my country’s tire industry chain is basically complete and sales are gradually declining

Tires refer to ring-shaped elastic rubber products that are rolled on the ground and are equipped on various vehicles or machinery. They are often installed on metal rims and play the role of buffering external impacts, supporting the body, and ensuring normal driving of the vehicle. Since the parts of the tire that are in direct contact with the ground are subjected to various loads, deformations, and high and low temperature effects while driving, the tires must have high wear resistance, flex resistance, and good cushioning, load-bearing, and Traction etc.

After years of development, the types of tires have gradually increased, with multiple classification methods. According to different market demands, tires can be divided into supporting tires, replacement tires, etc.; according to different application fields, tires can be divided into load-carrying tires, passenger tires, agricultural tires, etc.; according to different compositions and structures, tires can be divided into bias tires, radial tires, etc. Tires etc. Among them, radial tires can be subdivided into radial all-steel tires and radial semi-steel tires.

At present, my country’s tire industry chain is very mature. The upstream of the industrial chain is the tire raw material industry, which provides steel, cord fabric, natural rubber, synthetic rubber, rubber additives, other additives and other raw materials; the midstream is mainly the tire production industry, responsible for the production and manufacturing of different types of tires; the downstream is mainly applications fields, mostly used in passenger cars, racing cars, agricultural machinery, trucks and other fields.

From the perspective of tire production costs in my country, synthetic rubber accounts for the largest proportion of the overall cost, reaching 23.9%; followed by natural rubber, accounting for 22.7% of the cost; ranking third is rubber additives, accounting for 15.2% of the cost . Synthetic rubber, as the main raw material for tire production, provides sufficient raw material basis for the development of the tire market. According to data from the National Bureau of Statistics, my country’s synthetic rubber output will be 8.233 million tons in 2022, an increase of 116,000 tons year-on-year.

According to the “China Tire Market Special Research and Development Prospects Strategy Research Report 2023-2027” released by the Industrial Research Center, due to the Affected by the epidemic, the transportation market has been severely impacted. As an important component of automobile transportation, the tire market has also been affected to a certain extent. In addition, tire inventory reserves are still high, replacement demand has weakened, and tire sales have gradually declined. In 2022, my country’s tire sales will be 296 million, a year-on-year decrease of 9.1%. Among them, the sales of radial semi-steel tires, as the largest market segment, have also shown a downward trend, with sales in 2022 falling by 4.2% year-on-year.

Industry analysts said that at present, there are a large number of companies in my country’s tire market, which can be roughly divided into two categories. One is foreign companies. Enterprises, including Michelin, Hankook, Goodyear, Pirelli, Bridgestone, Continental, Sumitomo, etc.; the other category is domestic enterprises, mainly including Zhongce Rubber, Linglong Tire, Senqilin, Triangle Tire, and Sailun Tire , Guizhou Tire, etc. Foreign tire companies occupy most of my country’s mid-to-high-end market by virtue of their advantages such as a wide range of products and high quality. Although domestic tire companies started late, they are developing rapidly. As my country’s tire companies continue to develop, the gap between production technology and international advanced technology has gradually narrowed, market competitiveness has gradually increased, and some companies have entered the supply chain of international vehicle manufacturing companies.