Analysis of China Tyre Industry Market 2008

Analysis of China Tyre Industry Market 2008

At present, China is the world's largest tyre producer. According to the Chinese Rubber Industry Association that China's tyre production is the world's fastest growing market, which is about $8 billion, accounting for 9 per cent of the world tyre market share. The total output of China’s tyre in 2007 recorded 330 million, an increase of 18 per cent, of which the output of radial ply tyre was 230 million, an increase of 28.8 per cent and of all-steel radial tyres was 50 million, an increase of 30 per cent and of semi-steel radial tyre was 180 million, an increase of 26 per cent and of diagonal tyre declined slightly. Due to the accelerated structural adjustment of tyre products, the increasing growth of radial ply tyre rate reached 74 per cent.


According to statistics, the world total annual output of tyre in 2005 was 1.34 billion and truck tyres was 350 million, accounting for 26 per cent of total, tyre of passenger car accounting for about 60 per cent of total. Therefore, the radial ply tyre of passenger car will be the key market of the world tyre market in the future; presently, 90 per cent of the investment from the global tyre giant in China is radial ply tyre of passenger car.

The current world throughput of OTR tyre estimated 7 million, accounting for 0.5 per cent of the total tyre production. By sales, the world total value of OTR tyres reached $5.5 billion, accounting for 5.5 per cent of the total sales of the world tyre production. However, the size of OTR tyre is great and the average weigh it is over 150 kg, equivalent to 4 truck tyre or 20 passenger car tyres, its consumption volume of tyre stock accounts for around 8 per cent of the total tyre stock consumption and its added value is higher than 20-50 per cent than other tyres, moreover, currently in terms of the complicated processing technique and small amount of production enterprises, thus, the added value could be more higher. Therefore, OTR tyre is another growth point of the world tyre industry.


China is the world's largest producer of tyre, the output and export volume of tyre rank the top in the world. Along with the movement of the global tyre manufacture centre from developed countries to Asian countries, particular China, where is expected in the next few years will maintain rapid growth.


At present, the number of tyre production enterprises in China is around 300, but, 70 per cent of them are small factories whose annual output is under 500,000. The average production capacity of China's tyre manufacturer is only 400,000 / year, only 15 larger manufactories whose production capacity is over 1 million / year and 3 mega manufactories whose production capacity is over 3 million / year. Therefore, an outstanding feature of China’s tyre industry is the concentration ratio of large manufactories has been intensified markedly, the output of radial ply tyre of the top 10 manufactories accounted for over 77 per cent of the total output of radial ply tyre.

Tyre as an important part of vehicle and as a consumable requires regular replacement, and its market prospects is inseparable with the development of automobile and construction machinery industry; the output of these two industries affects the tyre market capacity and the possession of these two determines the market capacity of the replacement tyre market.


To sum up, the blooming demand is the certain factor pulling the Chinese tyre industry has been in a high-speed growth. Tyre industry will maintain a rapid growth in 2008 and is expected to produce 370 million tyres, the growth rate is estimated about 12 -15 per cent of radial tyre and 32 per cent of all-steel radial tyre and 38per cent of ORT tyre and the bias tyre will reduce substantially. Moreover, the new policy of exempt from of 10 per cent consumption tax of the radial tyre and the abolition of the right of administrative examination and approval of tyre industry will support China's tyre industry continues to maintain a rapid development.

Contents

1 Overviews of tyre industry
1.1 Introduction of tyres
1.2 Brief of tyre industry chain
1.3 The development of tyre industry
1.3.1 The development of China's tyre industry
1.3.2 The development of the world’s tyre industry
1.3.3 The gradual raise of China's tyre industry concentration rate

2 Impact of the development of China's tyre industry
2.1 The expansion of automobile industry
2.2 Construction machinery equipment

3 The development trend of radial ply tyre
3.1 The tyre industrial trend of radial ply tyre has further strengthened the demand of radial ply tyre
3.2 All-steel truck radial ply tyre

4 Analysis of the competition of China’s tyre market
4.1 The competitive landscape of China’s tyre market
4.2 The advantage of China’s tyre manufactories on all-steel radial ply tyre and the adjustment of product structure

5 Analysis of the cost structure of tyres
5.1 the cost of tyre and the impact of raw material
5.2 Price of natural rubber

6 Analysis of the Chinese tyre industry operation
6.1 Performance of 2007
6.2 Analysis of the operation of all-steel radial and OTR tyre 2008

7 Key company
7.1 Qingdao Double Star Tyre
7.1.1 Performance
7.1.2 Financial indicators
7.2 AEOLUS Tyre Co., Ltd
7.3 Guizhou Tyre Co., Ltd


Figure Index
The position of tyre industry in the whole industry chain
The output and growth of the Chinese tyre / radial tyre
The monthly accumulative sales income of tyre industry
The monthly accumulative total profit of tyre industry
The monthly gross profit of tyre industry
The monthly accumulative net fixed assets value of tyre industry
The output of automobile in China 1997-2006
The forecast of demand, production and possession of Chinese automobile
The growth of OTR tyre in the past five years
The output and growth ratio of China’s all-steel truck radial tyre and semi-steel radial tyre
The cost structure of all-steel radial tyre
The monthly gross profit trend of tyre industry and the futures price trend of natural rubber
The demand and import volume of rubber
The Futures price of natural rubber
The import volume and price of natural rubber in recent years
The import volume and price of synthetic rubber in recent years
The output distribution of global natural rubber 2006
Thai natural rubber plantation area
The export volume and growth of China’s tyres
The Sales of heavy truck 2005-Feb 2008

Table Index
The classification and application of tyre
The distribution of world tyre production 2006
Comparison of the categories of tyre products 2006
The income and profit of top 10 tyre manufactories in the first half of 2007
The numbers and replacement numbers of various types of vehicles’ tyre
The forecast of China's automobile tyre market demand 2005-2020
The rate of radial tyre of the world's major tyre production countries
The output of China’s tyre and rate of radial tyre
The export of radial tyre in recent years
The output of radial tyre in recent years
The demand forecast of radial tyre and all-steel radial tyre
The forecast of China's tyre supply
The forecast of supply and demand of China's all-steel truck radial tyre market
The output of all-steel truck radial tyre of listed tyre companies
The market share of China’s tyre
The products price changes of overseas tyre manufacturers at beginning of 2008
Chinese all-steel radial tyre manufacturers 2007
Circumstance of China’s listed tyre companies
The production capacity of Qingdao Double Star Tyre
The production capacity of AEOLUS Tyre Co., Ltd
The production capacity of Guizhou Tyre Co., Ltd