What is included in the Chinese tire market

3, tire export market

The vigorous development of China's tire industry is inseparable from the export market, the development of the export market can be divided into two stages, one is the "export boom period" before 2014, the second is the "export break period" after 2015. In 2015, the total domestic tire exports fell to 445 million, a decrease of 6.58%. Some countries in Europe and the United States have implemented sanctions such as "double reverse" on domestic tire companies, and the export market has been hit hard. In order to deal with the uncertainty of international trade conflicts, domestic tire manufacturers have successively adopted the method of building factories overseas to reduce the risk of sanctions and reduce trade pressure, so as to achieve "breaking the game". Domestic high-quality tire enterprises have set up factories in Thailand, Vietnam and other places, and the export growth rate has changed from negative to positive. In 2021, the total domestic tire exports rebounded to 591.73 million, including the export dividend factor in the post-epidemic era, and whether the high growth rate of exports can continue in the future needs to be questioned. Recently, the EU General Court made the first instance ruling to revoke the European Commission's anti-dumping and countervailing duty order on Huaca bus tires, which means that Chinese truck and bus tires are expected to return to the European market.

4. Summary and outlook

China is now the world's largest tire producer and an important tire exporter, as well as the world's largest rubber consumer and importer. In recent years, the introduction of the backward tire production capacity elimination policy has guided the orderly and standardized development of the tire industry, which helps to improve the competitiveness of China's tire enterprises. The number of domestic tire companies on the list of Top75 tires is gradually increasing, but there is still significant homogeneity, technology, brand and channel lack of advantages, so even if China is in the forefront of the world in terms of output, but there is still room for further improvement in international competitiveness.

China's steel tire market from the production capacity, market share are more advantageous, but the real estate investment driven economic model in the future will come to an end, and a large number of traditional infrastructure construction projects have met most of the public demand, domestic cargo transportation shrinking, so the domestic steel market more for the stock competition, then you need to establish a world-class tire enterprise image, Obtain higher production profits with higher brand premium. China's semi-steel tire market prospects are better, it is expected that there is still room for increment, but the current foreign capital and joint venture tire companies occupy 70% of the market share. There is no idle time, no time again, local tire companies need to quickly enhance brand influence, the product into the high-end car supporting car companies to be recognized, and improve the supporting market share of local tire companies. The export market has been repeatedly subjected to "double reverse" and other sanctions, and in the face of the uncertainty of international trade conflicts, it is still necessary to strengthen overseas factory construction and reduce the risk of sanctions.

Now the new energy circuit is in full swing, for China's tire enterprises is undoubtedly a huge opportunity, the future new energy market space is large, the penetration rate and ownership still has a large room for growth, the tire industry is expected to benefit from the wave of automobile electrification, bringing the supporting end and the retail end of the double good. Data released by the China Automobile Association show that in 2021, China's new energy vehicle production and sales reached a new high, of which new energy passenger car sales were 3.31 million, accounting for 53% of the global market share, surpassing Europe to become the world's largest new energy vehicle market. New energy vehicles put forward higher requirements for the wear resistance and energy saving of tires, so relevant enterprises should continue to increase the research and development of such tires, establish cooperative relations with major domestic new energy automobile manufacturers, open up the tire supporting market for major new energy automobile brands, and achieve overtaking on corners of the new energy automobile track.

In summary, China's tire industry opportunities and challenges coexist, local tire enterprises need to improve the variety of products, quality and technical level, enhance brand influence, reduce cost pressure, and forge ahead toward the goal of large to strong.