"Carbon neutrality" changes the pattern of the tire industry. The proportion of "carbon reduction" tires will increase

Under the background of "carbon neutral and carbon peak", the market demand of the tire industry will change, which will drive the product structure of the tire industry to accelerate the adjustment. Industry insiders believe that the strong head enterprises will launch more products in line with the "double carbon" market demand, in order to seek a larger market share; Small and medium-sized production capacity that does not have research and development and technological advantages will face accelerated clearance.

At present, the leading enterprises in the tire industry are starting from the full cycle of tires and trying to move closer to "carbon neutrality". Senkirin (002984.SZ) Director Secretary Jin Shengyong introduced that the impact of "double carbon" on the tire industry is reflected in the research and development design, tire materials, processing technology and tire application and recycling of the full life cycle, the company has begun to increase efforts from the above many links to "carbon neutral" closer. The relevant person in charge of another tire head company also said that the company recently held a seminar on "carbon neutrality", and the basic work related to "carbon neutrality" has also been launched.

A securities company chemical researcher believes that under the influence of "double carbon", the industrial technology upgrading of the tire industry will be further accelerated, and the product structure will accelerate to the high-end adjustment. The head enterprise has strong technical strength and high R&D investment, and it is easier to produce products that are close to or even meet the requirements of "double carbon".

Tire companies to "reduce carbon" tires

The so-called "carbon neutrality" refers to the total carbon dioxide or greenhouse gas emissions directly or indirectly generated by enterprises in a certain period of time, through the form of energy conservation and emission reduction, to offset their own carbon dioxide or greenhouse gas emissions, to achieve positive and negative offset, to achieve relatively "zero emissions". Carbon neutral tires use green energy or sustainable raw materials to offset any emissions generated during tire production.

China tire business network industry analyst CAI Na believes that the concept of carbon neutrality has not long been put forward, the tire companies have been in the direction of "low-carbon" and "green" efforts, although the two are not exactly the same, but the basic core is consistent. Green and energy-saving tires are the direction of research and development of tire companies at present, and they are also the focus of future competition of tire companies.

In terms of tire performance, Jin Shengyong introduced that Senkirin carbon neutral tires are mainly reflected in the carbon neutral tire technology with ultra-low roll resistance, high wet slip resistance and silence as the core. "According to the test results of Mori Kirin, the tire rolling resistance is reduced from 7.5‰ to 5.75‰, the car fuel consumption can be reduced by 3.2%, and the carbon dioxide emissions can be reduced by 457 kilograms in the life cycle of a tire (60,000 kilometers in 3 years)." At present, the company's main Kirin 990 series tires, the whole series has achieved the reduction of rolling resistance, and the battery life of 400 kilometers can be used as the basis for a supporting new energy vehicles to increase the mileage of 30 kilometers."

Jin Shengyong said that the proportion of green energy-saving tires in the company's products will continue to increase, which is also the trend of the market, "low-carbon" tires can enhance the company's competitiveness and better meet the needs of the market.

According to public information, Linglong tires (601966.SH) and Cylun tires (601058.SH) are also increasing research and development efforts of low-carbon and energy-saving tires, accelerating the launch of green and energy-saving tires, and their market share is also in the process of rapid improvement.

According to the "Global Market Insight" data, the market size of automotive green and low-carbon tires in 2020 is 77.4 billion US dollars, and the compound annual growth rate is expected to be 11.4% from 2021 to 2027, which is nearly three times the growth rate of the tire market.

CAI Na believes that although the reliability and stability of many emerging technologies at this stage still need a period of time to verify, but at the current speed of technology iteration in China's tire industry, the application of carbon neutral technology in the tire industry is expected to improve rapidly in the future, and low-carbon energy-saving tires will have a significant increase in both varieties and sales compared with traditional tires.

Leading companies are accelerating their market share grab

A chemical researcher of a securities company believes that the tire manufacturing process has a certain degree of pollution, and the "double carbon" requirement is a new opportunity for the head enterprise with strong research and development strength and more advanced environmental protection technology. "Now the tire industry 'Matthew effect' is obvious, the market is gathering to the head enterprises, in recent years, every year there are more than 20 small and medium-sized tire companies out of the market, carbon neutral actual landing, will accelerate this trend."

For Nansen Kirin, in 2021, the company's product design implements the concept of "low carbon and zero carbon", and the design process is "low carbon and zero carbon" environmental protection simulation. Through "digital tire development" technology and active noise reduction pattern technology, accelerate the development of green products. The research and development expenditure of Linglong and Cylun is also very high in recent years, and there has been a lot of accumulation in green products, accounting for the market opportunities, and the market share will be rapidly increased in the future.

According to public data, the number of tire enterprises monitored by China's statistical departments has dropped from more than 500 in the past to about 230 at present; The number of auto tire factories certified by CCC safety products has been reduced from more than 300 to 225.

According to the statistics of the China Tire and Rubber Industry Association, in 2020, the tire production of its 42 member units will account for about 77% of China's tire production. Among them, the top ten tire production, accounting for about 53% of the country; The profits of the top ten companies accounted for about 97.29% of the 42 companies.

CAI Na believes that with the concept of green development gradually gaining popularity, the tire industry has become a consensus in the direction of carbon neutrality. The quantitative production of carbon neutral tires requires enterprises to have strong R & D and large-scale production capacity, therefore, the first batch of carbon neutral tire market in the future is also dominated by leading enterprises in the industry. Under the background of "dual carbon", the market share of the leading enterprises in China's tire industry will accelerate in the next few years.