The hottest potential killer of China's tire indus

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The potential "killer" of China's tire industry has surfaced

the car market is cold. In the "1035" development guidance for the chemical fiber industry "jointly issued by the Ministry of industry and information technology and the national development and Reform Commission at the end of 2016, the tide is spreading to relevant parts in the automotive industry chain, and China's tire industry bears the brunt. In addition to the shortage of funds, poor management and the "double anti" of the United States, more importantly, the low-end competition and overcapacity over the years have already become a potential "killer" of domestic tires

Shandong is the most typical example. In the field of tire production, the production capacity of Shandong Province has ranked first in the country for many years, with hundreds of production enterprises and a production capacity of more than 100 million; However, its capacity utilization rate is not high. 6. After the completion of the number of experiments, the capacity utilization rate of Shandong tire industry was only 64.5% in 2012

Zhang Hongmin, chairman of Shandong Rubber Industry Association, said frankly that the tire industry has become one of the seven industries in Shandong to resolve overcapacity

not only that, there is great overcapacity in the tire industry nationwide

according to the survey and statistics of China Rubber Association, the average operating rate of the domestic tire industry fell from about 80% in 2012 to less than 70% in 2015

Deng Yali, President of China Rubber Industry Association, said: "overcapacity in the domestic tire industry is essentially a structural surplus, that is, a serious excess of backward capacity."

according to statistics, 65% of the radial tires of domestic cars and light trucks are medium and low-end products. These products have low technical performance, low added value, serious homogenization and extremely fierce market competition

a person in the tire industry said that the domestic market environment is very bad

on the one hand, the product homogenization is serious, and the low-end overcapacity leads to a "price war" that is more intense than abroad, and the enterprise is unprofitable; On the other hand, we also provide them with precision casting product samples. It is common that domestic customers do not receive payment in time or even default, which often leads to the fracture of the enterprise's cash flow and affects the normal operation

two factors make more and more Chinese tire enterprises only focus on exports

in fact, domestic tire enterprises have long regarded export as an important way to resolve huge production capacity, about 5%. However, the export of a large number of low-cost tires also made the world panic

"Chinese tire enterprises should pay more attention to the domestic market, constantly improve technology and brand, and take the high-end route. Don't lose the overseas market and the domestic market, and you can't catch both ends." The industry said

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