On 27 October, Double Coin held a strategic cooperation signing ceremony with Altra Tyres, a tyre sales company in Central Asia. Tyrepress China learned that the two parties are strengthening cooperation in Kazakhstan, involving the sales of TBR, PCR and OTR tyres made by Double Coin in the region, as well as overseas warehouse projects.
On 30 August, the first tyre rolled off the production line in the second phase of the Thailand factory run by Huayi, which owns the Double Coin brand. Tyrepress China learned that the project’s second phase involves the production capacity of 300,000 all-steel radial tyres and officially started construction in March this year. If the second phase reaches capacity, the annual production capacity of Huayi’s Thailand factory will be increased to 1.5 million pieces.
In the truck tyre segment, Kirkby Tyres reports that the company continues to “differentiate and invest in quality brands rather than operating at the budget end of the market, which at times is nothing more than a race to the bottom.”
The Double Coin Jiangsu factory recently applied to the local environmental protection department to expand its OTR tyre production capacity. The Jiangsu factory is a joint venture established in January 2024. The company can produce 2.9 million all-steel radial (truck) tyres and 74,000 OTR tyres annually.
Recently, Shanghai Huayi, the parent company of Double Coin, announced its operating data for 2022. In 2022, the revenue of Huayi’s tyre segment reached 10.02 billion yuan (approximately £1.175 billion; €1.338 billion), a year-on-year increase of 6.62 per cent. Regarding net profit, Huayi relies heavily on Huayi Group (Hong Kong), which is responsible for overseas business (especially the business of factories in Thailand). During the reporting period, Huayi Group (Hong Kong) achieved a net profit of 172 million yuan (about £20 million; €23 million). The Double Coin Tire Group, responsible for Huayi’s domestic tyre business in China, lost 26.4318 million yuan (about £3.1 million; €3.53 million).
Based on stock market reporting for the third quarter of 2022, the top nine Chinese listed tyre companies ranked by revenue are Sailun, Linglong, Triangle, Huayi (the holding company of Double Coin), Guizhou Tyre, Sentury, Aeolus, Jiangsu General, and Doublestar. (The leading Chinese tyre company according to Tyrepress global rankings is ZC Rubber (Hangzhou Zhongce), but it is not listed.) The figures show that Sailun has completed a meteoric rise this year to become the Chinese tyre industry’s stock market leader, with an income of more than 6 billion yuan in the quarter, putting it within reach of the global top 10 tyre manufacturers.
One of the largest truck tyre wholesalers and distributors in the UK and Ireland, Kirkby Tyres has a team of specialists dedicated to the TBR segment and is investing to make further inroads with its exclusive brands. We recently spoke with commercial director Michael Rosenthal to find out about the latest products from Double Coin and Sailun as well as Kirkby’s activities in the truck business.
Chinese listed tyre companies have successively released their 2021 annual reports in recent weeks. Here, Tyrepress analyses these annual reports’ comparing developments in revenue, operating conditions and overseas factory strategy. And the short story is Linglong remains the largest tyremaker amongst the top 10 listed Chinese tyre companies and that Sailun is the fastest growing.
Since March 2022, China’s government has imposed strict lockdown policies on several cities in response to the rapid spread of COVID-19. Shanghai, the economic centre of China, is one of the core lockdown areas. According to information available to Tyrepress, it appears the entire industry is feeling the restrictions hitting production, logistics and retail in Shanghai and surrounding cities.
The growth of the construction and industrial sectors is currently faster than any other part of the private sector economy, says Kirkby Tyres, Speke-based distributor of OTR tyres. In order to support this growth, Kirkby adds that it is positioning itself to supply a comprehensive line-up of tyre patterns and applications to serve its customer base. While this growth is encouraging, wholesalers must contend with the unprecedented challenges currently affecting global supply chains, including long production lead times and increases in raw materials and shipping costs. Kirkby marketing director Michael Rosenthal tells Tyres & Accessories that these challenges are presenting a bottleneck to economic recovery. The wholesaler says it is working to reduce the impact of these challenges and support its customer base by replenishing its stockholding continuously and holding good stocks of the most common OTR tyre sizes.
During January 2021 more than 50 domestic Chinese tyre businesses announced plans to increase prices. And, according to Robert Ho, marketing officer at Comforser Tire Co. Ltd., we can expect still further prices increases in February and March.
While the challenges of the pandemic to the light vehicle markets are familiar due to the day-to-day experiences of people around Europe, commercial, industrial and agricultural markets experienced different levels of lockdown, as many companies in these sectors worked hard to reinforce supply chains. In the tyre wholesale sector, this meant distributors of products and services to these segments needed to stay strong to supply the rubber that kept countries rolling. Michael Rosenthal, marketing director of the UK and Ireland’s largest and most comprehensive distributor of off-highway tyre and wheel solutions, Kirkby Tyres, told Tyres & Accessories about the latest news from the Speke-based wholesaler.
Double Coin has expanded its distribution infrastructure in the USA with the addition of a new warehouse in Houston, Texas. The new facility, Double Coin’s largest warehouse in North America, began operations on 15 September 2020. It includes office space, 29 dock doors and two drive up ramps. According to the company, the warehouse will serve the growing demand for Double Coin’s comprehensive range of truck and OTR tyres.
Double Coin Tires engineers praised the benefits of Eastman’s Eastman Crystex Cure Pro insoluble sulphur alongside scientists from the chemicals manufacturer Eastman during a joint speech at the China Rubber Industry Association (CRIA) conference on 15 September. Around 200 professionals from tyre-related enterprises gathered at the conference to discuss the latest industry technologies and market status.