Following the news that Prinx Chengshan is recalling >500,000 tyres in North America, company representatives confirmed to Tyres & Accessories that the recall only relates to the USA and is not related to Europe or the European markets.
Up to around 541,600 Fortune and Prinx branded tyres are subject to recall in North America. According to information published by the National Highway Traffic Safety Administration, Prinx Chengshan Tire North America’s voluntary recall involves certain Fortune Tormenta and Prinx Hicountry light truck tyres sold in the Aftermarket. Documentation related to the recall indicates that the tyres are marked with a sidewall symbol they’re not entitled to in North America.
Confirming its support for the initiative, Prinx Chengshan Holdings Limited has joined the United Nations Global Compact (UNGC). The company says this move “not only underscores Prinx Chengshan’s firm commitment to sustainable development” but also highlights its “deep sense of social responsibility as a leading innovator in the tyre manufacturing industry.”
From the start of September 2024, tyre maker Prinx Chengshan has switched to exclusively using ‘EUDR-ready’ natural rubber. This changeover occurred several months ahead of the European Union’s official deadline of 30 December 2024 and ensures that Prinx Chengshan complies with all regional requirements.
Just a few months after Prinx Chengshan announced a new collaboration with Marangoni, the Italian retreading specialist has begun producing its first ever Ringtread for the tyre maker. Thomas Wohlgemuth, managing director of Prinx Chengshan Europe, showed us the new tread at IAA Transportation.
The Shandong authorities have presented a 2024-2027 action plan designed to improve the productivity of the tyre industry in its jurisdiction.
Tyrepress China found that Shandong Province is trying to build two tyre industry clusters, Peninsula and Lubei, accounting for more than 80 per cent of the province, with revenue of 60 billion yuan and 80 billion yuan, respectively.
The 19th edition of the China International Tire Expo (CITExpo) opened yesterday in Shanghai. The 2024 iteration of the landmark event in the Chinese tyre industry calendar builds upon the success of the show’s 2023 return from the Covid-induced hiatus that interrupted its annual schedule. As ever, the show welcomes delegates from all around the world, including Tyrepress in its capacity as official media partner.
In the UK, Prinx Chengshan is primarily represented in the truck tyre segment by the Fortune brand, with the company also marketing these products across other parts of Europe under the Austone name. While the flagship Prinx brand is exclusively associated with consumer tyres in our region, the manufacturer has now introduced a range of Prinx truck tyres in its domestic market. On 21 August, Prinx Chengshan held a major product launch event in Rongcheng, Shandong, where it unveiled the first high-end Prinx truck tyres for the Chinese market.
Prinx Chengshan Holdings Limited has announced a strong financial performance for the first half of 2024, with revenue rising 23.7%, to RMB 5,363.4 million (£570.52 million) and net profit jumping to RMB 811.4 million (£86.34 million), a 148.0 per cent year-on-year increase.
In 2023, Linglong’s various factories had a production capacity of 91.34 million tyres. Including the production of PCR products at the Serbian factory, in 2025 the tyre manufacturer’s annual production capacity will likely exceed 100 million tyres. Linglong’s tyre production base in Zhaoyuan, Shandong, has an astonishing production capacity of 36.1 million sets, including 30 million PCR, 5.85 million TBR, and 250,000 OTR tyres. The Dezhou base in Shandong has capacity for 9 million PCR and 3.2 million TBR tyres a year. The Guangxi production base can make 11 million PCR (1 million more than the designed capacity), 2 million TBR, and 140,000 OTR annually. The Hubei production base has capacity for the construction of 9 million PCR and 2.4 million TBR tyres. That opeartion’s designed PCR capacity is 12 million, and further under-construction capacity is expected to be completed in 2024. The Jilin production base can make 1.5 million PCR and 1 million TBR tyres. The company said that the capacity of the Jilin factory’s PCR production lines is expected to reach 6 million tyres a year in 2024. The company’s planned two production bases in Shaanxi and Anhui have not yet released their production capacity in 2023. The Thailand factory has 13 million PCR and 2.2 million TBR among overseas factories. Linglong said that its Thailand factory reduced its PCR production capacity by 2 million in 2023. The Serbian factory achieved a production capacity of 800,000 TBR tyres in 2023, and the designed scale of 1.6 million tyres is expected to be completed in 2024.
In 2023, the overseas market has become essential for Chinese-listed tyre companies to increase revenue and profits. According to statistics from Tyrepress China, the overseas revenue of Sentury, Sailun, Jiangsu General, Prinx Chengshan, Triangle, and Doublestar in 2023 was higher than revenue in the Chinese domestic market. Aeolus, Linglong, and Guizhou Tyre have higher domestic market revenue.
Marangoni has engaged in a retread cooperation with Prinx Chengshan’s Austone brand of truck and bus tyres. Following the reorganisation of certain aspects of Prinx Chengshan’s commercial vehicle tyre business in the Germany, Austria, Switzerland (DACH) region, which specifically includes refreshing distribution of the company’s Austone and Fortune-branded products, Marangoni experts tested a number of the tyremaker’s casings in Italy.
Prinx Chengshan Holdings Limited has released its financial results for the twelve-month period ending on 31 December 2023, referring to these as “the best results” in the company’s history. Operating revenue increased to RMB 9,950 million (£1.09 billion), marking a 22% year-on-year rise, while net profit surged to RMB 1,030 million (£113.32 million), a 162.4% increase compared to the previous year. Earnings per share reached RMB 1.62, up by 161.3% year-on-year, and EBITDA rose to RMB 1,710 million (£118.14 million), reflecting a 102.4% increase year-on-year.
The Fortune brand is a relative newcomer in the UK commercial vehicle tyre market, but behind the range is one of China’s largest and fastest-growing tyre makers. Prinx Chengshan produces the entire Fortune truck tyre line-up in a state-of-the-art facility in Chonburi, Thailand, and recently invited distribution partners from the UK and Europe to see the technology behind this Industry 4.0 plant for themselves. This visit also served as an opportunity to forge stronger business ties as well as to present the latest products within the Fortune portfolio.
During a ceremony held in China on 6 March, TÜV SÜD Group acknowledged Prinx Chengshan with certification that will “serve as a milestone” to “accelerate” the tyre maker’s entry into the European market. The certification agency awarded Prinx Chengshan the VECTO-based (EU) 2017/2400 carbon dioxide emissions and fuel consumption certification for three commercial vehicle tyre models sold in Europe under the Fortune and Austone brand names – AR 603, TH 135 and TH 155.
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