Now one of the largest tyre-producing countries in the world, China has an indisputable influence on the direction of global tyre trade. The home of both fast-growing up-and-coming brands as well as a burgeoning domestic market, this tag chronicles China’s involvement with the tyre business.
A further victory for Bridgestone Corporation in its battle against patent infringement was delivered by the Shanghai Intellectual Property Court, which ruled favourably in its lawsuit against Chinese tyre manufacturer Fangxing Rubber Co., Ltd. (Fangxing).
Ren Jianxin has retired as chairman of ChemChina. His successor has been named as Ning Gaoning (Frank Ning), who concurrently serves as chairman of Chinese state-owned petrochemical and fertiliser company Sinochem. Ren’s replacement by the chairman of ChemChina’s rival is considered by many a precursor to a merger between the two firms, an arrangement that would create a group with annual turnover in excess of £100 billion.
Linglong Tire is examining tyre pyrolysis technology and its application to waste tyre recycling. The tyre maker shares that it organised a conference on the subject at its headquarters in Zhaoyuan, China on 24 July, an event attended by 13 academics and experts from Shanghai Jiao Tong University, Sichuan University, Zhejiang University and Beijing University of Technology.
Thanks to an internal document sent to EU member states and national tyre trade associations, we now have a clearer idea about what form the European Commission’s final anti-dumping measures against Chinese truck and bus tyres may take. The Commission favours a system of fixed, per-tyre duties similar to the preliminary duties introduced in May; the silver lining for Chinese tyre makers is that it has recommended these duties be reduced.
At the global partner conference held at its headquarters in Hangzhou, China on 17 July, ZC Rubber celebrated its 60th anniversary together with more than 1,000 partners from around the world.
Recent published articles have led to uncertainty regarding duties upon new and retreaded bus and truck tyres originating in the People’s Republic of China. On 13 July, the European Commission announced its decision not to impose anti-subsidy measures during its ongoing investigation into these products. This decision reflects the Commission’s practice of not simultaneously imposing provisional anti-dumping and anti-subsidy measures prior to reaching a final decision on the matter.
Shandong Linglong Tire Co. Ltd. has laid the foundation stone for its fourth Chinese factory. The event, held 6 July ran in parallel with Linglong Tire’s “global partners” conference.
The new plant is in addition to Linglong’s existing Zhaoyuan, Dezhou and Liuzhou factories. Linglong is building the fourth plant at a 223-acre site in the city of Jingmen in Hubei province.
Next Tuesday, Zhongce Rubber Group Co., Ltd. (ZC Rubber) will celebrate its 60th anniversary – and has invited more than 1,000 of its partners around the world to its home city of Hangzhou, China to join in the festivities.
A ceremony was held on 6 July to mark to completion of Doublestar Tire’s acquisition of a 45 per cent share in Kumho Tire. The event in Seoul was titled ‘Celebrating New Beginning’ and was attended by the Chinese and South Korean tyre makers’ management teams as well as representatives from Korea Development Bank, which together with other creditors still maintains a 23 per cent share in Kumho Tire.
At the end of May, anti-Chinese truck tyre tariffs were implemented. They included nominal (as opposed to percentage) tariffs at levels that surprised many. As a result, supply shortages and challenges at distributors were predicted. Shuttering of some of the lowest cost Chinese tyremakers is also expected. However, speaking to affected firms during the recent Tire Cologne reveals that many are already prepared to source tyres elsewhere. Indeed, the largest manufacturers have been off-shoring for some time. As a result, virtually all the leading Chinese tyre manufacturers already have non-Chinese tyre production in place. Let’s take a look at who’s got what.
Wanli-owner Guangzhou Vanlead Group Co. Ltd. has indefinitely postponed plans to invest US$1 billion in the construction of a tyre factory in South Carolina, USA. Now the company is said to be considering alternative locations including some in Europe
Under a joint venture contract signed on 22 June, thyssenkrupp Steel Europe will partner with Chinese companies to produce steel wheels, including lightweight hot-formed models, for the local automotive industry. China’s leading steel wheel manufacturer, Jingu Wheel, will hold a 51 per cent share in the joint venture, thyssenkrupp Steel Europe 34 per cent and Ansteel Iron and Steel Group 15 per cent. China’s competition authorities are now examining the tie-up, and thyssenkrupp anticipates the deal’s finalisation within the next few months.
The Yokohama Rubber Co., Ltd. has reported the “successful completion” of its latest effort to eliminate counterfeit versions of its aluminium wheels in China. The distributor of these fake products has been sentenced to prison and also fined.
Ding Yuhua, Triangle Tyre’s chairman, died on 13 June 2018 at the age of 70. In addition to running the large Chinese tyre manufacturer, Ding Yuhua, was deputy to the 10th, 11th, 12th and 13th Chinese National People’s Congress, deputy to the 8th and 9th Shandong Provincial People’s Congress, member of Weihai People’s Congress Standing Committee and senior vice president of China Rubber Industry Association (CRIA).
US president Donald Trump has announced plans to impose 25 per cent tariffs on US$50 billion worth of Chinese goods, according to various leading news sources. The tariffs affecting over 800 products including aircraft tyres and are due to come into effect on 6 July. The White House said it would consult on tariffs on the other $16 billion of products with a view to applying these later.
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