To some of his competitors Derek Zhang is known as the “godfather” of the aluminium wheel business in China. He has been dubbed with this moniker in appreciation of the rapid development of the China Wheel, which he leads as CEO, and his deep knowledge of the competitive situation in the enormous People’s Republic.
At the moment there are about 200(!) different producers in the country. Some are so small that they are liable to disappear from the map, or have already been forced to cut production. Zhang expects a large consolidation wave, whereby the capacities of the smaller companies are taken only partially from the market; many will be absorbed by the larger players.