Europe’s retreading market – is a structural change in full swing?

Monday 14th November 2016 | 0 Comments

 
Europe’s retreading sector has experienced declining volumes since 2007 – as have local producers of new tyres; the catalyst for this trend and main beneficiary are imported Chinese tyres
Europe’s retreading sector has experienced declining volumes since 2007 – as have local producers of new tyres; the catalyst for this trend and main beneficiary are imported Chinese tyres
Europe’s retreading industry is in poor shape. Sales volumes have – with the exception of a peak in 2010 and 2011 – decreased by a quarter since 2007. What’s more, the million or more retreads that weren’t (or couldn’t be) sold during this time were offset by an almost one million unit rise in new truck tyre imports. It is no great secret that up to 90 per cent of these imports originate in China and are offered in Europe at prices that make those typically charged by retreaders seem exorbitant, and it can even be posited that these products call an entire industry’s competitiveness into question. Pre-cure retreading, a process more often than not performed by small and medium-sized operations, has come under particular pressure of late. Looking at this phenomenon, it is easy to wonder if we are witnessing the start of a long-term structural change within the industry.

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Category: International News, Retreading