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.
On 18 September, China Customs announced national export data for August. During the month, China exported 48.23 million sets of new pneumatic rubber tyres, down 8.9 per cent year-on-year. The weight of these tyres was 650,000 tons, an increase of 2.7 per cent. The export value reached 11.4 billion yuan (about 1.4 billion pounds, 1.6 billion euros), an increase of 15.3 per cent.
Tyrepress has learned from the China Rubber Industry Association (CRIA) that on 14 September, CRIA and the European Commission investigators held an online hearing on the European Commission’s renewed anti-dumping and anti-subsidy investigations relating to the imports of Chinese-made truck tyres. China’s tyre industry applied for the hearing, and the participants from China came from CRIA, tyre manufacturers and law firms.
Linglong Tire recently answered questions from investors via the interactive platform of the Shanghai Stock Exchange. The answers reveal details related to developments at the company’s Serbian factory and its Chinese aircraft tyre production plant.
ZC Rubber has named Martin Wells as the company’s new European managing director and president of ZC Technical Center and Global OE. Meanwhile, Jörn Tietjens has been appointed as senior key account manager/senior automotive engineer of the European ZC Technical Center.
Zhang Zhentao, deputy general manager of Doublestar, submitted a written resignation application to the board of directors recently. Doublestar confirmed that Zhang Zhentao is not employed by company following his resignation, but did not disclose where he is working now. Zhang Zhentao is mainly engaged in financial work and has served as the deputy general manager of Doublestar since May 2020. Before that, he was part of the financial management of Tsingtao Brewery.
The Chinese tyre industry is not optimistic about the future following the first half of 2022, which itself was something of a continuation of the problematic situation experienced in the country in 2021. In short, the overall Chinese tyre industry has experienced severe decline in profits. Shen Jinrong, chairman of ZC Rubber, China’s largest domestic tyre manufacturer and number nine in the world, made the comments during a recent speech at the China Rubber Conference 2022.
With construction of main buildings now complete, China’s first research and development facility for aircraft tyres is expected to open early next month. Guangzhou Development District Management Committee reports that the first scientific researchers are now moving into the Aviation Tire Exhibition Center, an integral part of the Aviation Tire Science Center, and are preparing to start work.
The South African Tyre Manufacturers Conference (SATMC) has welcomed the International Trade Administration Commission’s (ITAC) publication of provisional payments on “unfairly traded (dumped) imports of passenger, truck and bus tyres imported from China”. Provisional payments in place for a period of six months amount to 38.33 percent ad valorem. The six-month period runs from 9 September 2022 until 8 March 2023.
On 30 August 2022, Shanghai Huayi, the parent company of Double Coin Tire Group first half results showing the company generated revenue of 4.968 billion yuan (about £614 million, 719 million euros), and operating costs were 4.559 billion yuan (about £564 million, 660 million euros). Within that, the revenue of all-steel radial tyres and semi-steel radial tyres was 4.6 billion yuan (about £569 million, 666 million euros) and 368 million yuan (roughly £45.51 million, 53.25 million euros).
Prinx Chengshan Holdings Limited and its subsidiaries report selling 9.394 million tyres during the six months to 30 June 2022, a year-on-year increase of 3.3 per cent. From this total, 3.333 million were all-steel radial tyres and 5.919 million semi-steel radials. Cross-ply tyres accounted for some 142,000 pieces.
During The Tire Cologne show, which took place in May, we spotted the Landsail Qirin EV concept tyre on the stand of wholesaler Inter-Sprint. It is a concept no longer, as Qingdao Sentury Tire officially debuted the tyre yesterday.
On 30 August, Triangle Tire published its 2022 semi-annual report, and this shows that the company achieved revenue of RMB 4.277 billion (£535.5 million) and net profit of RMB 217 million (£27.2 million) in the six months to 30 June 2022. Revenue in the second quarter of this period amounted to RMB 2.426 billion (£303.8 million), a 31 per cent increase over the first quarter; Q2 2022 net profit of RMB 159 million (£19.9 million) was 172 per cent higher than in the first quarter of the year.
On 31 August, Guizhou Tyre released its semi-annual report. In the year’s first half, Guizhou Tyre produced 3.7005 million tyres, a year-on-year increase of 3.53 per cent, and sold 3.4447 million tyres, a rise of 1.07 per cent. During the same period, the tyre company’s revenue reached 3.949 billion yuan (about £490 million, 570 million euros), an increase of 13.16 per cent, and achieved a net profit of 160 million yuan (about £19.86 million, 23.12 million euros).
Sinochem Holdings recently announced that Ning Gaoning will no longer serve as chairman and party secretary. Li Fanrong became the new top leader of the large state-owned enterprise. The reason? According to industry insiders, Ning Gaoning is about to turn 64 years old and therefore his departure is probably best categorised as official retirement. It is reported that under normal circumstances, the retirement age of the top leaders of China’s central enterprises is 63 years old. From this perspective, Ning Gaoning has already out-worked normal tenure.
A significant leadership change has taken place within the company closely linked with Pirelli, Aeolus and Prometeon Tyre Group. During an executive meeting that Sinochem Holdings held this morning for middle and senior management, a representative from the Chinese Communist Party announced that Ning Gaoning is no longer chairman of the company’s board, nor is he secretary of Sinochem’s leading party group. Li Fanrong takes over both positions.
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Qingdao Port
S. Hermann & F. Richter; Pixabay
ZC Rubber
Doublestar
China Rubber Conference 2022
Sinochem Holdings