wholesale.
A new strategic cooperation between Linglong Tire and SAIC Volkswagen will facilitate the development of products and innovations. Wang Feng, chairman and president of Linglong Tire, signed the agreement on behalf of the tyre maker during a ceremony held at SAIC Volkswagen headquarters in Shanghai, China on 12 June.
Qingdao Sentury Tire Co. Ltd. has received the regulatory approval to invest US$296.78 million in the construction of its previously announced Morocco tyre manufacturing project. The “Certificate of Overseas Investment of Enterprises” was issued by the Qingdao Municipal Bureau of Commerce on 5 June 2023 and is valid for two years.
With CITExpo having been founded in 2003, the latest edition, which runs 4-6 September 2023 at the Shanghai World Expo Exhibition & Convention Center, marks two decades of the tyre and wheel trade show. This year’s show will showcase more than 300 tyre and wheel brands, with the majority of them coming from Chinese manufacturers, according to Reliable International Exhibition Services Co. Ltd. and Topic International Exhibition Services Co., Ltd, the companies behind CITExpo.
Michelins plans to invest 200 million yuan (including 7.515 million yuan in environmental protection investment) to expand car tyre production capacity at its Shenyang, China factory by 1.3 million tyres. Tyrepress China learned that this project would expand the production capacity of passenger car tyres on the dismantled truck and bus tyre production line. In other words, the expansion plans won’t add workshop area. Rather, new production equipment will be installed in the original workshop to realise the increase.
On June 9, the 2023 Auto-Tyre Cross-border Development Summit Forum was held in Beijing. The theme of this forum is “Looking forward, responding to changes”. Representatives attending the meeting came from automobile manufacturers such as Chery, Great Wall Motor (GWM) and BAIC and tyre manufacturers such as Michelin, Maxxis, Triangle and Giti.
Taiwanese tyre manufacturer Hwa Fong Rubber has sold the land and facilities of its subsidiary Hwa Fong Rubber (Suzhou), located in Changshu City, Jiangsu Province, China, to Changshu Economic Development Zone Construction Development Co., Ltd. for 276 million yuan, reports Tyrepress China. The company said the deal could help it save management costs, revitalise assets and enrich working capital. The total size of the land sold is 184,222 square meters, while the facilities cover 110,786.45 square meters. Hwa Fong Rubber will carry out relocation work in the future.
As part of its ‘Agenda 2030’ corporate development strategy, Banner has taken the decision to establish a major presence in China. Representing an opportunity to realise significant sales penetration in what is one of the world’s largest markets, Banner has signed a licensing agreement with leading battery manufacturer, LEOCH.
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