Shandong tire companies want to return to the United States to recover lost ground

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On September 26, the U.S. implemented a three-year special protection plan for tires in China that expired. As no action was taken by the U.S. domestic industry and administration within the statutory period to extend the measure, the measure was terminated as scheduled. Shandong is an important export tire production base in China, and the United States is the largest tire export market in Shandong. The end of special security measures, Shandong tire companies have any response?

"The termination of the U.S. safeguard measures is expected. This is undoubtedly a great advantage for the company. It will open the door for tire companies to return to the U.S. market with huge potential for consumption. Not only will export profits increase substantially, but orders will also increase dramatically. Increased.” Zhang Hongmin, chairman of Shandong Rubber Industry Association, said in an interview with reporters.

Executive Director of Overseas Marketing Department of Shandong Linglong Group Co., Ltd. Wang Guomei told reporters that the three-year special security case made the tire companies understand that a low-grade product certainly cannot be sold, and it should rely on excellent products to beat the world instead of playing. The price war is killing each other. According to him, the exquisite green tires developed by Linglong Group have reached the requirements of the EU labeling law, which is equivalent to Michelin and Dunlop, and the rolling resistance of the existing ordinary tires is reduced by more than 30%. It can meet the requirements of world-class automobile plants and can reduce the number of cars. Fuel consumption 3% to 5%. With more than 20 products being researched and developed overseas, the value of tires sold by Linglong Group to the United States was more than US$200 million last year. Coupled with favorable policies, this year's development momentum is even stronger. In the first half of the year, tire exports increased by about 20%.

Under the pressure of the special safeguard case, some tire manufacturers have already increased R&D investment, some adjusted the structure of export products, gradually shifted their production focus to products with high technological content and high added value, and some reduced the production volume of tyres involved. , increase the production of engineering tires, etc., to occupy the market with quality and brand. Shandong Delta Group is one of them.

“We set up a R&D facility in Akron, USA, and we started a strategic cooperation with Aclone University to build a joint laboratories and promote continuous innovation in tire R&D manufacturing technology. Therefore, we are confident that we will continue to expand the US market.” Triangle Group Chairman Ding Yuhua said.

Ding Yuhua told reporters that after the special security case occurred, the Triangle Group quickly took measures to adjust the export structure, increase the ratio of high-performance truck tires, high-grade car tires, and giant engineering radial tires, and minimized the losses during the special protection case. . From January to July this year, the total export of tires from Delta Group to the United States increased by 10.5% year-on-year.

Song Jun, director of Shandong Race Wheel Co., Ltd., told reporters that the products of Race Wheels’ exports to the United States have passed the certification of the US Environmental Protection Agency and are the second tire company in the country to pass this certification. With the gradual release of production capacity and the expiration of the special safeguard measures, the export scale of semi-steel tires will continue to expand, and the company’s product profitability is expected to increase by 1 to 2 percentage points.

Song Xiangan, deputy general manager of Shandong Xingyuan Tire Group, also told reporters that the main export markets of Xingyuan Group are the Middle East and Southeast Asia, and that exports to the United States and Russia that are better in the all-steel tire market are not much, with the special security case At the end of the period, enterprises will gradually adjust the layout of the export market and accelerate the development of the United States and other emerging markets.

"As early as the beginning of September, we had close contact with our customers in the United States and actively promoted our products. We are currently in contact with the expansion of orders." Weihai, a tire manufacturing company, is responsible for the US export business, told reporters. He admitted that for tire companies, this is a good opportunity for companies to seize the market. In the face of this opportunity, their companies are currently keeping up with their existing markets and are also expanding their market share in the United States. At present, customers have increased their orders.

Zhang Hongmin told reporters that in order to reduce the continuing impact of international trade barriers on China's tire export industry, Shandong tire companies have not only accelerated the development of high-tech, high-performance, high-value-added green tires, but also accelerated the pace of recent advances into emerging markets. Tire companies have either begun to “go global” and accelerate research and investment in overseas investment and construction. Among them, Delta Group has invested 250 million euros to build a tire manufacturing plant in the Republic of Bashkortostan, Russia, with an annual production capacity of 4 million. At the same time, Delicate Group and Sailing shares also increased their investment in Thailand and Vietnam, respectively. The Sailing shares project in Vietnam is expected to reach the end of the year.

According to statistics from Qingdao Customs, in the first seven months of this year, Shandong Province exported 90.15 million tires, valued at US$4.73 billion, an increase of 20.7% and 23.1% year-on-year respectively. “In the three years since the implementation of the U.S. safeguard measures, the total tire export volume in Shandong Province has been able to maintain an average double-digit growth, and the diversity of products and markets has contributed.” said Zhang Hongmin.

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