Top 10 Chinese tyre industry events in 2022
In 2022, several significant events took place in China’s tyre industry. These things had a profound impact on the tyre industry not only in 2022, but for a long time.
In 2022, several significant events took place in China’s tyre industry. These things had a profound impact on the tyre industry not only in 2022, but for a long time.
On 30 December Linglong announced that it would adjust the construction of its seventh production base in China. The construction location of the project was changed from Lujiang, Anhui, to Lu’an, Anhui. At the same time, the tyre manufacturer’s Lu’an factory is preparing to build a project with an annual output of 14 million sets of high-performance radial tyres and a project to regenerate via retreading and material recovery 30,000 tons of waste tyres. In the original design, Linglong’s seventh factory in China was intended to have an annual production capacity of 14.6 million sets of radial tyres.
Following the news that Toyo Tire officially opened its Serbia tyre production plant on 14 December 2022, details of the speeches given by Toyo Tire president and CEO Takashi Shimizu as well as Republic of Serbia president Aleksandar Vučić have been revealed.
Tructyre is introducing 80 new truck service vans to its fleet as part of a program of investment designed to meet ongoing demand. As a 100 per cent mobile tyre service provider, Tructyre operates more than 350 commercial tyre fitting vans, and these new vehicles will soon be distributed across the country.
Guizhou Tyre’s wholly-owned subsidiary Advance Investment plans to invest 25.5 million yuan (about £3 million pounds; 3.45 million euros) in Qingdao Win-Win Industry Fund.
Apollo Tyres has opened a new Advanced Tyre Testing facility within its Global R&D Centre, Asia in Chennai, India. The new test centre features a Flat-trac machine and an anechoic chamber, which help define the dynamics and acoustics of tyres, leading to faster product development for both OE and replacement markets. The development of tyres for high-end passenger vehicles, EV specific tyres for passenger vehicles and high-end motorcycle tyres will be at the heart of work taking place within the new facility.
Recently, the National Development and Reform Commission and the Ministry of Commerce released the “Catalogue of Industries for Encouraging Foreign Investment (2020 Version)”. The Chinese government hopes that foreign businessmen will invest in the industries listed in the document. The trade encouragement catalogue currently in use in China was released in 2020, and the 2022 version will come into force on 1 January 2023.
Asahi Kasei has invested in Circularise B.V., a start-up company based in the Netherlands that provides digital product passports and mass balance bookkeeping software. Asahi Kasei made the investment valued at a total of 11 million euros together with Brightlands Venture Partners, 4impact capital and Neste in November 2022.
At the end of June, Nokian Tyres announced that it was executing a “controlled exit” from Russia. By August Russian news sources were reporting that Nokian was accepting “binding offers” for its Russian tyre plant up until the end of September. At the end of October, Nokian confirmed that it had agreed terms with Tatneft to sell its Russian tyre operations for roughly 400 million euros. More than a month later, Nokian Tyres spokespeople are speaking of “substantial uncertainties” relating to the Tatneft deal.
Bandvulc has invested in the installation of an Automated Build Cell (ABC) Robot at the Ivybridge plant. Head of Hot Retread Production at Bandvulc, Tony Mailling, explained how the upgrade has increased efficiency:
On 10 November, Cheng Shin Rubber Ind., Co., Ltd. announced that it is preparing to increase the capital of PT. Maxxis International Indonesia by US$30 million (about £25.53 million pounds; 29.01 million euros). Cheng Shin Rubber said that the capital increase meets the operation’s needs.
Pirelli marked the 10th anniversary of its Silao, Mexico factory with the announcement of 114 million euros of investment, envisaged in the 2021-2022 to 2025 industrial plan. The construction project is aimed at further increasing high-value production at the Mexican site and will take place during a two-year period, according to the company. As a result, the plant will see an increase in production capacity of over 1 million units, making a total of 8.5 million tyres a year by 2025 when fully operational, up from 7.2 million at the end of 2022.
Greenval Technologies has announced plans to invest 20 million euros in the construction of tyre pyrolysis/energy generation plant in Aspe, Spain. The facility is scheduled to start running in 2023 and will generate more than 100 jobs during construction plus 30 ongoing jobs at the facility. Aspe City Council is said to be already studying the proposal in light of the necessary licenses.
Nokian Tyres’ is investing around 650 million euros in a new passenger car tyre factory in Romania. The new greenfield factory will be located in Oradea in the North-West of Romania, near the Hungarian border. The annual capacity of the factory will be 6 million tyres, with expansion potential for the future. According to an official statement, the site will also house a distribution facility for storage and distribution of tyres. Construction is scheduled to begin in early 2023 and the first tyres are estimated to be produced in the second half of 2024. Commercial tyre production is expected to start in early 2025.
The Financial Times is reporting that UK battery firm Britishvolt is close to collapse after £100 million of funding for its £3.8 billion electric vehicle battery gigafactory failed to materialise.
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