Chinese tire makers in expansion mode after sales-rebound
19 Jul 2024
Investment pipeline continues to flow following 25% revenue increase seen last year
London – Sales among China's largest tire manufacturers increased by around 25% year-on-year lasy year to come in at around $36 billion.
That’s according to ERJ’s comparative analysis of data supplied by the China Rubber Industry Association (CRIA) for sales by the leading players over the last two years.
The rebound mainly reflected recovery from the severe impact of Covid restrictions in the prior-year, as well as returns from overseas expansion projects.
Gains included a 7.2% year-on-year increase sales at Zhongce Rubber Co. Ltd (ZC Rubber), though the gap between the established industry leader and its closest competitors narrowed during the year.
For instance, buoyed by revenue from its prior-year acquisition of Korean tire maker Kumho Tire, Qingdao Doublestar Industrial Co. Ltd leapfrogged up the table, to become ZC’s closest rival.
Meanwhile, amid pressures within domestic markets and overseas trade tariffs, Chinese tire makers are continuing to add new capacity – as evidenced by announcements in 2024 from Aeolus, Guizhou Tyre, Sentury Tire, Sailun Group and ZC Rubber.
Full report will be published in the upcoming July/August issue of European Rubber Journal magazine.
