EU production not so impacted by US anti-dumping duties – expert
7 Jun 2016
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Essen, Germany – The EU tire production has not been significantly affected by the new round of US import duties on Chinese passenger car and light vehicle tires, according to Gerard Stapleton, head of South East Asian research at market research company LMC International.
Speaking at the ERJ-sponsored Future Tire Conference on 24 May, Stapleton said that European production enjoyed a degree of “natural protection” due to the high proportion of winter and high-performance tires as well as the move in recent years to produce in central Europe for lower costs.
With the earlier imposition in 2009, there was steady increase in the percentage of the Chinese light vehicle tire imports into the EU with the number reaching about 4 million tires, according to the expert.
In the latest round, however, the figures have been rising but not very sharply.
Winter tires account for around 30 percent of the EU replacement market – albeit with fluctuation due to legislation and weather.
These tires, according to Stapleton, have largely remained premium products and supported by legislation in some countries.
Another supporting factor, said Stapleton, is the move of production to low-cost manufacturing in central Europe.
An exception is in the truck tire sector, however, where there has been a sharp rise in imports at the expense of retreads.
“Retreading facilities are being closed in Europe and the proportion of retreads has fallen in 2015 to less than 24 percent of the replacement market for medium to heavy truck tires sales,” said the expert.
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